Online auction methods may vary between auction houses but most car auctions typically feature virtual online bids. They will offer high resolution pictures of vehicle lots, mechanical and cosmetic reports and vehicle grading, all accessible from the comfort of your living room. Most auction houses are trade bidders only now; however you can still bid by using the services of a trade car buyer who can offer the correct guidance throughout.
Before the auction
Do your research
If you have a specific car in mind, learn as much as you can about its history and servicing details, MOT history, how many previous owners etc. Look also to see what the current forecourt value is so you can set a realistic budget.
Be aware though, photos can sometimes make the lot look better than it actually is. If in-person inspections aren’t available, try organising a virtual one. Thorough research reduces risk and lets you bid at an auction more prepared. Use the reports undertaken by the auction house to your advantage, they will contain lots of detail in relation to the vehicles cosmetic and mechanical condition.
Read the fine print
Remember, all auction houses are different. Reading the fine print lets you spot any hidden fees however, using the services of a trade buyer will undoubtedly save money on the fees too.
Start as a spectator
People are often caught off guard by how fast the whole online auction process can be. It’s common to have 300-400 cars featured in one session, so a winner is often determined in under a minute! Starting off as a spectator (if the auction house allows it), can help you get a feel of the process.
Determine your budget
Know your limits before entering into an auto auction. Don’t forget to factor in the extra costs, such as:
- the buyer’s premium (auction house fee)
- transportation
- registration costs
- potential repairs
- Any storage costs if the vehicle is not collected within a predetermined time.
The day of the auction
Know bidding techniques
There are no magic strategies. Success depends on the group and situation. Even seasoned bidders differ in their method of choice.
Biding one’s time
Some bidders like to drop a surprise bid at the end. In some cases, if there’s plenty of activity in the closing moments, a bidding extension will occur. If so, you’ll likely get a text or email stating that you have another chance to bid.
Getting in early
Bidders often like to put their bids early. It knocks out the opportunists — the people just looking for a bargain. Serious bidders often like to test the waters with a firm bid on a vehicle.
Reserving a bid
If you are not able to bid in person on the day then you may be able to bid in advance. This way the system automatically bids on your behalf up to your limit. This type of bidding is known as proxy bidding; some auction houses only operate in this way rather than a ‘live’ bid auction.
As the car auction buying specialists we can bid on your behalf, offering the support and guidance you need throughout the process.
For further information, get in touch with us via phone 07999 728009 or alternatively, fill out one of our contact forms.
