Call Us NOW

0412 559 990

Home Blog Sydney Car Loans Blog: Tips for Buying a Car at an Auction

Sydney Car Loans Blog: Tips for Buying a Car at an Auction

Many of the clients that obtain car finance through our Sydney Car Loans office are buying a car at an auction. You could save a lot of money by buying a car at an auction. On the other hand, it could cost you a lot!

Here are some tips of what you should be aware of if you’re planning to buy at auction.

Do your homework. The less prepared you are when you go to an auction he more likely you are to make an irrational decision. It’s very different to a car yard where you have as much time as you like to make a decision. Also, if you’ve researched market prices, you’ll know what the cars are worth and know if you would be saving money or not on the purchase.

Have a set budget and be sure to stick to it even in the heat of the moment. It’s a good idea to take someone with you and ask them to make sure you stick to it!

Get there early. This will give you more time to inspect cars. Also, most auctioneers allow people to inspect cars at least the day before the auction.

Read the mechanical reports carefully. If a car doesn’t have any reports, it’s probably wise to stay away from it.

Stay away from damaged cars. They’re usually insurance write-offs. So unless you’re a car wrecker or a car enthusiast, steer clear.

Pickles Auctions says that around 70% or cars valued at over $5000 are inspected. The inspection covers the basics such as safety-related mechanical tests however, is not as detailed as a Pre-Purchase Vehicle Inspection.

Experts predict that you can save up to 20% on a good car at an auction. They define ‘good car’ as one that has less than 90,000 kilometres on the odometer and it is less than four years old.

When you’re ready to get car finance, give our friendly Sydney Car Loans office a call on 1300 856 846.