When someone cannot make their car payments any longer their car is likely to be repossessed. These repossessed vehicles are then sold at auction for a fraction of their original cost. These repossessed vehicle sometimes sell for prices starting at just $100. If you are lucky enough to be there at the right time you can get a fantastic car at a great price.
Where to go for Repossessed Vehicles
If you want to try your luck at buying a good repossessed vehicle start by checking the local auction houses for their list of vehicles coming up for auction. You will not be the only bidder there so make certain you check the list carefully. Auction houses make their list available the day before the auction so you have plenty of time to review it for cars that you might want to bid on. The list will contain whatever information the auction house has available on the vehicle making your job even easier when it comes to figuring out which cars to bid on.
Every auction will offer an inspection where you will be allowed to approach the vehicles they have available and do a cursory inspection. You can also start the engine and listen to it run. This should give you a pretty good idea of the condition of the car before you start bidding on it.
You should also consider checking the electronics and checking the fluids. Testing the transmission fluid for a burning smell and checking the oil for signs of contaminants are also good ideas. If you sense there may be an engine problem you should avoid bidding on the vehicle. A few scratches or minor body damage that can be fixed inexpensively, could be calculated into your cost for the vehicle.
You should have done your research before you even set foot in the auction house. Checked out the vehicles they had and determined what vehicle you wanted and what you were willing to pay for it. This can be determined by investigating the value of the vehicle and the cost maintaining it for the coming several years. By knowing this information you can determine what you are willing to bid and what you can adequately do to enact repairs on the vehicle if you win.
You Are Bidding Against Professionals
Remember when you are in the bidding process, there are professional car buyers there who are also willing to spend money to fix up a car. They are likely there to find vehicles they can reasonably resell for a profit. This puts you at an advantage because you are willing to pay a little more than they are. Stick it out and bid with confidence and you might go home in a new car.