BY FAR the Cheapest way to buy a car

[theshittybeatles]

I used to own a used car lot, so I have a lot of experience in this area. The cheapest way to buy a used car is through an auction. There are various different auctions all around the country. Insurance, Former government vehicles, police impound/towing co. auctions, etc.

You can easily save at least 100% on a vehicle this way. Most do need some work, but if you buy used auto parts from a nearby junk yard and are somewhat handy, you should have no problem. Even if you were to pay someone a reasonable rate to do the repairs for you, you can still save A LOT. It's easier than ever to find mechanic help (Craigslist, Facebook, etc). Don't be afraid to have a used engine or transmission put in a car if you get it for the right price. Just be sure to check on the price of a used part and the cost of labor. It varies drastically. Could be fun for the right person. A nightmare for the wrong person.

I use [Mod Edit: Link removed.] to find my used auto parts. Just be sure to filter the search by zip code.

Also, stay away from foreign cars with expensive parts and repairs. Stick to Ford, GM, Honda, or Toyota.

[ketchup]

Aren't most auctions restricted to people with dealer licenses?

[dandarc]

I didn't realize auctions were literally giving cars away. Save 100% or more FFS - try harder next time.

[theshittybeatles]

Actually, that's somewhat of a misconception. Some of them are. Others you do have to sign up to be a member and the fees are higher for non-dealers, but it's peanuts compared to what you will save.

Also, nice catch. You'll save around 50% and can make 100% profit by selling i.e. a you can get a $2,000 car for $1,000.

Can be a fun project if you have the time and money.

[Car Jack]

It can be a sort of "it depends", though.  Problems can exist that you won't figure out till you've worked through the car a bit.  Just remember that there may be no warranty and no lemon law on auction cars, in many cases.  I'm lucky to have a "pull your own parts" junkyard nearby and where "normal" people use car-parts, I can usually pull any part on their listing (I've perused there) for 1/3 what they want.  The better part to me is that I can see the car that the part came off of and I can be sure of the condition.  Something as silly as the door for a first generation Ford Fusion.....the doors are different than second gen (and we're talking before the aston martin looking fusions).  I can find a door in my car's color and know if the mirror is the same, thus the wiring harness and see the interior door card to see if it matches.  All doors at the yard I go to are $50.  So I'll be picky and find the best match.  Heck....I'll swap door cards in the junkyard so at home all I have to do is bolt on and plug in.

I will admit I have not bought at auction myself.  I have negotiated the price to zero several times, however. 

[dollarchaser]

Having a dealer friend can be a great way to buy at auction.
My first hand experience was with copart and I bought a motorcycle. Two things that almost ruined the deal. Fees added up fast and the repairs were more extensive than expected.
For mustachians who have cash and are relatively frugal it is not a bad idea. A salvage title often limits lending options. That means buying a 40k vehicle at auction for 20k has to be done without a loan. Average people don't have 20k to throw around even though it can be a smart move.

[alsoknownasDean]

I've considered it, but I'd be looking firmly in the sub $2000 price range, fully aware that it's a bit of a gamble.

It only takes a busted transmission or a blown head gasket to eat up any savings.

[Frugalbeach]

I'm gonna go with a maybe on this one.  I've been to several car auctions in my time and let me start with the fact that different areas will have vastly different models of cars with different 'quality' of said cars.  You just have to check out a few auctions in your area and see what's available.

In my experience, a lot of what you will see are high mileage with numerous mechanical issues.  Like 9 out of 10.  If you're not very mechanical minded, bring someone who is.  The auctions I've been to offer no guarantee or warranty, so once the hammer falls, it's yours, no give backs.

The better auctions have a lot of dealers and mechanics who know what they're doing. So, you're bidding against them.

Not to be too much of a Debbie Downer, there are some good deals available but you have to look at a lot of crap.

A good example: one auction I attended included a seized drug dealers ride that went for less then 40% of what it was worth.  (Just don't drive it in the bad section of town). Everything else at this particular auction went for under $700-$800 dollars...high mileage, beat to hell, one tire in the junkyard..