Think you’re stuck having to haggle at the dealership for a new car? Think again. Here are some tips on getting a brand new car at an auction instead.
Dealer Auctions are Great for Getting New Cars
Most individuals think that car auctions are only for getting used cars or ones that have been seized by the police in drug busts. While there are certainly plenty of those types of cars being auctioned off at events open to the public, there’s a second type of auction that deals almost exclusively with brand new cars, or ones that have just come off their first lease – dealer-only auctions.
While you need to have a dealer’s license in order to attend such an auction in person (or be the guest of someone with a dealer’s license), you may get an amazing deal on a new car at one of these auctions. These vehicles are priced at wholesale prices so dealers can buy them and then resell them at a profit, so you can save thousands of dollars over MSRP if you’re lucky.
Use an Online Auction Site to Avoid the Physical Challenges
Attending a car auction in person is a chaotic and stressful experience. It’s easily overwhelming for all but the savviest of bidders.
However, there’s one great way to avoid all the physical challenges associated with attending an on-site car auction. Many of these auctions are accessible online as well as in person, and you can even enter bids on these cars. It doesn’t matter if it’s an auction open to the public or it’s a dealer-only auction, as there are third party companies that retain dealer’s licenses in order to act as your proxy bidder for some of these auctions. All you need to do is provide them the cash and they’ll bid as you instruct them to.
Many of these proxy bidding companies go even one step further by delivering your newly-purchased vehicle to your driveway so you can get it registered and insured as your personal car.
In some cases, you can even ask these companies to handle the details for shipping your vehicle overseas if you’re living in a foreign country and you would like to import it. You’ll have to pay the additional shipping costs, but the actual logistics of shipping your car will be handled by the company directly.
Don’t Rule Out an Outright Purchase
Whether you’re perusing the options of a public auction or you’ve gained access to a dealer auction with the help of a third party company, it’s not uncommon to see new and used cars listed on these auction sites that are available for purchase outright. This means that you can skip the entire bidding process and buy the car immediately.
Buying a car at auction outright might seem like a poor financial choice, as the buyout price is likely set relatively high in order to ensure the seller gets a good return on its investment. However, just because you’re not bidding on the vehicle directly doesn’t mean you should rule an auction buyout negatively.
In cases where you’ve found a vehicle that is the absolute perfect car for you that fits in your budget comfortably, you can guarantee that you’ll get the vehicle instead of risking disappointment if you get outbid during the auction process.
Taking the uncertainty out of the process not only provides you with the peace of mind to know that you won’t be in competition with other bidders, it also means that you’re speeding up the process as well. Instead of having to wait a week or so until the auction date and then anxiously waiting throughout the bidding process, you can simply buy the car outright, secure in the knowledge that you still got an excellent deal on the price.
This applies any new car you buy at a dealer auction, as even buyout vehicles at these types of auctions are priced attractively at close to wholesale.