Types of Vehicles Sold During Auto Auctions
Auto auctions are a fantastic way for you to get the car of your dreams at a very low price. They are usually auctioned off by institutions because of a variety of reasons which include repossession and seizure.
Aside from repossessed vehicles, there are also other types of vehicles sold at auto auctions. This article will be dealing with them.
1. Repossessed vehicles – they are the type of vehicles that are seized by financial institutions because the original buyer was unable to pay for them. ‘Repo’ vehicles, as they are popularly known, are sold at a very cheap price because the financial institution only aims to recover its losses from the vehicle. Also, the prices of these vehicles are subject to federal regulations, at least in the case of the United States.
2. Fleet cars – these cars are those that have been subject to a company’s desire to cut its fleet of vehicles or to replace its current fleet with new models. The vehicles available in this type of auction depend on the business of the company so they can range from sedans to heavy trucks.
3. Rental cars – just like fleet cars, rental cars are usually auctioned because the company that owns them would like to buy newer models for their fleet.
4. Off-lease cars – vehicles of this type are the ones returned to financial institutions after the lease period has expired. The financial institutions then auction these vehicles off once they are returned to them.
While participating in auctions can be a great way to buy cars at a great value, you should however be cautious when buying them. Since they are pre-owned, chances are that have already accumulated a lot of mileage before they were auctioned off. This is especially the case with rental cars.
Aside from the mileage, these cars may have also been subject to abuse by previous owners. Again, rental cars are often susceptible to this.
It is therefore important that you check the car first before you even bid on it. That way, you can be sure of the condition of the car that you are planning to bid on. If you aren’t satisfied, it would be better if you spend your money on another car instead.
Cedric S. is a writer for www.articles-r-us.net