Something we didn’t make overly clear in the video, the prices quoted include the additional fees. For those wondering, Manheim charges $450 + 2% of the sale price. As an example, a $30,000 car would ask a further $1050, bringing the final price to $31,050.
Also need to add rego, stamp duty, and servicing. If its a prestige car there is prestige buyers premium. If its in another state need to add transport fees.
@@Asymmetry0 Was just curious, that’s all. As far as we’re aware, Manheim uses the same fee structure regardless of the car. Though the fee is slightly less for
All good my error. Just people need to factor in all these additional costs when bidding when setting their budget before they bid. Too easy to get caught up in excitement!
Here's the reality of the business model of these auction places. Dealers send the trade inns that are either too faulty or clapped out to sell retail or to wholesale customers. The auction house will happily accept these cast offs knowing full well they are likely to be faulty and uneconomical to repair. The consigning dealer knows there are no test drives or detailed inspections and that some sucker with NFI is bound to buy it. Just because a car makes it through the lane, does not mean it is a sound car. Warranty? There isn't one, despite what captain case-by-case say's in the video. I have very rarely heard of an auction taking a faulty car back unless there is gross misrepresentation and legal threats involved. No one short of a mechanic sould be buying cars at auction. Certainly not an average Joe or family who have to pay commercial rates to a mechanic. The risk of being burned is incredibly high. Have personally seen and repaired many auction cars with faulty tranmissions, cooked but still running engines, severe previous damage etc. A replacement trans can cost thousands (for example), which certainly does not make this a worthwhile risk. Add to this the nongs that pay retail price for auction cars that they have never seen run more than 100mtrs. You're better off pissing your money away at a casino, or at least buying a car off MP that you can inspect properly. I talk from experience. Hope this helps.
I ended up buying a lemon from a big auction site and the car was from a dealer that knew it had issues and covered them up but it overheated the first day i had it (blown head gasket). It took weeks to get the money back from the auction site and months to get the money back for the transfer fee. The same car was resold on the same auction site 3 times in the following months. Not all auction sites are honest.
Sorry but auctions are buyer beware. You should have zero recourse because you a-get better pricing cause it’s a risk, and b-it’s and auction sale is final scenario. If that scares you, you aren’t up for buying this way. Leave it for dealers who may mark up cars but they will have to back their items sold for warranty and Australian consumer law. Not a dealer but I buy at auction and enjoy it. Since Covid though everyone has over paid for shabby cars and so the prices are just returning to more palatable prices
One tip that has worked for me.When checking the log books before you bid sometimes you can locate more info by ringing the owner .I spoke to the actual driver in a local council that owned the car who also confirmed the low kilometres as the car was left on site over weekends and never had an accident .
I think a big step is forgetting that these cars generally come without RWC, consequently cancelled or no registration, even if you are purchasing from 30% - 50% lower than the retail price - there are many costs (including auction fees, generally a 10% premium) which are involved to get the cars to retail/usable condition. From my experience, any auction car will cost you equivalent or even more to the market price. It is better to go for a bargain on the used market and try to your best to negotiate a good deal.
@@bbgninja9779 I think people do not realise as well, these Government + Fleet cars are absolutely flogged - people have zero respect for them. I imagine all the Diesels have had Petrol accidentally filled in its tank or the drivers have just constantly led to fuel being empty then refilling when necessary, where the pump can be destroyed if driving constantly on low fuel. Regardless of the service history (which only contain general things), items such as the Throttle Body, Fuel Pump, and Differentials are not really checked. In short, it is still a massive risk if you purchase it.
@@Tim12-g7c When your mechanic is charging half the price of regular labour for retail customers + the car needs to run only 3 months without any issues. That is not really hard to do!
