Government Seized Auto Auctions - 10 Tips to Avoid Buying a Heap
Government seized auto auctions provide you a means to buy a dream car cheap. Government auto auctions can also lead you down a path you do not want to go, you could end up with a heap you will not be so proud of. With these ten tips you can avoid the nightmare of buying a heap.
1. Do your research. If the auction provides early previews, take advantage of it, and view the vehicles in advance. After finding vehicles you are interested in, do a thorough inspection, write down the vehicle identification number (vin) and run a vehicle history report before the auction. If no previews are held, be prepared to use a buddy and your cell phone to quickly call him/her to have them run a Carfax report.
2. Kelly Blue Books come in very convenient sizes for this type of use, so use it at these auctions. Always make sure you know the value of the vehicle(s) you are bidding on, and be sure not to bid over the blue book price. There will be some people there that think they know the value without using a blue book, and will sometimes run the price up to where it is more than the vehicle is worth.
3. Always be aware of the buyers premium for the particular auction, and factor that in to the final price you are willing to pay. This premium is usually from 5% to 10% of the winning bid. Car auction buyers usually do not know about the premium.
4. Make, find, or buy a vehicle inspection list, and bring it along. When you see a vehicle you are very interested in, it is very easy to forget some very important inspections. Remember you are buying this vehicle as is, with no warranties.
5. Look for the VIN tags on the doors, trunk, hood and dashboard. All the VIN's should match. If the VIN's do not match, it means there is a very good chance that the vehicle has been stolen or involved in a big accident.
6. After running the vehicle history report, if the report shows the a salvaged or rebuilt title, deduct 30%.
7. Compare the odometer reading against the vehicle history report you ran. Also look at the foot feat for to see if the wear on them is comparable to the miles stated on the odometer. If the pedals look really worn compared to the odometer reading, the odometer may have been rolled back.
8. Remember 13,500 miles a year is the standard set by the US Department of Transportation. If the vehicle shows more than the 13,500 miles per year average, deduct about 15 cents per mile over the average.
9. Visit the government auto auctions a few times to just observe and ask questions. Learn as much about the process of these auctions before actually visiting an auction to buy a vehicle. This will help you to avoid making costly mistakes when you decide to buy a vehicle.
10. Pay attention to your instincts. When a vehicle gives you a bad feeling, avoid it, you are more than likely right.
By following these ten tips you can find some real bargains at government seized auto auctions. Never get your hopes up too much on one particular vehicle. Remember, there will always be another car, or even another auto auction, so don't be afraid to pass on a vehicle, or vehicles you are not sure about, whether you are buying the vehicle for personal use, or buying the vehicle for resale.
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