Many first time car buyers have never heard of government car auctions before. Usually, interested car buyers would rather look for the latest models in showrooms or go through second hand cars in car dealerships. These people do not realize that they are missing a lot by not considering auctions. Here are some facts about auctions that people should know about.
Every year, thousands of vehicles go to bank and government surplus inventory and not a lot of people know about it. The number of seized and repossessed vehicles can overwhelm the government’s budget. Maintenance along with the storage cost of these vehicles can be very high. To avoid spending funds, banks and concerned government agencies put these vehicles to auction. To get rid of them as soon as possible, these cars, trucks, and vans are sold for as much as 90% less their of their original price.
Different government agencies are responsible for these auctions. This include Small Business Administration, Department of Agriculture, Department of Energy, US Department of Defense, Department of Treasury, Internal Revenue Services, and the US Customs Services to name a few.
The strict enforcement of the anti mob law in the United States today has produced more seized posh luxury cars than ever. The government is not after profit. They need to get rid of these cars as soon as possible. The cost of maintaining them is a liability to the government’s treasure chest. As a result, government car auctions sell cars for ridiculously low prices.
People who are interested to bid for these cars will find those that were confiscated by the IRS. Most of these cars were not paid on time. This is why it is not surprising to find near new cars like Mitsubishis, Lexus, Nissan, GM, Ford, Honda, and Chrysler in auctions.
Some cars in these auctions are sold for as low as two hundred dollars. People who are interested to buy a car should take advantage of these government auctions. Just think about the amount of money one can save. Not to mention the value of most of these cars is more than it’s worth.
These government car auctions are very accessible. They can be done online or live through local auctions. They are usually announced in local newspapers. Buyers should also understand that there are thousands of cars to choose from. To avoid overbidding or ending up with the wrong type of car, buyers must first know their budgets and work from there.