Tag Archives: car-buying

Car Auctions: How to be cool on the dance floor…

28 Mar

If you can answer “YES” to any of the following questions, then for goodness sake don’t read the rest of this post.

1) You drive a BMW Mini and thought it would be funny if you attached fake ‘eyelashes’ to the headlights.

2) You recently purchased a new Saab for a great price by using your truly awesome bargaining techniques.

3) Your boyfriend drapes his arm around your seat top when you are driving and glares at passing motorists.

Okay. I think we shook them off.

Oh – hang on!  There’s a couple of stragglers who are still here out of curiosity, not sure if I’m joking or not…

4) You often order fresh pizza to be delivered to your home because it is cheaper than cooking stuff yourself.

Got ’em.

That’s the last ones. They just clicked the ‘back’  button and typed “Pizza” into Google. We can talk freely, now.

Right. Buying at a car auction is very easy but you have to take a few simple precautions. There are so many excellent vehicles passing through right now that you may lose your self-control and make a serious mistake.

Resist temptation. Consider my analogy of the night-club. Car auctions are so similar to night-clubs that it is untrue. If you understand how a night-club really works, you will have no trouble at a car auction.

Do your homework.

Check the terms and conditions of the auction house. Visit the place and make sure that you are aware of  your duties as a buyer. Stand to the side and watch people who are bidding. Watch how the auctioneer manages the bidding and notice how little time each car actually spends in front of the podium. Notice that there are areas in the room where the speaker system that relays the auctioneer’s voice sounds crystal clear…and also areas where it is impossible to hear what is being said.

Smarten up your act.

Research the exact car you want to own by using the internet and asking around. Look at similar examples on a local dealer’s forecourt. Visit the auction and watch as identical cars to the one you want go under the hammer. Make a few notes on the vehicles concerned: the last six digits of the chassis number or the registration plate, specification, mileage and service history. Do not even think of buying, just watch. If those cars go under the hammer for 25% – 30% less than the price you would expect, then you may be at the right auction. Go to the very next auction at that site. Did those exact same vehicles go through again? Why?

Don’t pretend to be somebody you aren’t.

Nobody cares who you really are at an auction. Keep it that way.  The serious buyers are so discreet and polished that it may take you many hours or even days before you notice them. They are not your competition. They will always pull out before you do. When the day finally arrives where you go in for the kill and buy, your competition is most likely to be an idiot private buyer who obsessively bids against you, stupidly jacking the car’s price up beyond its real worth.

Practise a few clever moves.

On your first visits to the auction, find an example of the car you want to buy and stick with it as if it were your own. Watch as dealers come up and survey it. Watch what they see, watch what they do. Learn to move your head as they do, so that reflections on the car’s paintwork  (the hall lighting, the car next to it) ‘slide’ over and across the bodywork. By following the reflections, you will more easily spot dents and paint differences. Notice how some dealers run their index finger along a clean car as they pass along it. Do the same. Resprayed panels often ‘feel’ different.

When the car is started up, ready to enter the auction line, watch what the dealers do, where they look, what they check. If the dealer reaches in and turns the steering wheel sharply, you can bet that it is because power steering racks are expensive to replace on that model. If the dealer tries all the electric windows, perhaps they are prone to fail? Watch what is checked under the bonnet. Follow the car into the hall and watch if those dealers bid on that car.

Beauty had better not be just skin-deep.

That 2008 Audi A5 Quattro Sport in the picture above, with 75,000 miles on the clock, sold for £14,200 ($22,580) last week. Now, that actually is the same price that you could buy that car at a dealership here in Britain. So, did somebody get carried away and forget to stop bidding? Perhaps. But then again, in Germany, $22,580 would only buy you that model if it had been hit hard in a collision. You’d need to find at least an extra $8-10,000 to buy an A5 like the one in the photo.

So, a one-way ferry ticket and two days driving will possibly see that car sitting with a delighted new owner in Eastern Europe who has got a bargain.  Alternatively, that A5 may first of all spend a week in a back-street garage, somewhere in Europe. The dashboard and chassis numbers from a crashed left-hand-drive A5 Quattro will be fitted and it will ‘become’ the crashed car…but apparently now no longer crashed. However, that will be somebody else’s problem; the car shown in the picture is the real deal.

Buying a second-hand car always carries risks, whether you buy privately, from a dealer or from an auction. Strangely, perhaps counter-intuitively, the largest auction houses provide a greater level of protection than you might at first think.

More explanations, buying advice, plus extra-clever tips and safety hints to come!


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Car Auctions: How to win on the dance floor in 2012

19 Mar

Firstly, I must apologise for the long delay in posting this guide. After I uploaded the introduction on March 6th, I was attacked by two masked people while I was relaxing at the dentists. Although I put up the best fight I could, they stole one of my teeth.

The main attacker was a Caucasian male who drove an Aston Martin DB 9. He had bought it at an auction. How could I tell? Because it still had the little white label with the bar-code on, stuck to the bottom right of the windscreen. You can see one of these stickers if you click  on the car in the picture above.

Microsoft Paint is one helluva handy little program for airbrushing out details in photographs. But if you take a 500mg Amoxicillin, 1000mg Co-Dydramol and then pop 50mg of Tramadol, you will get the kind of sloppy results you can see in my picture. Assuming, that is, you can actually remember which room you put the damned lap-top in and can still work door handles.

