How to be a Savvy Buyer at a Used Car Auction

If you’ve never been to a used car auction, you’re in for a treat. A used car auction is fun to attend even if you’re not in the market for a car. The action is fast and furious with cars sold left and right for thousands of dollars, usually within a few minutes. Some of the larger auctions have two to three “lanes” of cars, with auctions taking place simultaneously on each lane. Buyers scurry from lane to lane, taking a last look at the cars. Typically each car is only on the block for minutes – as a result, you’ll need to inspect the car ahead of time and decide what you’re willing to pay before the action starts. Here are some ways to help you be a savvy car buyer at a used car auction:

Go to a few used car auctions before you’re ready to start bidding. Visit a particular auction at least once or twice before you’re ready to buy to try to spot “dogs” that don’t sell and end up at the auction the next time. If a car doesn’t sell, there’s usually a good reason – so avoid it. If the deal seems to be too good to be true, it usually is.
If you can, stand behind the car before it’s started to watch the lights on the dashboard and to check for excessive exhaust smoke. You won’t be allowed to start the car yourself, so this is the closest you’ll come to seeing it run.

Go into the used car auction knowing you’ll probably have to make at least a few minor repairs to the car. The car might be at the auction for a reason, so reduce your maximum price to allow for some amount of repairs if you’re the winning bidder.Listen carefully to the auctioneer. Most talk extremely quickly and the language may seem like a kind of code. If you don’t understand what the auctioneer is saying, don’t bid.

Wait to bid at the last possible time, and do so quietly. There’s no reason to make a show of your bid. There’s also no reason to bid early. Wait to see how the bidding is going before you jump in.
Be ready to think fast – used car auctions happen quickly. Be as prepared as you can, and when a car you’re interested in is on the block, focus completely on the process. You’ll probably only have a minute or two to make a final decision about your bid and whether you really want the car, so prepare as well as you can ahead of time.

Know your maximum price and determine what you think the resale value is before the auction starts.
Ask a friend to come along to help keep you calm and rational. Let them know their job is to make sure you don’t get carried away and exceed your maximum price.

Plan ahead of time for how you’ll get the car home. In some towns the local police watch cars leaving the used car auction because they know a number won’t be properly registered. You can either arrange for towing or hauling on your own, or use the services of a towing company onsite at the auction.

Don’t buy a used car from an individual outside the auction. Often individuals will try to sell a car outside the premises of the auction because they know ready and willing buyers are attending. If you want to, look at the car, but make sure you check it out thoroughly before you make a purchase. Most of the time a car for sale outside the auction is a car the owner wants to unload quickly – so beware.

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