What is Salvage title?

What Cars Should Newbies Avoid in Online Dealer Auto Auctions?

By Mike Richards Updated: 05/22/2019 Posted: 08/14/2017

Online dealer auto auctions are attracting more and more users by the day. They’re drawn to the prospect of saving an incredible amount on the purchase a used, salvage or like-new vehicle. What’s more is that they’re able to shop an extensive inventory, all without the need to venture out of the front door.

As more users flock to websites that offer access to dealer auctions, though, some find themselves intimidated by that same selection. To be sure there’s a lot to choose from, and many are wary of bidding on the wrong vehicle.

For this reason, we’re going to take a look at cars that dealer auction newbies should avoid. By steering clear of these kinds of vehicles, one should be able to get the car that’s right for their needs and budget.

Salvage Cars that Have Been Completely Wrecked

A large number of vehicles available through online dealer auto auctions will be salvage cars. These are vehicles that have had their policies paid out to the insured at 75% or more of the vehicle’s value. (What percentage this is will vary from state to state.)

Now, not all salvage vehicles are created equally. A good number of them will be vehicles that have been wrecked in a catastrophic collision or another calamity. While it is possible to repair these kinds of vehicles, it might be wise to avoid them if you’re new to online dealer auctions.

That said, there are some salvage vehicles that may warrant a newbies attention. For example, there are vehicles that have been recovered following a theft. In many cases these salvage vehicles may be in fine condition and could present an incredible opportunity for savings.

“Bill of Sale” Vehicles: More of a Headache than They’re Worth

With some online dealer auto auction websites, you’ll encounter what’s known as “Bill of Sale” vehicles. These are vehicles that do not have a title, and therefore only have a Bill of Sale to establish ownership history. The lack of a title creates headaches when it comes to taking possession of a vehicle. These kinds of cars are therefore more trouble than they’re worth for dealer auction newbies.

Used Cars with Fire or Water Damage

Finally, be sure to avoid any cars that have a history that involves fire or flood damage. Calamities involving fire and flood can cause deep and hard-to-repair damage in a vehicle. Oftentimes, the work and expense required to get such a vehicle into good shape is in excess of what most would want to expend.

Finding What You Want Is Easy

Of course, you do not need to allow yourself to become daunted by the array of choices before you in online dealer auto auctions. Any website that provides access to dealer auctions will most often provide you with access to an auction specialist. This person can work with you to understand your budget and needs and will then point you in the direction of cars that will match your criteria.