Are cars bought through auctions typically cheaper? Why is a down payment required before you bid on a car?

Question

There's a government bid going on and i want to know if i can save money on a car by purchasing it through this bid. The problem is that it requires a 10,000 dollar deposite.

Answer 1

At a government auction you can get a good deal if you know what you want and know how much you will be willing to pay. If you get carried away bidding, you can overpay.

The deposit is to prevent people who don't really want to buy from screwing up the auction with fake bids and then not paying, then they are left with the car when the auction is over.


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Answer 2

auctions like this i stay away from,,i don't go to any that require a down payment,,i want the choice to take or refuse a car if i decide i don't want it,,and at these auction,,you don't have that choice,,there usually what is called a final sell auction,,if you want to go to a good auction,,go to a public auction,,they have more to choose from,,and are easier to deal with than the others are,,and cars are not always cheaper through an auction,,that old myth about saving money,,is just about that,,a myth,,i have been to a lot of auctions where the cars were higher than if you bought them off a car lot,,good luck,,i hope this help,s.

Answer 3

you can join a copart auction and do not have to pay such a high deposit,but if you look around the USA you can find a lot of other auctions that you can go to with that kind of money, you need to do some more reasearch before going in so deep,I would start by looking at local federal and government surplus pages then widen your search from there,good luck,delmy d

Answer 4

generally, if you have experience in the car field, you will not get a better deal at govt. auctions. their are to many greenhorn wantabe's that beleive any price is a good one. the auctioners know how to get you to bid up. i have offered people identicle vehicles on our lot for THOUSANDS less and they still buy at the auction. at most auctions, i look at 1500-2500 cars, bid on 15-20, buy 3-5. ive been doing this for 20 plus years and i still buy bad cars occasionally.. goodluck

Answer 5

yes a auction is alot cheaper way to buy a car. usually though its alittle dangerous if you don't know what your doing. I believe your able to test drive them but you cant take them off the property to have them checked out. So if you know enough to check them yourself do a thorough job. theres nothing you can do if you buy it and its a bad buy. I think the 10 grand is so they know you have the money to buy a vehicle.