An auto auction is a great place to drive a great bargain when buying a motor vehicle. But, it is also one of the riskiest unless you are clear about your needs and budget. Knowing how auctions work is also a great plus.
The following guidelines can be a good help when participating in an auto auction, especially in Brisbane.
Know How Auctions Work
Before you head for the auction, whether live or online, first get to know its terms and conditions. Remember that once you make a bid, people understand that you accept the auction conditions. Also, keep your eyes open for signs such as ‘Sold as seen’, which will take away your rights under the Sales of Goods Act. Further, keep in mind that most auctions offer no warranty.
Bid Price is not the Final Price
Additionally, do not forget that the bid price is not the amount that you would pay. That is because car auctions usually have a buyer’s premium attached to the bid price that can range from a few hundred dollars to as much as 10% of the winning bid.
Here are other useful tips when buying a car off an auto auction:
- Get the vehicle history report. This is to avoid sellers of fraudulent, junked vehicles.
- Inspect the vehicle thoroughly for its condition.
- Know how long it will be before you can transfer the car title to your name.
- Consider going to an auto auction as a spectator instead of a serious bidder first.
- Find the market value of the car and do not bid above that.
- Ask the auctioneer if you can have a test drive before you start bidding.
Finally, do not get caught in the frenzy of fast-paced bidding. Always, keep your budget and the buyer’s premium in mind and rest assured that you can get the best buy at a car auction.