I have some experience on this topic. I have purchased four cars (15-20 years old and not Manheim) in the last two years at an auction and every car has needed some work to make it roadworthy. Some cars required more work than others, but the only way you can make it a good deal is if you do the work yourself. If you take it to a mechanic it would cost more to repair than just buying the same car privately. A good example is the e90 325i I bought for just $1900. Sounds great, doesn't it? But, it needed two new Vanos Solenoids which BMW quoted me $1300 each. I bought them online from the US (genuine BMW) for just $600 for the pair. Same with all the gaskets and bolts it required to stop all the leaks. Saved myself thousands of dollars by doing it all myself but it still cost a lot in parts. Also, I would never buy an Audi that age at an auction, they look way too hard to work on.
majority of these vehicles are lemons, the people who go to these auctions including myself are people with mechanical knowledge who expect to encounter issues, definitely do not pay market price for any vehicles here and if you do leave some margin on the table to fix any issues
Yeah the auctions are only good for people with the experience and a somewhat inate ability to differentiate a good one from a shitbix. If you aren’t confident that you can pick the wheat from the chaff, do not buy at auction.
@chrisgregeory4796 Not true as you can't jack the car up for a proper inspection or even start the motor, so even the best mechanic has his hands totally tied behind his back for inspection. Every Sh*t Box Trade-In that a car dealer receives goes to Auction as they can't afford or risk selling it the general public. Car dealers do this all the time, they might buy 15 good cars over a month at Auction and get one sh*t box that they then send back to the same Auction.
I have seen the same car sell at the same Auction 2 to 3 times with blown motors or hidden serious issues ( head gasket, worn piston rings , valve train issues etc ). I have seen this multiple times of the same car selling more than once. The Auctioneer doesn't car as they make money on the high fees every time the same car gets sold. Example is the buyer buys a sh*t box and then sells it back at auction to recover their losses or goes thru legal avenues to get the Auction house or seller to accept the car for return. I once bought a car at auction with a blown motor and then resold it 1 week later at the same auction to recover my losses. It was impossible to find this issue out when I inspected the car because the issue only showed itself when the motor was started and running for at least 15 minutes to fully warm up which you are not allowed to at Auctions. They will not allow you to run the motor for extended periods or preform a compression test etc Car dealers do this all the time, they might buy 15 good cars over a month at Auction and get one sh*t box that they then send back to the same Auction. I have seen some mechanics buy lemons at Auction and then resell them again at auction. So if mechanics can make the mistake buying a lemon what type of cr*p is chrisgregory in the previous comments talking about needing to be an expert to inspect a car
@@smartbox123tv You can start them but not drive. Of course its impossible to tell if the auto has a few gears missing and things like that. But there are a lot things the experienced eye can see that can increase the probability of getting a good one and reduce the chance of getting a dud. A trained eye can see previous accident repairs and resprayed panels, misaligned panels etc. A lot of cars have an average speed for life of vehicle read out on dash menu (higher the better) a low km car with a squashed and worn drivers seat is a bad sign that you can see. You can see leaks, you can see rust, you can see roughly how much sun its seen, you can smell damp. You can see car park dings, kerb rash etc. Youre correct, in it doesnt guarantee a good one, but there are plenty of tell tales to see hear smell and feel.
@ One car dealer specialising in commercial vehicles mainly from Thailand who shall remain nameless buys late model but smashed ones from slavage auctions. They then take the engines to put into their undamaged cars that have bad engines / gearboxes diffs etc (very common in Thai vehicles). They then quickly reinstalls the bad engines into the smashed vehicles and send them back to the same auction house to be re auctioned from photos, no in person inspections. So if youre looking for a damaged car for parts make sure its the first time its been auctioned.
Bought a mint looking XE Falcon from auctions back in the day. Leaked like a sieve from the firewall and under the dash. Would fill up with 3 inches of water during heavy rain. Shocking experience.
Great video guys. Definitely an great option for folks trying to stretch their dollar, especially for "boring" ex fleet stuff. I think the trick is to stick to a budget, avoid bidding wars, and low ball on a regular basis. Gotta remember that there will be heaps more cars next week if nothing comes up, so dont get too invested. Keep it up and you're likely to snatch a bargain over time
I think your last point should be emphasised, that is don't necessarily buy the first time you go to an auction as there will be lots more to choose from next week.
