If you're thinking about buying a car at a more affordable price, know that there are auctions usually organized by government agencies or financial companies and are a great opportunity to get a vehicle at a cheaper price!
But before participating in a car auction, you need to be careful and with that in mind we made a list of the main precautions and how to buy an auction car without regret, check it out!
Tips for Buying a Car at Auction
1. Know the auction
First, if you've never participated in a car auction, know that you need to know how it works and if you choose the auction of a specific company, visit the place and talk to the organizing team, to understand how the event will be.
Most car auctions take place in lots and some of these events are advertised in media channels such as newspapers, radio and TV.
Another tip for not falling into a trap is that many sites provide an online showcase with the cars to be auctioned. However, ideally, the interested buyer should go to the location where the car is located and check whether it is the one chosen over the internet.
2. Type of car
We recommend that you avoid imported cars in a car auction, because it is difficult to know if they are in good condition and sometimes the maintenance cost can be more expensive than the appraised value of the car.
So look for more popular car models and the maintenance value is cheaper to avoid future headaches.
3. Save some money
In addition, it is important to note that an auction car can come with fines and overdue bills left by the former owner and the ideal is to have money saved to be able to pay off all the outstanding debts of the vehicle to be able to use it normally.
And just as we mentioned above, you also need to have an amount of money left over for the maintenance of the car and to bid during the auction, because, as in any other auction, whoever manages to make the highest bid wins.
There are also fees to be paid during the auction such as 5% of the bid amount to the auctioneer or company running the auction. IPVA and DPVAT debit rates, in addition to the value of transferring the car to your name.
4. Limit Value
First of all, it is necessary to negotiate and establish a limit value for the auctioned car. Therefore, research the model and price lists to find out if the bid amount will not exceed the car's real market value.
5. Pay attention to fines and fees
As with the car rush in which you have to pay fees, you also need to be aware of the fines after the date of picking up the car.
This is because if you are late, you have to pay the rent for the yard where the vehicle is located. Therefore, the ideal is to withdraw it as soon as possible to avoid unnecessary payments.
Finally, when you finally have the auctioned car in the garage, try to settle it as soon as possible, to avoid an increase in overdue debts.
