Buyer Tips

Auto Dealer Auctions Are for More than Dealers Today

By Mike Richards Updated: 12/11/2017 Posted: 04/28/2017

Auto dealers get good prices on the vehicles they sell. This includes used car dealers. They often go through auto dealer auctions, so they can get the low-priced vehicles they use to fill out their inventory. Since they plan to resell, they work hard to get the lowest prices possible through the auctions. They also have quality cars from which they can choose much of the time. Some of the vehicles are trade-ins, cars that have finished their leases, and even new vehicles that did not sell.

Consider the benefits of having access to one of these auto dealer auctions. You would have a great variety of low-priced vehicles. Of course, you might wonder how you could become a part of these auctions. The short answer is that you can’t, as part of the public. The longer answer is that there is a way around this problem.

How Can You Become Part of the Auction Action?

It is true that the auto dealer auctions are usually for dealers only. You need to have a dealer’s license if you want to buy a vehicle. Chances are high that you do not want to go through the trouble of getting one of these licenses, especially if you are only looking to buy a car now, and maybe one or two in the future. You aren’t a dealer, so it does not make sense to get a license. So how do you become part of the auction?

Fortunately, it is quite easy. You can get access to the auctions through a third-party company. These companies have dealer licenses, so they can bid on the items at auction. They will act on your behalf at certain dealer auctions. You can look at the vehicles on their site and see the current bids, as well as buy now options. This allows you to determine whether the vehicle is worth your time and money or not.

Since you do not have a license, you will not be making the bids at the auto dealer auctions. Instead, you will have the proxy take care of the bidding for you. You will provide them with your budget and the maximum amount you are willing to bid. They will keep bidding until you win or until the vehicle is out of your price range.

Because you are often bidding against dealers in this type of auction, you will find that they like to keep the bids relatively low. Bidding a bit more can give you a better shot of getting the vehicle you want. Just make sure that the price does not get too high. When you are looking at the vehicles, be sure to learn as much as possible, including the actual value of the vehicle.

Just because you are not a car dealer, it no longer means you can’t be a part of auto dealer auctions. Take advantage of this option and find a great vehicle that works perfectly for your needs.