Automotive Auctions – What are they?

There are literally thousands of cars that the government and police confiscate each year. Most of these cars end up for sale in public auctions and get listed by online automotive auctions. Buying your next car at an automotive auction is a great way to save potentially thousands of dollars.

People who might otherwise be unable to afford a car can purchase a good used vehicle from one of these automotive auctions. It is not uncommon to buy a car in great condition with low mileage for 80% or more off the retail value of the vehicle.

But one must always remember that at seized automotive auctions, it is basically every man for himself. It is therefore important to arm yourself with the knowledge and skills necessary to identify a good deal when you see one and to avoid those cars that have not been well maintained.

In addition, be sure of the final price you will be paying when bidding on a vehicle. There are often buyer’ premiums and other sometimes hidden fees that you may be paying as the winning bidder. You don’t want to be sticker-shocked so do your due diligence ahead of time by understanding the rules of the game. Different auctions sometimes have different rules.

A buyer’s premium varies depending on the auction and on the car. It is normal that buyer’s premium in seized automotive auctions be 5% of the winning bid but at times it reaches 10%. So you need to find out before the bidding war begins just how much the buyer’s premium will be.

And don’t forget your little black book when you head off to your local automotive auction to bid on your dream car. You need to understand how mileage, condition and model options affect price. Great resources for this purpose are Edmunds Used Car Prices and Kelley Blue Book.

These resources are invaluable at automotive auctions when you need a quick answer regarding a particular vehicle. These books normally contain vehicle makes, models, options, and the price of the vehicle if it is in poor, fair or good or excellent condition. This will give you the confidence you need to make an intelligent bid.

Bring a bank statement along with your check book because it is often common practice today to show both. Get to the auction early so that you have time to kick the tires and plan your strategy before the bidding begins. Nail your top bid and don’t bust it when the frenzy begins. Be patient for that deal of a lifetime.

Want to find out more about Automotive Auctions, then visit this auction review site to learn how to choose the best automotive auctions for your needs. Learn what you MUST know before the bidding begins.