Impounded car auctions are an ideal place to get a cheap car provided you know what to look for.
What many people fail to realize is that car auctions provide individuals with an opportunity to buy cars at a significant discount to normal retail- usually in excess of 40%.
Where do the cars come from that are impounded?
The source of cars is mainly from government agencies including the DEA, IRS and local police authorities. The cars are ‘impounded’ (seized) which means that the ‘government’ owns the vehicle and will pass on good title when sold at public auction.
Ironically cars sold at impound auctions are a safer buy as the new owner receives a ‘clean title’ irrespective of whether there was any debt remaining on the car this is not the case in a private sale where many new owners have learnt the hard way by having their cars towed away by a finance company where the previous owner has failed to clear any outstanding debt on the vehicle!
In addition the cars can be of good quality and some impounded cars are no more than 4 years old and the really cool thing is that most impound auction units have no reserve attached which means that bidding can start as low as $100!
Where do I find these auctions?
There are several methods. The two main ways, the first is by doing your own research by looking on the net - but I have found this to be unreliable as most of the auctions have been out of date - one was nearly 2 years old. You can go to your local library and get the yellow pages and ring the auction centers and find out when the auctions are being held. It's a slow process but it works if you have the time and/or you can phone your local police department and see when they are holding their next auction.
The best method though is to join a auction membership site. Here you will get access to where impounded car auctions are being held, what vehicles are being sold, address details including website and contact details. In addition you will have access to other types of auctions that you may never have thought of!
Some useful auction tips - on grabbing a bargain!
1. Go prepared. It's always a good idea to see what you're potentially bidding on. Many a purchaser has regretted not ‘checking’ the goods before purchase - don't be one of them!
2. Do some market research. Get a Kelly Blue Book. Know the retail value of the car(s) you're interested so as you will know a bargain when you see it!
3. Set a budget and stick to it - if you pay too high a price then you won't have got a bargain will you?
4. If you have got CarFax use it. It's especially useful if you have time at the auction and know the VIN (vehicle identification number) to know the history of the car. It might have had serious accident damage!!
5. Make sure you budget for the buyers premium usually 10% above the winning bid. A lot of buyers get caught out in this one!
If you've found the auction and you adhere to some of the tips and apply common sense when you attend any impounded car auctions you should come out with a good bargain!
Did you know that you can save up to 90% by buying your car at Auction?
Sites like CarAuctionsReviewed.Com can help you find a membership site that will locate the nearest car impound car auctions for you. Also you will find out how you can save up to 90% by buying your car at an auction by visiting CarAuctionsReviewed.Com