Government Car Auctions Dissected

Government car auctions are great places for people to pick up a bargain at affordable prices. Some find their dream cars at rock bottom prices. As long as one is not too fussy about driving a used car, then there is no problem at trying one’s luck at a car auction.

Not many people are even aware by the terminology government car auctions. These cars are confiscated by the government from a variety of people including criminals, or the general public who may not have fulfilled a loan commitment or driving without a valid license. The government is interested in a quick sale of the cars and so the chances of getting a bargain car increase.

An interesting thing to note is that sometimes, decommissioned government cars used to carry officials too are put on sale at these auctions. That is when some real classic beauties turn up for auction.

Sometimes, these car auctions are held by special dealers who sell cars on behalf of the government. Amazing deals are found at these auctions. The major difference to a salvage car auction is that most cars are in a very good driving condition. Some luxury cars used by criminals are literally brand new. Imagine bidding and winning a near new car. This is any buyer’s dream. Many dealers attend these auctions to buy the cars at real cheap prices and to then sell them off to make a tidy profit.

The interesting thing to note is that because the cars are going for ridiculously low prices, a person no longer has to save for years to get their dream car. All they have to do is look out for when the auctions are held. You may wonder why the cars are going so cheap. To the government, the logic is that the car owners have no ability to pay but whatever money which can be recovered from the sales of the cars is better than nothing.

What To Do

Like any other car auction, if you can, come early on the day of the auction so that you are able to ask questions like the mileage and any important history attached to the car. Also, if you have never been to a car auction before, then you can find out about how bidding takes place and the payment method required. Also enquire if there is any buyer’s premium which is about 5-12% percent of the purchase price of the car. If you are caught unaware of this and do not consider this factor into your bidding, you may end up paying too much for a car and thus going over budget!

Sometimes you may discover that the car does not have that great a history and may consider withholding your bid. It is best to go prepared with researching beforehand exactly what the car should be worth and not exceeding the budget no matter how frenzied the bidding can get especially if it is an exceptionally rare car or a car with real resell potential. You have to keep in mind that it is just not you going to a government car auction but car dealers turning up for a bargain as well.

Features Of Cars

Almost all vehicles for sale in government car auctions are clean, safe and ready to drive away upon payment settlement. Normally, the cars not older than 5 years and have all or some of the features listed below:

  • Good to above average maintenance
  • Luxury cars to normal sized cars
  • Popular Colours
  • Power Steering
  • A/C
  • Power windows
  • AM/FM cassette decks

One thing about government car auctions is that they are not often easily searchable to the general public. If you are wondering where to start, browsing at online auction sites is a good starting point. Here there are lists of the cars to be auctioned off and their locations. The government car auctions are held often. Some of the sites will advise if there is any small administration fee required to enter the auction house. This is a nominal fee for the dealer to hold the auction. At these auctions, you will find all range of cars from the ultra luxury to your everyday cars. Do not wait for advertisements to appear in the paper because than there will be more competition. Some online sites may offer a small fee and send you an e-mail once the auction is announced. It is like a "member special", like an exclusive invitation. It is worth the effort considering the hundreds or thousands you are planning to save.

Quick Recap

Here is a quick recap to get the best out of a government car auction:

  • Search in various places not just the newspapers to find out where the auctions are held. Include the Internet, local bulletin boards, trade journals for locations and times.
  • Visit a preview day if the option is available to inspect the car out and see a few more cars in case you are overbid on the car you liked.
  • On the auction day, be early and register to bid.
  • Familiarise yourself with how the bidding is carried out and the payment method involved.
  • Research the prices so that you do not get carried away bidding for something which is not worth much
  • If you do not get the car, the first time round, not to worry as it has prepared you for future auctions.

So, enjoy the government car auctions when they come around your city the next time as you may end up with a very cool car at a cooler price!

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