dealer vehicle
What is Salvage title? Buyer Tips

What is a dealer vehicle?

By Auto Auction Mall Team Updated: 05/23/2019 Posted: 11/26/2018

When someone asks you what a dealer vehicle or a dealer car is, the simple answer would be, ‘the one you want to avoid.’ These are the cars you find a your local dealers’ lot: the cars that are sold with a dealer markup. And why would you like to avoid these cars? There is a simple reason for that: dealers get their cars at auctions where they pay a lot less than they sell the car for. This means that if the dealer can buy a car for less, there should be a way for you to pay just as much.

Basically, dealers hit closed auctions that only people or companies with dealer’s licenses can attend. You could also apply for one, but it can be expensive if you plan on using it for one purchase only. You could also find a friend or a relative who has a dealer’s license and tag along as help, a driver or whatever they put you on the list for.

There is also another way: you can hire a third-party proxy company that can grant you access to any car auction for a certain fee. You can browse through the auction inventory, find the car you like and notify the proxy company to bid on your behalf under the budget you set.

If you place the winning bid, you are basically paying the same price for a car a dealer would pay. This means you don’t have to pay a dealer’s markup and you are getting the car cheaper.

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Further Read

What does MMR mean?
Are Car Auction Prices Worth It?
What is the black book value of a car?
Buying Cars From Auctions: Common Terms Used at Auctions
How You Can Get Your Next Car from a Dealers Auto Auction
Top 10 Best Online Car Auctions Websites to Buy Used & Salvage Cars
How to find used car auctions near me?