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A repossessed cars sale most often occurs at a public auction. There are some occasions where sales take place at other places but these would account for only about 10% of the market. So it's best to concentrate on where the 90% of sales occur to get the best bargain!

Before I give you the tips it's a good idea to give a bit of background why auctions are used and the type of cars that are placed there for sale as that way the tips that I mention will make more sense.

Cars are repossessed when a person or a corporate entity fails to keep up with payments on an outstanding loan or doesn't pay taxes to the government. There is also a different terminology used in both cases but they mean the same thing. A lending company/bank repossesses property either a car or real estate, the government or the police 'seize' the property. So when you here about auctions that are selling repossessed cars or seized cars they mean the same thing!

If a car has been repossessed the lending company rarely puts a 'reserve' (minimum price), this is because the outstanding debt is likely to have been repaid by insurance taken on the loan. Likewise, if the car has been seized by the police or a government body there is also likely to be no reserve on the car.

So what does this mean for you?

It means that the final bid accepted in the auction is likely to be accepted no matter how low it is irrespective of the condition and age of the car. This is one of the reasons why on average it is estimated that cars bought at auction are usually up to a 40% discount from what you would get at you local car dealership. So as you can probably guess if you attend an auction you may just 'bump' into your local car dealer as he buys cheap stock to sell to you at a more expensive price! That is why many of the 'rumors' that are spread about auctions abound - these guys don't want to be out of business!!

Ok so now we have set the scene:

Tip #1

Go to your local auction - one that advertises when there is going to be a repossessed cars sale or a seized car auction. This is the first place where you are going to find the bargains.

Tip #2

Do some research on prices. Decide on a price for the model you are looking at and stick with it don't get involved in a bidding war as you'll end up with an expensive car and no bargain. Check the car over, check the engine, the interior ( a good indicator whether the cars' had a hard life) and the bodywork for misaligned or color mismatched panels (indicative of accident damage). Then bid!

Tip #3

Don't be impatient. Most bargains are got at the end of the auction when most of the buying has been done and there is a smaller playing field. I've always stayed towards the end when I've bought my cars and I've managed to get some good ones. Remember there's going to be hundreds of cars in the next one. Also before I forget - auctions that are held in the morning are better than evening ones because it tends to be people in the car trade that go to these ones. Ones held in the evenings or late afternoon tend to attract private bidders who tend not to know the market and bid a bit higher.

Where can I get to the nearest repossessed cars sale?

You can look in the classifieds or you can pay about $35 for membership to a site that will list specialist auction houses near you.

Did you know that you can save up to 90% by buying your car at Auction?

Find out exactly where to get to a repossessed cars sale by visiting Car Auctions Reviewed.Com.