The auctions are essentially the casino of car sales. You wanna make sure you can afford to lose when u go in, and sometimes you leave a winner, most of the time you dont
Where do i start 🤔?? I worked in dealership land for many years, including many years as a used car manager. We would only send trade-ins to auction if it had something seriously wrong with it or the roadworthy was too expensive. We didn't want to burn our wholesalers, so we sent them to auction. Despite what was said, once you drive the car out, it's your baby as there isn't any warranty. You're not allowed to test drive the car, so be very, very careful.
@@ReDriven Yes, but you get a warranty from a reputable dealership, and you can also test drive and get a comprehensive inspection report from a dealership and a private seller. In my experience, late model cars with warranty have a lot of competition . Once you factor in buyers' fees, RWC, and a detail, it isn't cheaper. Then you are looking at older cars without warranty and no idea what the roadworthy bill is?? Sorry, but there are better options for the majority of punters.
@@georgepappas4628 The prices we quoted, along with the potential for savings, included all the auction fees, and in our experience, unless stated otherwise, all had RWC. Agree it’s not for everyone, we agree the average joe is probably best to shop elsewhere unless they’re experienced in sniffing out the gems.
Over the years, I bought one Toyota, 80k km travelled, and two Lexus, 35-40k km travelled, from auctions with no dramas. All with full service history and in good cosmetic conditions. They all run perfectly. Stick to the low mileage and full service history ones while hunting for a deal.
Still don't understand how Cox can own the auction market (Manheim), the online retailer (AutoTrader), the valuation company (Kelley Blue Book), finance company (NextGear Capital) and so on and so on. One company should not have that much influence in one industry.
@@ReDriven”case by case basis” So you can’t hear a cold start, he specifically mentions you can hear them after they’re nicely warmed up (classic trick when selling a car, warm it up before the buyer gets there), can’t drive it yourself etc and then if it blows up down the road after you’ve purchased it there are no guarantees, just a ‘case by case basis’ resolution. Which means if you’ve just slapped 50k on a car and it shits the bed you may or may not lose your money. He was definitely choosing his words carefully when answering that question.
@@ReDrivenHis honest answer should have been a no. Cars at auction are sold as is, no warranty on it. Used car dealers have to provide warranty for 3 or 6 months in NSW but these auctioneers don't. That's why he tried to be as vague as possible by saying "case by case".
@ Are there any methods of buying a used car where there’s meaningful recourse if something goes wrong? Our take away was that in the case of these auctions, they will engage with any buyer who feels they suffered from an issue that wasn’t communicated prior. Compared to private sales that, to our knowledge, aren’t bound by consumer law . (Worth noting we aren’t auction evangelists in any way, we’re just looking at it compared to every other method)
What shocks me with dealers in Australia (purely in my experience) is the total lack of reconditioning before flipping a car. They’ll literally buy a car at auction, wash it (if you’re lucky) and mark it up for sale. My experience of dealers in the uk is they’ll sort dents, refurb wheels, service, roadworthy, gearbox service and actually sell the car having been improved! Does my head in here. Plus auctions in the UK give you much more pricing info on where the cars booking clean, average etc.
I bought a Ford Expedition once at auction. Paid 2800. I probably poured $1.5k into it over 3 years. Not horrid, but it would’ve been better spent elsewhere tbh since I ultimately had to scrap it
One thing you will probably get with late model fleet or ex rental cars is that they are usually the low or base spec cars. If you can put up without all the fancy add-ons, then go for it.
It is also worth noting that the yardies and auction staff don't give a shit how they treat these cars when they have them in their hands. I worked at Pickles from end of 2019 - mid 2020 and whilst I'm not proud of treating something as expensive as a car like shit, myself and all the other yard staff would flog the cars and hammer then as much as we could, I was 18-19 at the time and it was my second job so I was still stupid. The beatings these cars would get in a few days/weeks is ridiculous, myself and plenty others would end up backing them into another car or accidentally driving them head on into another car purely because when you move 100s of cars during a long 9 hour day, in super tight storage yards or auction floors you're going to eventually have an accident, everyone i knew there had at some point. Last note I want to mention is that when there, I had a pretty big accident that couldn't be hidden, the management there tried covering up the damage by just painting over it and only when the owner noticed it did they actually do the repairs, they then tried to force a $4000 bill on me which they ended up getting around $1500 when they stole my last two weeks of pay after getting laid off. So whilst you can get an absolutely fantastic deal please know that car has at some point 100% been mistreated
When I was in dealerland, we sent the shitboxes to auction and sold the good ones, which is pretty much standard practice. You can find good deals but buying at auction isn't some sort of life hack where you always come out ahead. Dealers can play the odds and can tart up dodgy cars - some even resell mining vehicles which are frequently trashed at low mileage. They can afford to take the odd hit. Spending all your money on one of these as an individual is definitely risky. Caveat emptor...
