Repossessed Cars; Get Decent Vehicles For $500!

An auction of Repossessed cars is considered to be one of the best places finding used and new cars of high quality at prices far below the retail prices. Below are a few tips that you can read if you’re not sure how an auto auction works but still want to land a good bargain.

What is a repossessed auction car actually?

There are two main categories of repossessed automobiles:

- autos repossessed by the government
- autos repossessed by banks and financial institutions

Government cars
- seized cars
- surplus cars
- unclaimed cars.

A Government public auto auction help when the government needs to free space and get rid of their repossessed vehicles and get some income to cover administrative costs. Vehicles repossessed by bank and financial institutions are vehicles used as collateral for loans and when the loan-takers don’t pay, they simply take the vehicles and put them up for Auction.

Which Automobiles Can You Expect to Find At These Auctions?

All kinds of automobiles of all price ranges trucks, pick-ups, fast sports cars, and luxury autos. The condition of these vehicles can differ a little but most of them are little used models and are functioning well. You can be lucky and find automobiles that are practically new and cost less than half of retail price.

How Are The Vehicles’ Prices Determined?

Car auctions starts at low prices and are then bid upwards by people who want to buy it. Some models are really hot and lots of bidders will fight to get it. In cases like this the price will skyrocket. On average the prices of auctioned vehicles are around 80 percent off the retail prices.

Rules of Auctions

There are rules and requirements regarding auctions of repossessed cars that the bidders have to adhere to;

- at most auctions you have to be 18 years or more to bid
- you must also have a driving license.
- to be able to bid some auctions will charge a fee

Take the Kelly Blue Book or another list of automobile values with you. It will be very easy for you to spot a good deal. Take a mechanic with you to inspect a vehicle you want to bid on upfront, if you don’t have sufficient knowledge yourself.

Where Do You Find these Auctions?

Car Auctions take place every day all over USA. Find auctions located near your home. Call banks, local government agencies or auction houses and get their auction schedules. Also check ads in your local newspaper.

The simplest way to find auto auctions is to go to the auction directories online. For a minor one-time fee you get unlimited access to their databases with updated information about auctions of repossessed cars. Be aware though, that there are some sites out there trying to cheat people. Steer away from them.

by Terry Carters