Cars are the most used means of commutation from one place to another in virtually every country in the world. This trend is continually being aided by the constructions and repairs of networks of roads by the governments at all levels and the private firms alike. A car is a good thing and can be luxurious as well as needed. As with all good things it requires money to be acquired.
Money being the scarce commodity that it is, people tend to spend it wisely, that is, get maximum value for what is being spent. Cars can be bought newly from manufacturers in wholesale and retailed to the users but they can also be auctioned publicly to dealers, wholesalers and private users.
Cars bought at auctions are usually those seized by the government or financial organizations like banks and insurance companies. For salvage, they will have to be repaired. These cars are most times not in good conditions and formerly owned by perpetrators of the law and those who have broken contract agreements. Cars sold at auctions are usually cheaper and more patronized by those who want to get maximum value for money.
If you fall in this category of people then you need to know that the prices of these cars should not be the only factor to be considered. The factors to consider include;
1) The Market Demand:
If you are in the category of those who buy to resell then you need to be sure that what you are buying will not be in stock for longer than expected. You also need to be sure that users will be willing to pay you more than you are paying at the auction no matter how cheap it seems at the auction.
2) Spare Parts:
If you are a private user, then the availability of the spare parts, in the market, for the car you want to purchase should not be left out of considerations when making your decision.
3) The Dealer:
Whatever the name of the company is, you should be sure you are buying something legal and from a trusted source. Your dealer should be one who has been in business for a reasonable length of time (no offence to the new guys) this is because you can investigate the reviews of the guys that have been around. Also your dealer should have an online presence and should be accredited by the authorized regulatory body in the country. Accredited Dealers are very much concerned about their reputations and would serve you well so as not to lose their licenses. You can get a refund on your deposit if you do not get to go home with any car.
Dealers allow for inspections before the auction begins proper. You have nothing to lose by doing this. Then why don’t you? Although many cars auctioned are usually in good states mechanically but having a little doubt is not unhealthy and that curious mind should be satisfied by taking this step. The specs like maximum speed, rate of fuel consumption, distance to be covered at a stretch, terrain suitability and the rest should be known.
The cost of shipping when factored into your selling price should still not make the car too expensive. For private users this should not be too high in order not to offset the relative affordability of the car.
The damage should not such that it is uneconomical i.e will not be worth repairing.
Sales are done really quickly at auctions and cars shine really well after being touched up nicely. One could get the feeling that if they don’t move really quickly for that really shiny car, they might miss the opportunity to take home their dream car. Please take caution! Do not let this pressure affect your judgment and do not forget to consider the factors stated above. Remember there are millions of cars sold at auctions each year and there will always be another auction market by another trustworthy dealer.
Reference :trustedchoice.com, carauctiongurus.com