Yes, it can be done. You can either buy or sell a car right from your own home. You just have to be smart about it. Over ten years ago, the auto auction house was the place to be. Back then, you could easily land a good car for under $5,000. Do they still exist? Yes, but there is more competition now. Choosing an auto auction house is not the better way to go these days. You have to think outside the box in this day and age.
The reason why this is not a “safe bet” anymore is due to the licenses. These auction houses are now open to the general public. The dealer is selling “licenses” to the “average person”. These people attend the auction and bid. They drive up the prices by bidding too high. You walk out without a good deal to close. This is what happens when someone with no experience has his hands in the “cookie jar”.
What Is the Cure?
It is simple. The first thing you need to do is stay active in the market. Look through the ads on sites like BestCarsFeed.com. Place an ad of your own that you are either buying or selling a car. Give out the make, model, etc. Sit back and be patient. The right people will come walking in and make an inquiry.
Here Is An Example
Say you have a have a Honda Civic. Say you start out at $40. This can be the offer, the listing price, etc. Look for the cars that are priced between $200-1200. Now you can always negotiate the price later. You can negotiate the price down based on wear and tear or the repairs that are needed. There is always someone willing to work with you.
You have to do your homework on this.
You have to become the student when learning the art of buying and selling cars for under $5,000. Talk to those who have done it before you. Listen to what they have to say. Those who go in thinking they know everything, they will be shooting themselves in the foot.
“Never send in a pencil pusher to negotiate the legal terms of a deal”
Here is another thing to think about. Think about the underpricing. There are a few reasons why some cars are underpriced. One of the reasons is due to the popularity. When you come across someone who is selling an underpriced car in great condition, then you better jump on it. Find a way to come up with the money and make the deal.
“Those who hesitate, are the ones who end up with egg on their face”.
You need to be smart about this. Check out the car. Does everything seem to be in order? Buy it. Someone else will come along and do it for you. The only problem is that they now have the car, whereas you do not.
You need to start small with this. This is what the rookies in the auto auction houses do not understand. Start slow and double and triple your money over time. Sell your car. Use the money to buy a better car. Then, you turn around and sell it for double to triple the money. The same thing will work when you buy a car online from someone. All you do is tweak the playbook a little bit. All you need is $5,000. In time, that $5,000 you spent will double and/or triple in value.
“Buy low and sell high”