Buy your next car at auction and save. There are a number of auctions across the country that are open to the public.
The key to successfully buying a good car at auction starts with checking out the car. You will not be able to drive the car but for some auctions you can run the engine.
Before you even go there, check with a mechanic that knows the car you hope to buy at auction. Find out the typical problems associated with that car. These are the problems you will be looking for when checking out the car.
Then start and run the car for as long as you can.
Get Down and Get Dirty
Take a mat or something that you can lay on and look under the car. The most important thing to look for is any leaks. The car will need to run for at least 3 minutes to see any leak. In some cases, it may take much longer.
Grab hold of the tierods and any moving parts under the car when it is not running. Are they solid or lose and shake, rattle and roll.
Look at the underside of the body. Is there rust or worse, holes in the body. Here again, research will help eliminate from you list the cars that have a tendency to rust through.
Check all the lights, power accessories and look for any problems.
Then with a list of things that may need to be repaired, start to work to your maximum bid.
Although you can find car values on-line, these are often way off. If you do, start with the wholesale value.
Then look at what the retail value is locally. From the retail value, start deducting for things like tires (-$400 to $500), front end alignment if uneven wear on tires, body work, or anything that does not work that may need repairs.
Then you will have a maximum price to go to knowing you will have to put money into it.
Realize that most dealers make between $500 and $2000 per car that they sell. Also recognize that most dealers will do the maintenance that will get the car road worthy too. Thus, the price you pay should be way below the retail and close to the wholesale price.
How much you pay is up to you. However, recognize that you can always bid another car. You will be stuck with a lemon you paid too much for. So bid wisely.
What are the best auctions? Contact me and I will tell you of the ones I have worked up so far and which kind of cars provide the best deals. Although I have a list of all 50 States, this is a work in progress and since it is free, it will take some time to further develop to make it open to everyone.
If you are buying a car at auction and you have a good story or bad, please share your thoughts here.