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Your Next Used Car

New York State Department of Motor
Vehicle Facility 7102059
Located in Copiague, Long Island

Things You Should Know About A Used Car Auction Sale

Picture this! You are shopping for a used car but your bank account could hardly afford the ones up for sale. You walk away sadly until you find a used car auction sale right for you. Good for you, the ones on display would now fit your budget. But wait, before you plunge into the auction deal allow us to give you some pointers that would help you get the best used car deal for your money.

First of all, ascertain the type of vehicle you need (a car, a truck or an SUV), its model year and also your color preference. As much as possible, do some research before joining the auction. Check the price range of the car you want. Prices are usually available through the Kelly Blue Book or the NADA Guide pricing handbook where prices are adjusted every month. Establish contacts with used car dealers joining the auction sale or observe them keenly on how they operate.

Avoid the small auction sales because cars are priced three times higher there than those at large auction houses. Likewise, there are auction sales exclusive for licensed dealers only and deals with pre-inspected cars; while others are open to the public. Most used cars are sold on an “as is” basis, so it would be wise to bring along a specialist that could advise you on the condition of the engine, the mechanical parts or even the condition of the body paint. This way you shall have buried the fear of overpaying for a car that underperforms.

Moreover, take note that cars sold in auction houses do not provide warranties, unlike in dealership where consumers are protected by the Federal Trade Commission (FTC) and warranty stickers are attached on the windshield of used cars for sale. Check with the National Highway Traffic Safety Administration if the car you are bidding for has a safety recall.

A lot of factors influence the selling price of a car. Foremost to that is the number of miles driven. A lower mileage reading gives the car a higher price compared to the same make and model with a higher mileage. Other factors include its features and overall condition and also the demand for the model. The law of supply and demand is also a measure of used car prices. If demand for new cars is high, then used car supply is also high due to trade-ins. As expected, the prices for used cars go down because of oversupply. When the contrary happens however, expect used car prices to rise with the shift in supply and demand coefficients.

Once your bid for the car is accepted by the auctioneer, payment in cash is expected. Should you renege on your commitment, the deposit is forfeited in favor of the auction house. The normal deposit is around $500 and most auction houses demand full payment only when the necessary papers have been complied with.

Be aware that all bids are deemed final. The auction house is given the option to sue you should you decide not to proceed with the purchase. Again the decision rests on you, so follow proper protocol during the auction sale.