Types of Auto Auctions
Auto auctions happen simultaneously in almost all parts the world, particularly in the United States. Usually, you can find information about auto auctions in the classified ads section of the newspaper.
Before joining an auto auction, first distinguish which type of auto auction you are qualified to participate in.
There are typically 5 major types of auto auctions. The best example of an online auto auction is the eBay Motors Auto Auctions and the Yahoo Auctions. Most auction houses offer an online auto auction where you can bid for the vehicle of your choice. Technically, everything is just the same as with a live auction, except that you are bidding for it online. However, since you are not able to see and inspect the car, it is more prone to risks of fraud and other problems.
Wholesale auto auctions are available for dealers only. Vehicles in this type of auction usually include cars that are returned after their lease expires, rental cars, trade in cars, exotic cars and used cars over four years old, and so on. Moreover, this type of auction requires that you are a licensed dealer before you can join. You have to go through a lot of requirements before you can even be considered as a registered car dealer. If you are lucky, wholesale auto auctions are a topnotch.
Public auto auctions are generally open to anyone. This type of auction is the most common type of auto auction available.
Government auctions and police auctions showcase vehicles that have been repossessed, impounded vehicles due to traffic violations or seized from criminals or bad people during an investigation. It is usually open to the public.
Insurance auto auctions or what is also known as salvage auctions showcase vehicles that have been seriously damaged. This is usually open to licensed auto dealers only. Since the vehicles up for bidding have gone through a total wreck, you are basically on your own choice. Salvage auctions simply means damaged vehicles.
Auto auctions generally vary from where and how the vehicles are from. Whether you are attending a public or dealers only auto auction, you still need to be careful in purchasing a second-hand vehicle. Make sure that it is well worth the price or you’ll only end up wasting a lot of time, money and effort.
Cedric S. is a writer for www.articles-r-us.net