How To Buy A Repossessed Car At Auction And Get A Good Deal
After the Covid-19 pandemic, South Africa can expect an influx of repossessed cars to appear on auction. During peak lockdown, banks made allowances for payment holidays on car installments to accommodate the sudden intensity of the state of the country. However, as we are well into our third year preceding the initial lockdown and are moving away from Covid relief allowances, the number of cars being repossessed in South Africa has risen. Here is how to buy a repossessed car at auction and get a good deal.
Get A Good Look
Two days prior to bidding, you have the opportunity to physically view the cars set to appear on auction. If service records are available, you can also use this time to analyze those. This is precious time for you to draw your own conclusions about the repossessed car - what you deem it is worth, how much you are willing to bid for it and if there is any damage that may be problematic - as you are unable to test drive any of the auction cars.
We suggest bringing along a pair of expert eyes, a mechanic preferably, to ensure that no stone is left unturned. However, there is a possibility that the auction cars are being brought in from other regions and may, therefore, be unavailable for viewing prior to the auction.
Enquire About Warranties
When buying a previously owned car - whether on auction or from a second-hand car dealer - it is important to note the history of the car. Repossessed cars sold at auction will generally come with all existing documentation with a clear timeline of the cars history.
A pearl of wisdom is to keep your eyes only on repossessed cars that are still under warranty or otherwise some form of motor plan. This will ensure that any bumps that you may encounter along the road are covered and not at your expense.
Account For Extra Costs
Remember that you are required to register prior to each auction you wish to participate in, providing certain personal information including proof of identity and residence, along with a refundable fee. Furthermore, if you successfully place the winning bid, there may be bank fees to follow.
That concludes the main points on how to buy a repossessed car at auction and get a good deal. Ultimately, a good deal may be securing a set of wheels for a good price or finding a car that is in great condition and has the documentation to prove it. If you are interested in buying a repossessed car at auction, get in touch with a Motus Auto Auctions consultant today.
