Winning a car at an auction is an increasingly risky task. You don’t actually get to see the car and the overall field is a great deal more competitive. The amount of supplies has been greatly diminished and more dealers are interested in getting used cars from auctions than ever before. Luckily, there are a number of different ways that dealers now currently utilize in order to make the best decisions possible and increase the chances that a car will be able to be won at an auction.
Don’t Rely on the Local Auctions
The Dealership Innovation Guide has stated that dealers tend to use a great deal more than one or two wholesale auctions. This is because limiting yourself to one or two auctions that are in the area will increase their chances of getting the necessary inventory.
Set a Budget
The most common problem that many people face when they are trying to win a car from an auction is that they pay too much money for the vehicle. This can be frustrating. The easiest way to avoid overpaying for the vehicle is to measure its cost to the value that it will provide. For dealers, this means looking at the cost of purchasing and transporting the vehicle to the dealership, compared with the amount of money that the vehicle will probably sell for. For individuals, this could be the amount of money the car costs compared with the value for which it can be used, for instance the amount of money that it will help a person make at work. Also remember that if yours is the winning bid, then auction fees will need to be paid, as well as taxes. Set a budget and stick to it.
Look at the Site of the Auction Beforehand
Whatever you do, don’t go in blind to the auction. There is the potential that there are thousands of cars to bid on. Look for one or two cars that would meet your needs and look up how much they are worth in several different sources, including Kelley Blue Book, National Auto Dealers, and Black Book. This will allow you to have information that will ensure that a reasonable amount of money is paid and that you will not be overwhelmed by the choices.
Get There Early
Getting to the auction early will allow a person to see as much of the car as possible and allow for a quick inspection. Pictures cannot capture everything about a car and it is important to take whatever opportunity exists to see the vehicle yourself. If the owners allow you to go for a test drive, take them up on it. This will allow for the performance of the car to be assessed and for any repairs the car might need to be factored into the overall price of the car.
By following these tips, it will be possible for a person to be successful and find a great vehicle at a great price.