You feel it in the pit of your stomach—equal parts anticipation and excitement. You stand back and evaluate the room. Bright lights dazzle as fresh paint bounces and dances under its gleam, lines of sharp suits and bright smiles rattle off information, and invitations to stay awhile and chat fill the room. Then you hear it… The auctioneer’s deep, familiar voice captures attention and signals to you that the auction is about to start—finally, you’re going to get the car of your dreams. Armed with your wholesale dealer license, you’re ready to begin.
Does this situation sound familiar? Perhaps you have been a part of an auction, or maybe you have always dreamed of attending one. Though auctions are a great venue to both buy and sell vehicles, sometimes it is difficult to know whether you are getting a good deal.
At US Dealer Licensing, we understand the struggle and questions that can arise. Check out our simple tips below to help you get the best auction experience!
Be Cautious of Damaged Vehicles
Though you can find beautiful, classy, and state-of-the-art vehicles at auctions, many cars go to auto auctions to die. If a vehicle has been labeled as totaled, repossessed, or traded in, take extra caution when conducting your inspection. Never be afraid to ask the seller tough questions, and never feel pressured into purchasing a car.
Bring an Expert with You
When it comes to purchasing a vehicle, two inspections are better than one. If you have a friend who specializes in fixing, buying, or selling vehicles, invite them along. It can be easy to miss certain details in the heat of an auction, but with another opinion, weighing the pros and cons can become an easier task.
Don’t be afraid to use your eyes, hands, and legs at an auction! Most auctions only allow visual inspections, but if you can, feel the car. Look for inconsistencies like bumpy sheet metal, paint overspray, and get down to look for scored brake discs and other imperfections. If you spot anything suspicious, never be afraid to ask questions!
Evaluate the Value of a Vehicle Before You Bid
Before going to an auction, make sure you do your homework. Resources like Kelley Blue Book and Carfax can help you determine the price of a vehicle. With a general price in mind, you can make smarter choices when it comes time to bid.
Stick to a Price
Before attending an auction, you should sit down and establish the top price that you are willing to pay for a car. You should make it a point to check out many vehicles, so that you don’t end up putting all of your money and effort into one car. Though bidding can be a fun experience, never feel pressured into making a purchase.
Beware The “As Is” Condition
Many vehicle auctions sell cars in the “as is” condition. This means that the car sold comes with no guarantees or promises. If you purchase a car with this clause and it doesn’t perform as it should, no legal actions can be taken.
Check the VIN
When looking at vehicles, check the VIN number on the dashboard, doors, and trunk. If there is a discrepancy between the VIN numbers, this is an indication that the car could have been in a serious accident or rebuilt. If a discrepancy is seen, it could be best to look at other vehicles.
Get a Wholesale Dealer License
With a wholesale dealer license, you have access to many vehicle auctions that are not open to the public! A wholesale dealer license also grants you the power to export and import vehicles from across the world, as well as the ability to both buy and sell salvaged vehicles.
The main reason people do not readily apply for a wholesale dealer license is because of the tedious process of obtaining one. US Dealer Licensing understands this issue and makes the process affordable and easy! With paperwork help, office rental services, and plate support, we handle the whole process. For more information on how you can get started, contact US Dealer Licensing and hear from experts in the wholesale licensure field.