Many car dealers have been quietly making large profits for quite a long time now, by buying cars at well below market value using a source many have heard of but few have done serious research on. There sources are the many government seized car auctions and seized car lots that hold sales regularly all across the united states.
Here is some information on 2 types of auctions that are very popular today where you can buy many seized vehicles well below market value. Live government auctions and online government auctions. With online auctions you have the convenience of being able to participate in your own home and browse huge selections of automobiles easily. However a picture online is only worth so many words, which makes it difficult to get a complete assessment of a vehicle. Another disadvantage of online government auctions is the fact they tend to draw more people which means more competition and higher overall prices on average, but not always. There are many times where you can sill get a fantastic deal online, do not be to quick to discount the validity of getting a great deal from these types of auctions.
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There are some important things to look at.
How to Buy Used Cars for Cheap – Step 1
Just what are your requirements in a vehicle? Driving yourself 40 miles a day to work? That will pile up the miles in a hurry. A Chevy Tahoe is probably not your best choice, unless youve got a hell of car pool and the weather really sucks where you live. On the other hand, if you take your extended family of on ski trips while towing your trailer, a Tahoe would be just the ticket. You can save a ton of money by getting what you really need in a vehicle, and foregoing what you really want. It bites, but youll save a pile of money, and thats what buying cheap is all about.
After you decide what type of vehicle suits your needs, narrow down which vehicles in that category youd actually be caught dead driving. Typically less picky equals more savings. If youre the easily satisfied type here, that helps. If details such as colors, brand, and features, dont matter to you all that much, the easier it will be to get a great used car, cheap.
How to Buy Used Cars for Cheap – Step 2
Think beyond how much money youll save today and consider total ownership cost. Getting nickel and dimed to death probably isnt what you had in mind, is it? A few features you shouldn’t overlook are safety and reliability. You, and possibly your family, will depend on this car, your lives are at stake every time you ride in it, so cheap should mean its a deathtrap. Just remember the Insurance Institute for Highway Safetys report a few years back on the Ford F-150 before it was redone in 2005. Ouch!! The Insurance Institute for Highway Safety does some very good tests to determine the vehicle safety in a variety of different collision situations, far beyond the required U.S. Government DOT crash tests. Check them out as well. Two more great resources to narrow down your shopping list are Consumer Reports and MSN autos. Both have great reliability reports for used vehicles. MSN even breaks it down so you can see where potential reliability areas lie in various vehicles.
How to Buy Used Cars for Cheap – Step 3
After youve determined what works for you in a used car, you can start actually looking for your new, used car (isn’t that an oxymoron?). A great tip about how to find a used car for cheap is to look for some of the less popular, but still functional, reliable, and safe brands. You’ll save some money for example, by foregoing a Honda for a Nissan, or skipping a Toyota and landing in the driver’s seat of a Mazda. Unlike in days gone by, today’s vehicles hold up remarkably well with far beyond 100,000 miles showing on the odometer. In fact, they can still look and run almost new at this figure. So, don’t let a few miles scare you. You’re buying the car for what it has left, not what it shows on the odometer.
How to Buy Used Cars for Cheap – Step 4
Its finally time to check it out - what to check for. Once you found a car that seems to fit your requirements, there are some things you should check to make sure you are in fact getting a good, cheap car, not just a cheap car. Finding one that has been well taken care of is too important to ignore (or even gloss over a wee bit). Today’s cars are remarkably robust, but they do require regular maintenance. If thats been neglected you cant really be sure theyll provide the years of service of that youre hoping for.
Modern cars run like Swiss watches, with their highly engineered, internal parts spinning about in a fine, choreographed ballet. However, that example of modern engineering could turn into a pile of very expensive crapola if it doesn’t get the care that makes it feel warm and fuzzy inside. After all, ballerinas blow out their knees almost as often as NFL players. The component parts for modern cars are sit down, youve got to be freakin kidding, expensive. It’s pretty typical for a transmission to cost between $2,500 and $6,000. A new engine may cast close to $10,000 (an excellent argument for used engines, which are far cheaper, but can come with nice guarantees). The takeaway is that a bit of snooping now could save you a very expensive problem down the road. Be like a horse trader in the old west; look the horse in the teeth make sure you really want it sleeping in your barn.
You should definitely check the vehicle’s history. You could discover all manner of horrors hiding in it’s sordid past. There are all to many cars that sat out the last hurricane in 4 feet of water knocking around this great land of ours. Carfax works very well for this, with their vehicle history reports. Bring a laptop or mobile device to access the web while you’re shopping. You can get unlimited uses for a month for a pretty reasonable price, so you can check out a large number of prospective vehicles as you’re shopping.
