2. Planning to buy a car from an auction place? Be very
careful while making your decision about buying the car
from an auction place. There are various ways you can
purchase the car from an auction place. You must be
aware of public auction. There are other ways available
too. Let us try to understand various types of car auctions
available to you.
3. Wholesale and Manheim Car Auctions - this car auction is
not for you. Wholesale or Manheim car auctions are
meant for auto dealers, the licensed ones. Common man
like you and me can't even attend this auction.
4. Salvage auctions - again, not meant for common public.
These cars are in such a poor state that a mechanic or a
pro in the industry can only dare buy cars from such
auctions. Don't ever think of bidding for a car in salvage
car auction unless you are a pro in the same trade.
5. Government or Police car auction - here the cars for sale
are those which have been discarded by the government
agencies or those which have been confiscated by the
police. General perception is that one can get a car at a
lower price in such auction. You may be grossly wrong.
First, the cars may be in such a horrible state that you may
need lot of money to restore its original condition.
Secondly, you may never know about the history of the
car. Ensure that you have run through Carfax history
report for the same. Last thing to remember - you may
have to shell out commission to the auction agency over
and above the bid price. Always keep almost 15-20% extra
money ready than your bid amount
6. Online auctions - relatively a new concept in car auction.
This concept caught up with the advent of internet, and
caught fire through ebay motors, their car auction site.
Online car auction offers the convenience of buying the
animal from the sitting comforts of your home. However,
don't get carried away by the claims and other bids for the
car. It may be a frame work by other bidders. Problems
with online car auctions lies with the fact that you have to
bid for the vehicle you haven't seen. It is always better to
run a price check in the local market for a similar car
model.
7. If you still decide to enter into any of the auction
processes through any of these, look for history report and
VIN for the car in question.