I've bought 12 cars and utes from Pickles actions and never had a bad experience. As long as you know a bit about cars and research retail prices you can get bargains. The main thing is to set a limit with how much you want to spend and stick to it. Don't get caught up with the excitement of an auction. There are a lot of lemons out in the market place as well. Just saying.
We've got plenty of customers that have bought prestige vehicles for cheap from auction thinking that they've gotten a bargain only to generally have a long laundry list of shit that's gone wrong.
Great video, however, you didn't mention that there are Manheim's fees which, on a $35k vehicle, will be around $1,200 ($450 plus 2% of purchase price).
In my country the companies/resellers are running trained AI models that automatically bid via the online platforms until it reaches what they've determined is the maximum value that they're wiling to pay i.e. there is no chance that you're going to walk away with anything that is a steal anymore.
It's important to realise you're typically trading lots of your time for money. (You must invest lots of time to save money). Especially if you're buying a car outside of it's manufacturer provided warranty.
That's not how we roll mate. This video was born from knowing absolutely nothing about auctions. We had to go along to an auction somewhere, if they get some free attention, we're cool with that.
Bought an ‘06 Accord thru Pickles in ‘09. Saved a bit after delivery (interstate), RWC, rego and stamp duty and a desperately needed detail and some minor interior fixes which I did myself. Overall not the worst experience.
This was a bit of an add for auctions. (understanding that it was not paid) However having purchased 3 cars at auction at good prices I would like to make 2 points. Cars at auction are generally there because dealers don't want them, they are too expensive to fix or risky to give a warranty. The cars do not come with a road worthy and even the cheapest road worthy now runs into the hundreds of dollars. From experience put aside a minimum of $5000 to get the car on the road. If it looks to good to be true etc...
Probably 15 years ago I got a hail damaged Mitsubishi Magna. It was a fairly bass spec 3 L V6 manual but by God that was a great car for reliability. All my friends called it the golf ball.
Thanks for making this, guys. Cool break in the format. I've always wondered how these work and this (and the comment section it inspired) was really informative
Buying from a Vehicle auction houses is seriously a risky endeavour! Even vehicles with impeccable service records and still covered under manufacturer warranty are at risk, because it’s unknown how that vehicle was cared for by employees that have no vested interest in that vehicle. What may look great and operate sufficiently in the period surrounding purchase, can quickly become unreliable with no warranty support should the manufacturer find “extreme operating circumstances”, which brings me to the next point… Alot of vehicles found in these auction houses are insurance pay-outs, many being stolen vehicles! They’ve usually had the living crap flogged out of them and are most likely meth-amphetamine contaminated inside due to the thieves that steal them. For the most part, if there was legit value in these vehicles, the fleets and car yards would be making the profit themselves… not passing the 💲buck onto a 3rd party auction house.
I have two criticisms of Manheim. 1st is access to logbooks. They make it difficult to get access to the Log books due to the availability of staff to show them to you with all sorts of excuses to not show you. 2nd, because of poor access to this information, they should include in the report for each car what services have been missed. They only take a couple of pictures of the log book and write in the report "Partial Servicing." The reason I have been given by them is that it is too time-consuming for them to list the log book properly. This is not a full disclosure of the cars history, and they are putting profit first before customers.
Make sure you do ALL your sums thoroughly and completely before you go ahead and bid at an auction. I looked into this years ago and it just wasn't worth the time and effort.
Auctions are not good for my impulsive ADHD 😆. I've bought three cars through auction. Another tip I would add (and it should have been obvious to me but anyway) refrain from placing bids during times of grief. Looking for a distraction, I placed one thinking I would be outbid, only to find I was the winning bidder. But like ReDriven said, if you do your homework properly, you can end up with a very good deal.