When you’re actually looking at the car, kneel down and sight down the car’s body lines. If they are wavy or you can see obvious imperfections in the paint, chances are the car has been damaged and repaired at some point. Another trick is to bring a small magnet with you. If the car has metal body that’s been repaired with body filler putty, the magnet will not adhere to the repair as well as it does to the other parts of the body. The less it sticks, the thicker the Bondo. Crawl under the car and check the frame or unibody members for any signs of bending, corrosion or other damage. See if it looks like the car’s underside has been places you wouldn’t take a car you loved.
Pop open the hood. Pull out the dipstick to check the oil. See if the oil is between the “add” and “full markers, and if it’s black or a nice, golden brown. If it’s thick and black, the oil probably has been neglected. Check to see of there’s any white substance mixed with the oil. That’s usually engine coolant. It’s not supposed to be in there with the engine’s oil. If it is, there’s a blown gasket or an even more serious engine problem. That won’t be an inexpensive car, but it may be a cheap one.
Check the tires for uneven wear. If the tires need to be replaced soon, that may not be a trivial expense on many cars. You could spend $350 - $600 on a new set of Goodyears, mounted and balanced. The car’s tires are extremely important to vehicle safety, handling, braking and acceleration however, so don’t skimp if you do have to put on a new set. Be sure you use the fact in your negotiations.
Uneven tire wear may also be indicative of a greater problem, such as a suspension or alignment issue. It could also mean the car has been wrecked in the past and not repaired correctly. With unibody vehicles the quality of the repair is even more important than with traditional body on frame vehicles, and its much more difficult to do, especially without the proper equipment. Youre not going to correctly fix a badly damaged, unibody car outside Uncle Larrys house, under his oak tree.
You need to decide where you want to look for your car. You can choose a private party. You can often get a great deal from a private party. Try to ascertain their reason for selling the car. Some insight here may determine if you have a highly motivated seller and give you the upper hand in the negotiation. Another benefit to a private party is that you’ll often get the car’s service records. These can boost the resale for you later and shed light on any past problems.
You can obviously buy from a dealer. There are hundreds of lots brimming with shiny used cars in most metro areas. You won’t get as good a deal from a dealer (?) in most cases, but you won’t have to meet 46 different sellers either. In addition, you can possibly get some kind of warranty of the dealer offers one. If you do elect to avail yourself of a warranty, read the entire contract like youre an attorney (if youre actually not one).
If youre trading in your existing car, remember that in many states youll get to deduct the value of your trade from the sales tax and could realize substantial savings. If theyre giving you a good value for your trade in (I know, fat chance) that could add up big. For example, if youre in an area with an 8% sales tax and theyre giving you $10,000 for your trade, thats $800 less youll pay because you dont pay taxes on the $10,000 of trade in value. So, if youre buying a $15,000 used car, youll only pay taxes on the difference between your trade and the sales price. Instead of paying $1,200 in sales tax, youll only pay $400. Consider that when making your decision about where to buy your used car.
You can buy your cheap, used car from an auction. There are many different kinds of vehicle auctions. Many law enforcement agencies sell off vehicles confiscated according to property forfeiture laws. These laws allow the agencies to keep property of those arrested for a variety of crimes, particularly drug crimes. If the perp had pride in his ride, you can get a very nice vehicle. Other auctions are held to dispose of vehicles seized by customs officials, abandoned at towing yards, or to satisfy tax liens. You can also find fantastic deals at auctions held to liquidate vehicle fleets of large businesses, such as phone and utility companies. It’s not uncommon for vehicles to be sold for far lower than they would in any other marketplace, often at only pennies on the dollar..
The downside of auctions is, you guessed it, you know nothing, nada, zero, zip about these cars. To make matters worse, you can’t drive them in most cases. In the cases where you can drive them, you’ll only be permitted to take them for a slow spin around the auction yard. Another downside is inventory selection at many vehicle auctions. The selection can range form outstanding to very limited. You know what, though? Many used cars on dealer lots are found at auctions. The dealers keep this little secret tucked safely away inside their little book of tricks. If you could get your new car at an auction you could pay what the dealer’s pay, sometimes less.
Next time you need to buy a cheap, used car, remember there is one for you out there somewhere. You just need to find it and check it out before you get soaked. So, its true, you can find used cars for cheap.

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