The internet has greatly eased the burden of car shopping; in particular, dealing with pushy salespeople, endless negotiations and painful posturing. However, with online car auction websites popping up everywhere, remember the old adage, “if it sounds too good to be true, then it probably is.” Below are several tips to consider if you’re thinking about purchasing your next vehicle through an online car auction website.
Shop ‘til You Drop Without Taking the First Step
One of the biggest advantages of looking for a vehicle online is the convenience and ease of shopping from the comfort of your home. You are not limited to dealership hours, the hassle of driving to the showroom, and you are not at the mercy of those pushy salespeople nor inclement weather.
Variety is the Spice of Life
With a click of your mouse, you can peruse through thousands and thousands of vehicles if you so choose – all makes, models, colors, fully-loaded or standard equipped, you are the “Master of the Vehicular Universe.” However, some of the websites require you join before you can see the inventory.
The Price is (Usually) Right
Most of the vehicles found through free online car auctions have either been repossessed or seized, or they are expired government leased vehicles, and/or desperate sellers who are trying to make a quick dollar or unload a vehicle they can no longer afford. Consequently, these vehicles are priced to move and you enjoy a luxury tax break since that tax was paid by the original owner. Overall, you’re getting a quality vehicle for pennies on the dollar.
Appreciation for Depreciation
We all know the minute a new car leaves the lot, it loses nearly 75% of its value and continues to depreciate rapidly. Purchasing a slightly used, low mileage vehicle through an online seized car auction allows you to bid on the vehicle so you control how much you want to spend. Because most vehicles will already be priced well below their market value, you will probably never be in an upside-down situation where you owe more on the vehicle than its market value.
Caveat Emptor “Let the Buyer Beware”
Research, research and more research cannot be stressed enough when looking for a vehicle online. Make sure you conduct a title search or get one in writing from the seller or auctioneer. Use a legitimate company such as CARFAX.com to get a thorough history of the vehicle, including prior accidents and body damage/repairs, and prior ownership information. The VIN number should be available on the website and the primary information needed to run a history on the vehicle.
Know Your Limitations and Set Them
When purchasing a vehicle using an online bidding process, place your maximum bid, set your incremental raises, then leave it – if you’re the winning bid, congratulate yourself. Don’t get caught up in the excitement of bidding and end up paying more than you originally intended. Remember there are professional car dealers in the same game, so when in doubt – get out.
Sight Unseen but Satisfaction Guaranteed
Unfortunately, purchasing a vehicle through the online bidding process does not allow you to physically inspect the vehicle. However, legitimate online used car auction sites will have a policy that if upon receipt of the vehicle, it fails to meet your expectations or is mis-represented in any way, you can return the vehicle for a full refund. Be sure to confirm this policy before bidding on any vehicle.
In summary, there are pros and cons to car online auctions. Either way, there is no substitute for thoroughly researching the vehicle’s history and the auction company. Remember, decide on your price and stick to it. In the end, you’ll be the winner.
Tags: car online auctions, free online car auctions, online car auction, online car auctions, online seized car auction, online seized car auctions
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