I was surprised to hear that Manheim has spread around the world. I always knew it as the local auction in Manheim Pennsylvania that drew buyers from the east coast of the US. Unfortunately, here it is open to dealers only.
My parents sent to a car auction to buy the car my dad drove for work. 0:51 . I was hoping nobody else would want it but I had to outbid somebody. It went so fast, it was absolutely terrifying
excellent video - my neighbour bought an ex Defence VT Belina wagon that ran for 18 years - lucky I guess Also the warning about hail damaged cars - you can't comprehensively insure them as every insurer will ask you "does the vehicle have any unrepaired damage?" Don't lie...
At least it was mentioned there is a possibility of a lemon, a car dealer relative advised me be wary & buy new if you can, even they got caught from time to time with engine warning lights,ABS & Airbag lights, or an unknown battery drain issue can take a long time to find & rectification will quickly eat into any perceived saving for those without their own workshop. How much is the alternator for the big Benz some will salivate over? How do you know a service history is really complete ? Rely on the stamp of a book? Might be surprised how many oil & filter changes are getting skipped in financially tight times.
I've worked for an organization that sent cars to Manheim and the others. Buyer beware. I witnessed plenty of bad cars being fed into their system, that some poor bastard was gonna end up with, care of a dodgy used dealer. Ex Govt/council cars are flogged, and don't get me started on ex Mine vehicles. Those auction companies have only one thing they care about, to move the units on and make a profit. Avoid altogether.
I've bought two cars now from the auctions, my rules are first know what you want and do your research on it second be patient. I always look for a car with a fairly decent service history and because I know what I'm looking for I only look at cars that fit that criteria sure I might get distracted by something bright and shiney but I won't bid on that. I use my car for commuting putting upwards of 50K a year on the clock, I also want something that has relative low km's less than 200K. For me I tend to look at a turbo deisel and because Wagons are the coolest thing on the planet (you can't change my mind on that) it's gotta be a wagon. I've had two Skoda Octavia Wagons now one Manual the other DSG auto (not a fan of the DSG) the first had every receipt for every nut and bolt ever bought for it the second not as good a history but both are fantastic cars doing exactly what I want them to do. For as long as I do commute the distances I do I will only buy cars from the auction. Oh and remember the fee's payable to the auction house as part of your budget!
This was a truly enjoyable and informative video guys. If you get a chance to go back to them could you ask them what the biggest risks are with buying a salvage title car and how things like warranty work with something like that compared to a regular car? Will you be investigating in the future things like the importation of cars from places like Japan, the rules around breaking of cars for spare parts, how insurance companies and panel beaters workout if a car is repairable or a write off etc as these would be incredibly helpful for some people and also interesting to see how these processors work. Out of curiosity is that Ferrari in the workshop going to be featured as a review car in the future? Brilliant work as always guys and as always keep up the good work and look forward to next week's videos as per usual 👍.
Every one of the 8 yo 10 cars I have bought in the last 15 years has been at an Auction - from just about every Auction house in NSW. I have bought cars for my parents and friends (I have a habit of giving cars to people who need them) I generally buy them with 1 year or 2 left on the warranty so that if there are issues they can be fixed under warranty. This does not work with Mercedes who will claim that they don't have to fix a car if you bought it at Auction. That is a reflection on how CRAP Mercedes after sales service is - not a reflection on the Auction house. At the beginning of the Pandemic I low balled the Auctions and - as people were desperate for cash - I got 3 of them well below the reserve price. 2 years later there was a world wide chip shortage and 2nd hand cars jumped in price - so I sold two of the cars at a massive profit. (I still have my 2012 Lexus because it is so magnificent) . The other thing that helps me is that I pray to Jesus before I go to the Auctions and allow the Holy Spirit to guide me - that seems to work for me.
You prayed to Jesus and yet went to the auctions during covid literally with the intention of getting cars cheap from people who, despite no fault of their own, were desperate for cash as the "democratic" governments locked them down faster that you can say "North Korea".
