How to Save a Fortune When you Buy your Next Used Auto

by : Michelle Baskin

If you've ever wondered how you could save $1000s purchasing your next vehicle, you should definitely read this article.

Every month thousands of vehicles are seized by government law enforcement agencies, finance houses and other loan companies in foreclosure actions. These cars are too costly to store and so they are auctioned off. Some of these vehicle can be picked up at low cost from government car auctions.

When vehicles are seized, the sale proceeds are used to recover funds for the various agencies and finance houses. Storing these cars for any length of time would cost additional money, and the car be worth less as time passes. The objective is to sell the car at auction as quickly as possible to recover some of the money from them.

The good news for you is that these auctions are open to the public, so anyone can bid on and secure a car fur much less than its true. Prices at government car auctions have been known to start as low as $100. But not everyone is aware that these car auctions even exist, and only those biders in the know were locking on to these bargains for themselves.

Government car auctions don't advetise extensively, so it can be difficult to know exactly when and where they are running. Sometimes small adverts for these auctions will appear in the newspapers, but you would need to keep a close watch on the press every day or you might miss them. It is because there is no widespread advertising of these government auctions that you can save a lot off the normal price of a car. There can also be other assets auctioned at the same time, including seized homes and property, so it can prove useful to know when and where these auctions are.

Even though you could save a subatantial amount of money, you should always do proper research before attending a government car auction. It can be very easy to get caught up in bidding fever, especially if there is a particular type of car that you really want. You need to make sure that in the heat of bidding, that you don't actually end up paying more for the car than it is worth. You should therefore check the true value of a vehcle before the car auction begins and set yourself a top price you are prepared to pay. Whatever happens at the actual seized car auction, don't bid over this price. Be patient as it is likely that another similar car will turn up at another seized car auction soon. Remember that thousands of vehicles are being seized every month.

Discovering when and where these auctions take place can be a lot of work. Seized assets including cars and property might be auctioned in a different town, or even different state from where they were seized. There are many government departments each holding their own auctions. On top of this there are many different finance houses and other loan companies, who will also hold seperate auctions at different times. Sometimes seized asset auctions are also held 'on-site'. This is when the items to be auctioned are too large to move to the auction house. For these auctions, the auctioneer goes to the company and conducts the auction at their premises.

If you are keen on geting a bargain on your next car purchase, or even buy a property at below market value as a property investor, it would be well worth your while to join an online government auction site that collates all the details of government and foreclosure auctions for you. It may cost $40 or $50 to join a site like this, but it will save you lots of time trying to unearth these auctions yourself. Just think that the bargain you might secure will be worth much more to you than the membership fee. On top of that, think about the amount of research the different auctions would save you.