Tips for Auto Auction Buying

Make sure you have enough money in your bank account to cover your check. Many auctions may require a bank draft instead, so be prepared ahead of time.

Before you go to the auction, like maybe right now, browse over to CARFAX, and sign up online to their 30 Day Unlimited CARFAX Vehicle History Reports account, you'll be running the VIN#'s of several cars.


Make sure your contract clearly states whether the title indication light was red, green, or yellow. If your purchase turns out to be a red light title problem later on, yet they indicated green, you got them by the neck now.


Get to the auction early to stock your prey! The earlier the better. Beat the crowds, avoid distractions and look for the cars you'll want. Make sure you have a Kelley Blue Book, NADA guide, or Edmunds book if you're going to a public auto auction. If you're going to a wholesale auto auction, bring a Black Book with you. If you have your PocketPC, just surf to the car pricing web sites from the auction.


As you find the cars you like in the lot, open all doors, hood, trunk, and look for the VIN# stickers, and make sure they all match. If they don't the car is either stolen, or was in a wreck, and fixed with parts from another car. There are two ways to check the VIN#s at this point. You can use your cell phone to call someone sitting at a computer and have them run the CARFAX Vehicle History Reports, or use your wireless Pocket PC or Palm Pilot to surf to CARFAX and run the VIN# yourself right from the auction, and the report appears instantly online. If you have a Blackberry, have someone at home run the CARFAX Reports for you, and email it to your Blackberry. Now you'll now the history of any car at the auction. Don't trust any title checks supplied by the auction, always verify your own. Remember the auction has a vested interest in selling the car.


Make sure the contract states how many days before you get the title. If it takes longer, you can get your money back, because at this point it's breach of contract. I personally would not bid on a vehicle unless the title is there. If they expect you to pay in full, they better have the title. But most cars there do not have the title, it's always "In Transit". One of my dealer friends once waited 6 months for a car title, after getting jerked around.


Don't forget you have to pay a buyer's premium on the car, which could bring your cost over market value.