I bought 2 great cars 1 at pickles an xr6 turbo 2 years old ex Telstra market price. A 5 yr old ranger from Manheim hidden in a corner with a fixed price Sydney council car with 40k km had it for 10yrs depreciated $500 a year what a steal that car was. I always get harassed by the security guards when I go to auctions though what is their problem?
Auction has its advantages and disadvantages 😮I do think though that least 60 percent of time you get a good deal. You have to understand the car you bid for and always remember you need to factor VAT and doc fees etc on the bid so yeah. My next car im going to check at auction
Its the massive fees spoil the feeling of buying at auction for me. I get you need to take them into account when bidding but the hammer down price is nothing like the final bill.
I was curious to know more about the after sales process. What i gather is you win the bid, pay the deposit then and there. What is the timeframe for making the full payment? Do any of these vehicles state they will come with or without a RWC? I wouldn t think so for the sub 1-5k cars but im curious to know. I would imagine for vehicles with no rego but can be driven can still do so with temporary exemptions to get them to where they need to be?
I bought a nissan pulsar b17 2013 in 2016 for 7300 at Manheim its a manual not a horrible cvt still drive that car to this day , zero regrets i guess i got lucky car had 40000km on the clock when i bought it with nissan service history guess someone couldn't pay their loan their loss my gain:) at the time they were retailing for 13000$. Also seen a few people in toyota motorama shirts buying couple year old corollas . Guess they end up being resold:) at dealerships
Is the sell price at an auction the final price, or you have an additional tax to pay (in percentage/fixed)? If yes, what is the value, to get a picture of the final price a buye has to pay?
The prices we quoted included additional fees. Every auction house will be different, but Manheim charge $450 + 2% of the sale price. E.g. A $30,000 car will have $1,050 in fees, bringing the final price to $31,050
maybe I missed it in the video, but what are the payment terms? Do you pay a deposit and then have a period to settle, or is settlement required immediately?
@@ReDriven cheers, how long do you have to settle before they say time is up and you lose your deposit? Can't imagine they want cars that have been sold under the hammer sitting in the yard for long afterwards.
Yeah - that was my question too. Im guessing though that as they wont let you start it, I bet they arent going to get the key so you can hook up for a scan either...
My experience with auto auction are if it's a popular make and model even at 10yo in above average condition with low proven kms kind of car everyone wants dealers, private young and old everyone puts there hand end result with auction fees and price generally worst off if you bought it private.Also public warning not all but a large percentage of auction vehicles have had the odo wound back and eng check lights deleted od11 eng scaner
While you can get great deals at auctions, sometimes cars at the auction go for at or more than market value, making auctions not worth it in this case...
...i just think it's gambling to buy a car on auction (I've heard some great stories and vise versa ) and fortunately I'm not a gambler ...maybe if i was a car collector this would make sene but otherwise nope, for me someone should account if i were to buy a car and something was to go wrong full stop.
Auction fee ' 10% gst " stamp duty 5% " rego & ctp $1000 on that mercedes s class . It not imported so dont pay import duty 10% " 5% custom duty . Transport costs 51% fuel excise & haluge tax 10% on a truck
Who would buy a car with more than 100k kilometres? Who buys a car that is more than 10 years old ? Doesn’t make any sense, If and only if you “save” money on the car you’ll be spending the saved money on repairs, services and other things that might come up to a car that is so old and with so many kilometres, you need to be desperate to buy a car like this ones 🤨
Who would buy a car over 100k kms, or more than 10 years old? Perhaps those that can’t afford to buy anything else? And to call those that do ‘desperate’ is fairly shortsighted.
I have bought almost two dozen cars that were all over 10 years old and had over 100,000km on them, though never at auction. My three current cars have a combined age of 87 years and combined mileage of about 700,000km. All three are running, licenced, insured and are used all the time. And don't faint, they comprise two Alfas('81 GTV, '02 156 GTA) and an '02 Subaru Outback. (I say about 700k because I don't know how many times the GTV has been round the clock, the Odo only goes up to 99,999...) Simple truth is almost nothing "contemporary" you buy today (meaning something built since the early 2000s) has much chance of lasting to the 250,000-300,000km mark no matter how fastidious you are with servicing. Unlike cars built prior to then, which routinely clock up galactic mileage with fastidious servicing and maintenance - often just in the driveway by the owner. The only exception to that would be the ubiquitous Toyotas like the Camry, Corolla, Rav4 etc.
