Police Car Auctions or Car Dealerships – Which is Better?

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by Scott Goddard

There are advantages and disadvantages to purchasing a vehicle at a government or police auction instead of going to a car dealership. Many people don’t realize it, but the police seize thousands vehicles every month and in most cases auction them off to the general public at greatly reduced prices.

Government auctions are a well kept secret that dealerships would rather you not know about. They purchase these vehicles themselves for very low prices and sell them to the rest of the public for good profit. The more consumers become educated about police auctions, the more competition they face at the auction plus car dealerships sales they could potential lose that business.

Yet almost all North Americans still continue to use car dealerships to purchase their vehicles every day. Why? Most people unfortunately aren’t educated on police auctions. The government doesn’t spend any money advertising so auction attendance is solely based on word of month. Following is a list of pros and cons when buying at these auctions:

Pros:

- They’re offered at much lower prices than anywhere else

- No matter where you live, there are typically many auctions held around your area

- Detailed previews on the Internet of the cars and vehicles that will be offered at upcoming auctions

- There is usually a wide selection of vehicles that can be found at government auctions – sports cars, SUV’s, pick up trucks, motorcycles, jeeps, etc.

- No middleman for you to have to deal with or pay

- No pushy salesperson looking for a commission

- Motivated seller who doesn’t have the resources or time to deal with inventory, therefore offering vehicles based on no reserve bidding

- Possible advantages to income taxes (establish a business name)

- Usually pay less car taxes

- Once you understand process you can do as a side business (i.e sale cars in Autotrader.com or eBay)

Disadvantages:

- Most of the sales are cash only (any credit would have be done externally)

- No extended warranty beyond what the manufacturer offers. Most used dealerships give only 30 days

If you don’t mind paying cash for a near new vehicle, then the advantages obviously outweigh the advantages. Don’t forget to have someone with you who understands vehicles to inspect the ones you’re interested in.

About the Author:
To locate automobiles at the best police auction sites check out government auctions review or more directly click Seized Cars
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Automotive - Posted by on March 15, 2009

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