Financing a car is one of the biggest, most common, money mistakes people tend to make. Not only does it come with a hefty monthly payment on a depreciable asset, where you will pay a ton in interest making that car cost way more then what you ‘paid.’ High priced, new, and/or financed cars need way more insurance on top of that.
Want to avoid wasting your money, like a boss, and get a great used car in cash for a deal?
I love value, and I love sharing the wealth even more. Here is my list of how to get a smoking deal on an automobile, some I found on my own while others were followed up with the caveat of don’t tell anyone I don’t want the competition. Ooops. Why do they not want the competition? They are making money off of buying and selling cars, trucks, and other things this way.
General Information for researching a car’s worth before you bid or make an offer, these websites have used car sales as well, but if you’re looking for a deal look elsewhere:
Government Surplus. The government sells a lot of stuff, usually in an auction format, they do so in different places depending on the state and the department selling the item. There are many people whose sole business it is to swoop up deals and resell things on these sites. Including many vehicles. Some are government vehicles which have aged out due to various reasons as a standard age or mileage retirement. Government Vehicles have meticulous upkeep records and have been well maintained; they also tend to be upfront with conditions and known problems. They also sell confiscations and insurance write-offs. This is also the best place I have found to look for school buses, public buses, for conversions such as schoolies for you minimalists out there.
Lender Repossessions. Many times a lender ends up with a vehicle that they do not want, just like home foreclosures and REOs, these exist for automobiles too. I have found quite a few shady websites in regards to this option, so exercise caution. I advise you to go directly to a local bank or credit union website or call them to find these deals in your area.
Local Live Auctions. Sometimes people or companies do not want to deal with the headache of selling their used automobiles and turn to local automobile auction houses. These can be a great place to get a steal on a vehicle. The ones that I have been to have a preview day where you can poke around all the cars and then a bidding day. A quick google search in your area should help you locate some of these auction houses.
Haggle or Scoop up a deal from an individual. Do your research and watch for a deal to come up from the owner directly. The pros to these are you can drive the car around and get it checked up by a mechanics shop before you make the leap if you want. The con is not every individual is honest, try to play it by the facts.
Facebook Groups – Look for local swip swap, local swap meets, local marketplace.
How have your experiences been with using any of these methods? Do you have any I missed? Have you celebrated anyone’s smart choice lately?