Agree that few cars built these days will see 300,000+ kms. Which is a shame, because keep a car that long is one of the best things you could do for the environment, for those with that consideration in mind. Case in point, we just bought a 25 year old, 350,000km Honda HR-V. It’s holding together better than some cars built 10 years ago.
@@johnphaceas7434 Thumbs up. Purchased my 1997 Toyota Hilux in 2002 with 112,00 klms on the clock. Still going strong, never garaged. Just got to know what you are buying into.
@ReDriven before I bought my outback I was negotiating over a HRV with 400k on it, unfortunately sold before I could get out to the fellas place to inspect it in person, and I just couldn't find another one. But the outback's a beast, headgaskets, timing belt and clutch all done just before I bought it - for $1800 - and everything works, nothing leaks.
Something we didn’t make overly clear in the video, the prices quoted include the additional fees.
For those wondering, Manheim charges $450 + 2% of the sale price. As an example, a $30,000 car would ask a further $1050, bringing the final price to $31,050.
Also need to add rego, stamp duty, and servicing. If its a prestige car there is prestige buyers premium. If its in another state need to add transport fees.
Prestige buyers premium?
Besides, rego, stamp duty and transfer fees occur no matter where you buy the car.
@ReDriven my mistake thats a Pickles auction fee, not Manheim.
@@Asymmetry0 Was just curious, that’s all. As far as we’re aware, Manheim uses the same fee structure regardless of the car. Though the fee is slightly less for
All good my error. Just people need to factor in all these additional costs when bidding when setting their budget before they bid. Too easy to get caught up in excitement!
Here's the reality of the business model of these auction places. Dealers send the trade inns that are either too faulty or clapped out to sell retail or to wholesale customers. The auction house will happily accept these cast offs knowing full well they are likely to be faulty and uneconomical to repair. The consigning dealer knows there are no test drives or detailed inspections and that some sucker with NFI is bound to buy it. Just because a car makes it through the lane, does not mean it is a sound car. Warranty? There isn't one, despite what captain case-by-case say's in the video. I have very rarely heard of an auction taking a faulty car back unless there is gross misrepresentation and legal threats involved. No one short of a mechanic sould be buying cars at auction. Certainly not an average Joe or family who have to pay commercial rates to a mechanic. The risk of being burned is incredibly high. Have personally seen and repaired many auction cars with faulty tranmissions, cooked but still running engines, severe previous damage etc. A replacement trans can cost thousands (for example), which certainly does not make this a worthwhile risk. Add to this the nongs that pay retail price for auction cars that they have never seen run more than 100mtrs. You're better off pissing your money away at a casino, or at least buying a car off MP that you can inspect properly. I talk from experience. Hope this helps.
Your right, people can hear a car drive slowly to the staging area but they have no idea what the transmission will sound like at road speed.
I ended up buying a lemon from a big auction site and the car was from a dealer that knew it had issues and covered them up but it overheated the first day i had it (blown head gasket). It took weeks to get the money back from the auction site and months to get the money back for the transfer fee. The same car was resold on the same auction site 3 times in the following months. Not all auction sites are honest.
Great insight, cheers mate!
Sorry but auctions are buyer beware. You should have zero recourse because you a-get better pricing cause it’s a risk, and b-it’s and auction sale is final scenario. If that scares you, you aren’t up for buying this way. Leave it for dealers who may mark up cars but they will have to back their items sold for warranty and Australian consumer law.
Not a dealer but I buy at auction and enjoy it. Since Covid though everyone has over paid for shabby cars and so the prices are just returning to more palatable prices
One tip that has worked for me.When checking the log books before you bid sometimes you can locate more info by ringing the owner .I spoke to the actual driver in a local council that owned the car who also confirmed the low kilometres as the car was left on site over weekends and never had an accident .
