Buying a nearly new car at auction privately.

[BL Fanboy]

Hi All,

Just a quick question.

As a private buyer is it possible to buy (say) a 10,000 mile 6 month old Fiesta at auction?

I wonder, because it seems fairly low risk and I'm not sure what value the "Supermarkets" add when typically the cars are under manufacturers warranty anyway.

I'm not having a jibe at car supermarkets - just wonder if an average person on their own can do it and is it financially worthwhile.

Do the big boys get bulk purchase discounts such that I as an individual would not be able to buy a car any cheaper than buying through a car supermarket.

Is it a case that the car supermarkets make their money on extras and have a wafer thin profit per car but shift masses of them? How does it work?

Are auctions closed shops for this kind of purchase to a non-trade person?


Thanks, D.

[brrapp]

Yes, you can go to a BCA (or other) auction and buy as a private buyer. The Ex-motability auctions usually have a good selection of nearly new and very low mileage cars at pretty good prices. The thing you have to watch out for is the 'buyer's premium' that they add on t0 the hammer price if you're a private buyer. It takes up a good bit of the savings you'd make over buying retail although not all, there are still good deals to be had.

[Toaster Pilot]

Anything that falls into that age/mileage category and hasn't already been snapped up by the trade will be there available to the public for a reason

Not unheard of for people with chronic problems with a new car to get rid of them via the finance company meaning they end up at auction - one case I remember is a quite new Astra that would reverse when you select 1st gear, finance company cancelled the lease and sent it to auction for some unsuspecting punter after Vauxhall couldn't fix it!

For a tidy, straight car I can't believe you'll save anything worthwhile by the time you pay your fees - these cars are in very high demand to the trade.

[NickCW]

I doubt you'll save much over getting a discounted new car from carwow or drivethedeal.
Personally I wouldn't have thought its worth the extra risk/hassle.

[BL Fanboy]

Ah, righto - so its a number of factors from the buyers premium to the demand from the trade itself and lemons.

Its possible then, there just doesn't sound to be the savings in it to out weigh the risks etc.

Fair enough :-)

Thanks for your take on it.

Cheers,

David.

[blueg33]

Toaster Pilot said:

Not unheard of for people with chronic problems with a new car to get rid of them via the finance company meaning they end up at auction - one case I remember is a quite new Astra that would reverse when you select 1st gear, finance company cancelled the lease and sent it to auction for some unsuspecting punter after Vauxhall couldn't fix it!

That makes no sense. The car would be under warranty and even Vauxhall would struggle to suggest that the fault was normal!

[jjr1]

I bought my BMW 430D at BCA the other week for £22k but I managed to get it for £425 of fees through a contacts account. The private fees on it would around £900 plus a sum for the V5 and some other small fee.

The savings are good but you really need to get someone to buy it on their trade account for you.

[Richard-390a0]

I'd suggest going along to a few auctions first so you can get a feel of what cars are available & what sort of prices they are selling for to see if it's worth the effort or not.

[POORCARDEALER]

Supermarkets will sell that sort of car for a grand profit, id suggest its not worth the bother with the fees your going to have to pay on top of the hammer price, and its likely you will get "run up" a bit as well

[Toaster Pilot]

blueg33 said:

That makes no sense. The car would be under warranty and even Vauxhall would struggle to suggest that the fault was normal!

Google "Astra reverse in first gear" and see if the thread is still on the owners club forum - it's staggering.

Vauxhall tried repeatedly to repair. The car was sold at a small auction house on behalf of the finance company.

[Momentofmadness]

Buyers premium is a killer at BCA but still worth doing IMO.

Ex-Hertz or Motorbility finance would be a good call but possibly older than you're looking for?

One of the supermarkets shows the inspection sheet, smart repairs etc some of which would could easily add up when paying retail prices... so do your homework and go in with your eyes open !

Good luck and let us know if you decide to take the plunge

[tim0409]

I've been buying cars at BCA for years, and what you suggest is pretty much risk free. The killer will be (as others have said) the private buyers premium. I suppose it depends on how much you value your time; travelling to the auction, hanging around for the car to come through, and even then you might not buy it sells for more than you were expecting. I think for the kind of car you are buying, you could get a decent enough at a dealer deal compared to auction + fees.

I am currently scouring the market for a BMW Z4, and for the first time in my life I am considering going to a dealer as the spec is quite niche and I don't fancy travelling up and down the country to bid on cars I might not get!

Edited by tim0409 on Tuesday 17th January 20:19

[BL Fanboy]

Really useful info thanks all. Its looking like its possible but there are several headwinds so to speak.

Buyers premium.
Cosmetic repair cost.
Private buyer getting "bid up".
Patience!
Having to fit the car buying process into a non car related working week!
Having to accept a spec you may not want.


So using a Car Supermarkets £1000 profit as a metric doesnt leave a great deal to knock off the financial value of the above points and be left with a worthwhile saving.

I guess, like a lot of things, as you go up in purchase price then the savings are greater - perhaps not as a percentage but in gross saving. The refurb, other costs, hassle may not proportionately be higher the more you spend so it might start to be more worth while for a prestige type vehicle than more common "bread and butter" type cars.

Think I will give it a miss, but thanks for an insight.

Cheers D.

[spookly]

BCA fees are a joke for private buyers.... it seems they really don't want them there. Even for the small time traders the difference in fees paid compared to the big buyers are so big that it removes any profit.

I used to go to BCA, and have had a few bargains even with the silly fees. But it takes a lot of effort and potential for wasted time.

There is also the benefit of buying it at a dealer that you will have some come back on them if there are any faults when sold. With BCA you'd have limited come back for 24 hours if not as described.... ie. it dies on the way home when described as a running/working.

That said I did buy a scratty old Fiesta from BCA for £175 including fees. Had 11 months MOT and 11 months tax. I think the tax was worth 1/2 the price I paid. Spent £25 on some brake discs, £15 on a suspension component... ran it as a commuting shed for 11 months after 13k miles. Weighed it in for £50.