There are a number of options to consider when buying a new vehicle. You can try to buy through a dealership or try purchasing through a private party. These are valid options, but you should consider others as well. Car auctions are another opportunity that you may want to take advantage of. You can find some of the best deals available through auctions.
Why More People Are Using Car Auctions
A recent report from Polk shows that sales at car auctions have recently risen to an all-time high. Only two years earlier, the number of people buying cars through auctions was dropping significantly.
Most experts attribute a sluggish economy to the trend reversal. There are a number of reasons to consider buying cars through one of them. The opportunity to save money is the most appealing.
Opportunities for the Best Deals
You can find great deals on used vehicles at car auctions that you won’t find anywhere else. Sellers try to price their vehicles 60-75% lower than the book value.
Car auctions also tend to have much larger volume than other dealerships. This allows you to have more flexibility with the types of cars that you consider purchasing. However, you shouldn’t be too picky, because there is no guarantee that you will get a specific car at the right price.
Tips for Attending Car Auctions
There are a number of advantages with car auctions. However, they can also be a bit trickier if you don’t know what you are doing. Here are some tips to get the best possible deals.
Read Through the Catalog Carefully
You should always read through the catalog to learn as much about the car you are bidding on as possible. You will want to look for vehicles that have a clear record of work done and any problems. You won’t be able to take the vehicle to a mechanic to have checked out before making the purchase, so you will want to look for cars that have proof that they were inspected before the sale.
Bid in Person
You can place bids over the phone, but that is never a good idea. You want to be able to look at the car so you can make sure that it is what you expected. You can find pictures in the catalogue, but they have usually been touched a bit. Attending the live auction is the only way to know if a car is right for you.
Set a Ceiling on Your Price Point
You have a budget and it is important to stick to it. Make sure that you don’t get carried away with the excitement of the auction and start bidding higher than you can afford. There will be future auctions, so you should always consider attending another one if you can’t get the vehicle that you want at a reasonable price.
Pay Close Attention to the Bidding
There is no magic formula for bidding at an auction, because every crowd tends to be different. You will to get a feel for the crowd to see how bidding is likely to go. Some auctions tend to attract frugal buyers, while others are filled with high rollers. You may want to visit a different auction if it seems that the crowd is bidding outside your price range.