I took this photograph at an auction in the UK last week. This 2003 Ford Focus 1.6LX Automatic Estate had just “had the auctioneer’s hammer drop on it” – a casual term to describe that binding and contractual sale made between the Auction House and it’s new owner who offered the highest bid. That owner was rushing off to get hold of the car’s documents while I went out and snapped this pic of their new possession.

The car shown has air conditioning, alloy wheels, parking sensors, leather interior and holds a current mechanical safety certificate (MoT). It has six Dealer stamps in its Service Book, confirming that it has been driven only 35, 000 miles from new and was regularly serviced by its previous owner.

It was sold for a “hammer price” of £250 ($396). You would be hard – pushed to buy a leather sofa for the same price as this entire car.

The “hammer price” of £250 reminds us that the buyer will have to also pay a further ‘Buyer’s Premium’ to the Auction House – a commission that is charged on all sales. That will be another £200 ($317) making a total of £450 ($714) for the joy of driving that Focus away.

Somebody just bought themselves a great little car for everyday use!

If you enlarge the picture, you will see some clues as to why it went so cheaply. The trade dealers didn’t want it on their forecourt because this car has got a little ‘ding’ or scrape on some of the panels. Car dealers rarely get approached by a customer who says:

“Hi, I’d like to buy a good used car for everyday driving but it must have a couple of little dents and scratches.”

The system just doesn’t work like that. So, the dealers held back and didn’t bid. The bidding “stalled”. Only the ‘private’ bidders (ordinary people like you and I) remained interested and only two people out of about two hundred were concentrating for that moment – about forty seconds – when this car was driven up to the stand.

The auctioneer did what he could to raise interest but he can see a queue of eighty more cars waiting their turn and time is money. Lunch break beckoned. The car was sold.

So, Rule Number One of buying at a car auction is that you have to actually be there with your credit card and your eyes and ears on alert. You can alternatively bid online but I would not personally recommend that. You can tell so much by simply ‘looking’ at a car up close and watching as it is started and driven into the queue for the podium. More on all those techniques in future posts.

This year is proving to be a good year for auction bargains. Over-supply of new cars is resulting in huge discounting of cars that are three years or more in age. However, the increasing cost of insuring certain models is also skewing the market values of some cars.

If you are walking down the street and you see a car that is similar to one which you would like to own, write down its registration plate details and then feed them in to an insurance comparison website ‘search’ page.  That way, you’ll get its exact make and model details up on the screen. Speed-Dating.

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Car Auctions: Nightclubs for the over 25s…?

6 Mar

Right. Let’s get down to business.

The first time you had sex with someone who wasn’t actually you, three things happened:

1) You couldn’t compare the sensation to anything else that you had previously experienced.

2) You got a strange look from the person you were doing it with, somewhere towards the end.

3) You suddenly realised why some people did it for a living.

Okay, Now you are a little older, you should try buying at a car auction. Its pretty much the same deal.

Regardless of gender, when you are feeling too old to be going to a nightclub, you are just becoming old enough to enter the world of car auctions. Just like some weird deleted scene from Benjamin Button, as you become too old to spill a Smirnoff Ice while drooling at someone on the dance floor, you come of age to enter a far more exciting world of sober intrigue and expensive nods.

Car auctions are not for everyone. They can be like getting off with a complete stranger and then waking up the next morning to find you have no credit card. Or, they can make you happy for the rest of your life. You can save $5,000 easily at a car auction while having fun at the same time. You can’t do that at a nightclub.

Thousands of one, two and three year old cars are sold each day by Auction Houses. Just one auction I visit regularly can crank the ‘hammer’ speed up to one car sold every fifteen seconds. Most of the second hand cars that you see on a dealer forecourt have been through these auctions. The dealer adds about 30% to the price and sticks them out front, sometimes without even needing to polish the door handles.

The truly massive over-production of new cars in the West is threatening near-catastrophic melt-down of our economies. This is no over-exaggeration. Western Europe relies heavily on new car manufacture to employ it’s workers. As an extreme example, Spain’s demand for new cars has dropped by an estimated 55% since 2007. European manufacturers are over-producing new cars by a rate of 20% per year. Jobs are going to be lost. Presidents and Prime Ministers are looking pasty and grey. Insomnia is the new ‘black’. As new car prices drop, nearly-new car prices drop more. Especially at auctions.

The latest Roadwax “Western Leader Poll” results are in. All western leaders were asked the same three questions by Roadwax, their premier trusted source of internet motoring groove.

Q 1) “As a Western Leader, did you get out of bed at 3.20am last Wednesday and see if there was anything in the fridge worth finishing off?”

Q 2) “Did you eventually decide instead to neck all the whiskey from the cupboard and cancel your first meeting?”

Q 3) “Even though all of you are millionaires, do you ever fancy sneaking off and going down the car auction?”

All Western Leaders have now returned their answers to me. Putin replied twice, but he doesn’t actually count on this one. Sorry, Vlad. Yes, I know you hate being called Vlad.

Just like Roadwax showed you in four easy parts how to find a good car to have a crash in, Roadwax is now going to show you how to understand car auctions and save between £500 and £50,000 from your hard earned cash.

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