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How To Buy New Cars at an Auction with a Dealer’s License?

Date: 10/17/2015 |Category: Car Auctions, Car Dealers

The experience that most people have when buying a brand new car is usually the same. It involves going to one (or several) car dealerships where they have to negotiate with a car salesman or two until they find a happy medium on price versus performance.

It’s a flawed system that can usually leave a car buyer feeling drained and vaguely unhappy about the price they paid for their new car – hardly the type of experience one would want to have.  Even if you go to a public car auction instead, or use an online auction site, the prices you’ll be paying for your new vehicles might not be all that much lower than if you went in to a dealership and haggled.

Dealer Auctions

However, the experience for someone with a car dealer’s license is completely different. This is because car dealers can gain exclusive access to a number of resources, including the dealer auction.

These wholesale auctions are not open to the public, as you can only gain access to them if you’re a licensed dealer. The quality of the cars is much higher than at public auctions, while the prices are also lower than you’d find at a dealership.

Accessing the Power of a Dealer’s License

For the most part, you can’t get into these types of auctions unless you’re a licensed dealer yourself. However, there are ways around this. If you have a friend or a family member who’s a licensed dealer and you’re in the market for a new car at a great price, you can attend an auction with your dealer friend as one of his or her “drivers,” or staff members that will drive a car won in auction to the dealership.

However, there’s an even better way to gain access to a dealer’s license for buying a brand new car at auction, and it doesn’t even need leaving your home. There are, of course, public and dealer-only auctions that occur at physical locations throughout the country. Often both these types of auctions also provide access to individuals to their stock over the Internet.

You can borrow your friend’s dealer credentials to bid on new cars on a dealer-only auction site. However,  it’s safer and easier to bid through a website that’s run by a company with dealer credentials of its own. These companies will bid and buy on behalf of you. All you need to do is tell them what car you want and how much you’re willing to pay for it and they’ll do all the work for you.

Online Dealer Auctions: the Wave of the Future

In-person auctions can be very confusing and stressful. Meanwhile, the online auction world is quiet, peaceful, and comfortable. In many cases, if you win an auction on a brand new vehicle, you might not even have to go out to the physical location of the car, as many dealer auction sites will ship the car directly to your door for a reasonable rate.

On top of that, you can even buy a brand new car from one of these dealer auctions and have it shipped overseas to a foreign country. The company you bought the car through will handle all the shipping and export arrangements as long as you pay the taxes, import duties, and actual shipping costs. It’s an excellent system, as it’s convenient, efficient, and eminently affordable.

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  • User Registration
    • What are the rules regarding new customers and customers not in good standing?
    • Can I just buy one car?
    • I do not have a dealer license; can I bid or buy a car?
    • What information do I need to provide to register?
    • Do I have to pay to register?
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  • Auction Process
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    • What is the difference between, “auction” car, and a “buy now” car?
    • What is a Reserve Price?
    • What does the bid amount include?
    • How does the auction process work?
  • Deposits and Pre-Bidding
    • Is the security deposit refundable?
    • How do international customers make a deposit in their account?
    • How does the security deposit process work?
    • Can I cancel a bid?
    • Can I inspect vehicles prior to auction?
    • Is automatic bidding or pre-bidding available?
    • What is the total bidding amount?
    • What is a bid in active status?
    • What is a bid in pending status?
    • What is the best way to win an auction?
    • How do I search for a car available at auction?
    • How does the auction process work?
  • Post-Auction and Payments
    • What does a customer need to do to get the title to a vehicle?
    • How do I pick up the car I purchased?
    • Are there storage fees if I cannot pick up my vehicle immediately?
    • Do you Issue Temporary Plates?
    • Can I pay in cash?
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    • What are the payment terms?
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    • When is the balance due on a purchase?
    • When will I be notified of the results of the auction?
    • Bidding has ended. Is my bid the highest?
    • Why did I receive notice after bidding ended that my bid is no longer the highest?
  • Shipping and Delivery
    • How will it be mailed to me?
    • When will I receive the title?
    • Can I have the title mailed to an address/name different from the address/name on my account?
    • I have an agent working on my behalf can this person pick up my vehicle?
    • Do you offer delivery?
    • When can I pick up a car I have won at auction?
  • Understanding Salvage Titles
    • What is NMVTIS and how is it used?
    • Understanding the salvage title/rebuilt title distinction
    • What are the different types of titles a vehicle may have?
    • I received a different type of title than the one in the description. I received an equivalent title from a different state. Why?