How Do Auto Auctions Work

Tips for Attending an Auto Auction

It doesn't matter if you are bidding on auctions online or face-to-face, it is always better to be ready and informed prior to putting in an offer at auction. Make the most of your next car auction by following these suggestions.

Explore Your Options

You'll be able to get the best deal if you take your time in researching prior to an auction. You need to know approximately what certain models of automobiles typically sell on the market. This will serve as an indicator against which you can assess the competitiveness of each proposal.

Make a plan for spending

Know ahead of time how much you're willing to invest and what kinds of cars are within your price range. Include things such as registration fees and tax expenses in your budget estimate so that there won't be any surprise costs later on, and you'll have plenty of time to pay.

Bring a friend

In the event of viewing cars in auctions it can be helpful to have an experienced companion. An experienced companion can help you understand the state of the vehicle and could spot issues you were not aware of.

Have a look at the car

You shouldn't put in a bid for a car until you have had the opportunity to inspect it. This allows you to assess whether there are any significant problems that require fixing or replacement components. Get a vehicle preview, inquire about any problems or maintenance requirements and, if something seems unnatural or not in your comfort zone, have a mechanic with you before making an offer.

How Do Auto Auctions Work

Frequently Asked Questions

Public auctions provide no warranties or guarantees. Banks, on average, have the best inventory at the best prices. According to Edmunds, these are the vehicles to look for at public auction. They are usually repossessed cars and trucks that the lender simply needs to sell for a profit in order to make up for losses.

GREEN LIGHT: Indicates that the vehicle is subject to the auction's arbitration provisions. Any vehicle selling for $3,000 or less is sold AS-IS and cannot be arbitrated for any reason other than an odometer or title discrepancy, regardless of the light.

Most of the vehicles auctioned are government surplus vehicles. This happens when different government agencies purchase new vehicles, and they need to dispose of the old ones. Other vehicles in these auctions are also government-seized vehicles that have been confiscated for various reasons.