Repo Auto Auction- 5 Easy Steps to Finding The Right Car
September 28th, 2009
Cars that sell at a repo auto auction are often below wholesale values. Cars at the repo auction are great cars that were privately owned and have been either seized by the bank or financial institute. Please read the 5 easy tips to understanding the repo auto auction and get yourself a car at wholesale prices.
1. Where to find a repo auction.
Finding a repo auto auction is easier then you might think. The best places to look are local newspapers, by calling the bank and finally, online services to search for repo auctions. And these repo auto auctions are more common then they sound.
2. How to appraise a car from a repo auction.
Pretty much as you would any other car purchase. All you need is the year, make, model, mileage, colour, options and overall condition of the car. Then use KBB.com, Edmunds.com and NADA.com to determine the vale, these are all are free services online. You will be given three different values including retail and trade in. The only one that is of interest to us is the trade-in value. This is the true wholesale value of the car. This is the value that you are comparing your repo auction car purchase to. Ignore the other values.
3. How much should you pay for a repo auction car
determining the value of the repo auction car and subsequently how much you should pay for the vehicle can be tricky, but a good bet is to use the blue book valuation. But remember the valuation should take into account any repo auto auction fees.
4. Bidding wars
when at the repo auction avoid getting yourself stuck in a bidding war. If you do, you will end up paying far more then you had hoped. Stick to the wholesale price that you have worked out minus any fees.
5. Inspect the repo auction car
Three easy ways to inspect a repo auto auction vehicle, do a carfax.com search and get full history. If its not good walk away from the car. Most importantly Do a visual inspection yourself, check for any easy to find defaults such as fluid leaking, unusual tire wear, signs of an accident such as unusual shading of colour or uneven gaps in the panels, always give the car a thorough inspection and if your not too confident take a mechanic with you to the repo auto auction.
Now take these 5 easy steps to buy your car at a repo auction.