There are advantages and disadvantages to purchasing a vehicle at a government or police auction instead of going to a car dealership. Many people don't realize it, but the police seize thousands vehicles every month and in most cases auction them off to the general public at greatly reduced prices.
In fact these auctions are a secret that car dealerships don't want you to know about. An educated consumer could pose as a potential threat to at least a portion of their business.
Yet almost all North Americans still continue to use car dealerships to purchase their vehicles every day. Why? Most people unfortunately aren't educated on police auctions. The government doesn't spend any money advertising so auction attendance is solely based on word of month. Following is a list of pros and cons when buying at these auctions:
Advantages:
- Business Methodology allows much lower prices.
- Auctions are frequently held in many locations throughout the US and Canada
- Detailed previews on the Internet of the cars and vehicles that will be offered at upcoming auctions
- There is usually a wide selection of vehicles that can be found at government auctions - sports cars, SUV's, pick up trucks, motorcycles, jeeps, etc.
- No middle tier channel (middleman) to go through or pay
- No pushy salesperson looking for a commission
- Seller is motivated and doesn't want to handle inventory, everything has to be sold!
- Possible advantages to income taxes (establish a business name)
- Usually pay less car taxes
- Once you have an understanding of police auctions, you can start your own business (i.e. Sell cars on eBay or Autotrader.com).
Disadvantages:
- You'll probably have to pay it all in cash (which for some is a blessing)
- No extended warranty beyond what the manufacturer offers. Most used dealerships give only 30 days
If it's not a problem paying cash, or you can get credit elsewhere, then the advantages outweigh the disadvantages. Just remember to bring a mechanic or car expert who understands vehicles with you to the auction. They will inspect the vehicles that you're interested in to make sure you get a great deal.
About the Author:
To locate automobiles at the best government auction sites click government auctions review or more specifically click Police Auctions, Seized Cars, Trucks, Boats, Vehicles
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