Wondering what dealer car auctions are, how they work and why you need auto transport service for car auctions? Well, all of these things are going to be discussed in this guide and by the end of it, you will have a pretty good idea of everything. So if you are ready, then let’s get started:
Types of Vehicles Sold/Purchased:
Most of the cars that you see at the auto dealerships are sourced from dealer car auctions. These auctions are strictly limited to licensed dealers are general public cannot have access to them. A variety of vehicles are sold/purchased at these auctions which can be categorized into:
- Fresh Trade-Ins: The dealer selling these cars either has excess inventory of a particular type of car or it doesn’t match his needs.
- End of Lease: These are the cars that leasing companies get back from their customers who have their leasing period of 2-3 years ended. These companies sell such vehicles in bulk at dealer auctions at a very lower cost than their retail.
- Repossessed Cars: Lenders like banks give out loans to people for cars but when the borrowers fail to make payments on time and their extension period expires as well, their cars are repossessed. Now these institutes need to recover as much of the money as they can, which is why they sell such cars at dealer auctions.
Conditions of Vehicles at Dealer Only Auto Auctions:
Dealer-only auctions feature a range of cars including regular use, high-end, luxury, exotic and salvage vehicles. Some vehicles are just a few years used especially if they belong to the end of lease vehicles. However, some need a lot of work and need to be built from the scratch if they were in accidents.
The best part about dealer car auctions is that most of the time, Condition Reports of the vehicles are provided so that that you can know any current and potential issues with the cars and what needs to be done to get them back on track.
Benefits of Auto Transport Service for Dealer Car Auctions:
Dealer car auction transport services are used virtually by all kinds of dealers mainly because of the range of benefits they offer. These car shipping services take care of the whole transportation process from the auction house to the parking lot of the dealer. Some main benefits are:
- Safety: Since the cars are safely loaded right from the site of the auction and unloaded after reaching the destination, they stay in the same condition they were loaded in. You will not have to worry about getting dents or scratches during the journey.
- Multiple Vehicles Transport: It can be very challenging to drive all the vehicles in a lot one by one to the parking lot of your dealership. However, a giant size car hauler can take all the vehicles to their destination at once. Plus, auto shipping companies offer discounts on multiple vehicle transport.
- No Wear and Tear: If the distance from the auction house to the dealership is a few hundred or thousand miles, then driving the cars to your place would add some unnecessary wear and tear that can reduce their resale price and thus decrease the profits.
Dealers can get cars at wholesale rates from dealer-only auctions, which means great profits. However, getting vehicle transport service for these cars guarantee the integrity of profits on these cars as they stay safe throughout the journey.