You can save a ton of money purchasing a used car at an auction than at a dealership. Did you know that used car dealers refresh their inventory by bidding at auctions? Why buy from the middleman when you can get it directly from their source? Even cheaper than regular auctions are the salvage vehicles. For instance, you can get Bentley salvage cars for sale at less than 50% of its used car price. But unless you have the skills and resources to fix that British luxury machine, you may rack up its repair costs to well over its used car rate.
So it’s better to stick to a used car auction where, if you get a good price on a rarely used car, you won’t spend much on your purchased vehicle in the long run. To streamline the auction process and help you get a bang for your buck, here are 7 excellent tips you should heed during the bidding war.
Beware and Prepare
Don’t just dive into the auction headfirst. The sharks are waiting, ready to devour you as soon as you make a mistake. You need to go well-prepared. Visit one or two auctions in your city and observe the bidding process. You don’t want to be perceived as a rookie. Try to figure out who are the actual buyers and who are bidding just to boost the rates. If you see what you like, don’t bid just yet. Check what price the car went for to give you a general idea of your budget at the next auction.
Calculate Repair Costs
It’s rare to find a car at a public auction in mint condition. Note down the issues with the vehicle and calculate their repair costs before setting your bidding budget. Be sure to consider any possible future repairs too. If you can fix some of the issues on your own, then don’t add them to your budget. Otherwise, keep the repair costs in mind before bidding.
Research Model Prices
Don’t trust the base bid amount at auctions blindly. Research the price of the model online and calculate its approximate used car price. The general factors on which the rate of a used car depends are the age, the miles driven, insurance, repairs made, and its overall condition.
Know What You Don’t Want
When you are at an auction, you have to keep an open mind. You cannot set your expectations too high. But you don’t want to find yourself bidding on every vehicle shown. Keep a list of the things you absolutely do not want in your ride, along with stuff you can do without. For instance, you already have a decent car stereo at home. Is the high-end music system in the auction vehicle raising its base price? You certainly don’t want it, so don’t bid on it. Prioritize your needs well in advance.
Take a Good Look at the Run List
A run-list at auto auctions is basically a rundown of all the vehicles, a preview of sorts. It contains important information about the vehicle to consider before bidding, from its specifications and image right down to the issues it may have. The first thing you should look for is the VIN number. Is the same number printed on all parts of the car, like the windshield, doors, or dashboard? If it’s a different number, then you can conclude that the car doesn’t have all its original parts and that they have remade it a few times.
What You See Is What You Probably Won’t Get
The saying, “appearances are often deceptive,” holds true for public auto auctions. Always expect a shiny used car to be touched up with cheap paint or polish to hide the scratches. Never buy a car at an auction primarily for its appearance. Look for overspray and check the roughness of the sheet metal. Observe the ground on which it stands. Is there a puddle of oil? Since you cannot take a test drive at auctions, you need to look closely before bidding.
A Pro Tip for Novices
If you are a complete novice in the bidding war, here’s a bonus tip. Identify the used car dealers among the bidders and bid only when they do. You will get the vehicle at a great bargain if you manage to outbid them by a few bucks. After all, they would probably have made a few hundred bucks profit on it!
Remember to always be on high alert during the bidding process. Don’t get carried away, or you may end up spending more than your budget. Know what you need and don’t need, but don’t hesitate to compromise on your wants.