I think a big step is forgetting that these cars generally come without RWC, consequently cancelled or no registration, even if you are purchasing from 30% - 50% lower than the retail price - there are many costs (including auction fees, generally a 10% premium) which are involved to get the cars to retail/usable condition. From my experience, any auction car will cost you equivalent or even more to the market price. It is better to go for a bargain on the used market and try to your best to negotiate a good deal.
I agree with you , its the same here in NZ . Auctions in AU/NZ are not for the regular car buyers
@@bbgninja9779 I think people do not realise as well, these Government + Fleet cars are absolutely flogged - people have zero respect for them. I imagine all the Diesels have had Petrol accidentally filled in its tank or the drivers have just constantly led to fuel being empty then refilling when necessary, where the pump can be destroyed if driving constantly on low fuel. Regardless of the service history (which only contain general things), items such as the Throttle Body, Fuel Pump, and Differentials are not really checked. In short, it is still a massive risk if you purchase it.
seen dealers buying cars there so go figure:)
@@Tim12-g7c When your mechanic is charging half the price of regular labour for retail customers + the car needs to run only 3 months without any issues. That is not really hard to do!
I bought a car there on that day in 2016 still drive it today. If you know what you are buying you can get a great deal
I have some experience on this topic. I have purchased four cars (15-20 years old and not Manheim) in the last two years at an auction and every car has needed some work to make it roadworthy. Some cars required more work than others, but the only way you can make it a good deal is if you do the work yourself. If you take it to a mechanic it would cost more to repair than just buying the same car privately. A good example is the e90 325i I bought for just $1900. Sounds great, doesn't it? But, it needed two new Vanos Solenoids which BMW quoted me $1300 each. I bought them online from the US (genuine BMW) for just $600 for the pair. Same with all the gaskets and bolts it required to stop all the leaks. Saved myself thousands of dollars by doing it all myself but it still cost a lot in parts.
Also, I would never buy an Audi that age at an auction, they look way too hard to work on.
Great insights mate, cheers!
majority of these vehicles are lemons, the people who go to these auctions including myself are people with mechanical knowledge who expect to encounter issues, definitely do not pay market price for any vehicles here and if you do leave some margin on the table to fix any issues
Not every car at the Auction is a sh*t box but every sh*t box goes to an Auction
Yeah the auctions are only good for people with the experience and a somewhat inate ability to differentiate a good one from a shitbix. If you aren’t confident that you can pick the wheat from the chaff, do not buy at auction.
@chrisgregeory4796 Not true as you can't jack the car up for a proper inspection or even start the motor, so even the best mechanic has his hands totally tied behind his back for inspection.
Every Sh*t Box Trade-In that a car dealer receives goes to Auction as they can't afford or risk selling it the general public.
Car dealers do this all the time, they might buy 15 good cars over a month at Auction and get one sh*t box that they then send back to the same Auction.
I have seen the same car sell at the same Auction 2 to 3 times with blown motors or hidden serious issues ( head gasket, worn piston rings , valve train issues etc ).
I have seen this multiple times of the same car selling more than once.
The Auctioneer doesn't car as they make money on the high fees every time the same car gets sold.
Example is the buyer buys a sh*t box and then sells it back at auction to recover their losses or goes thru legal avenues to get the Auction house or seller to accept the car for return.
I once bought a car at auction with a blown motor and then resold it 1 week later at the same auction to recover my losses. It was impossible to find this issue out when I inspected the car because the issue only showed itself when the motor was started and running for at least 15 minutes to fully warm up which you are not allowed to at Auctions. They will not allow you to run the motor for extended periods or preform a compression test etc
Car dealers do this all the time, they might buy 15 good cars over a month at Auction and get one sh*t box that they then send back to the same Auction.
I have seen some mechanics buy lemons at Auction and then resell them again at auction. So if mechanics can make the mistake buying a lemon what type of cr*p is chrisgregory in the previous comments talking about needing to be an expert to inspect a car
@@smartbox123tv You can start them but not drive. Of course its impossible to tell if the auto has a few gears missing and things like that. But there are a lot things the experienced eye can see that can increase the probability of getting a good one and reduce the chance of getting a dud. A trained eye can see previous accident repairs and resprayed panels, misaligned panels etc. A lot of cars have an average speed for life of vehicle read out on dash menu (higher
the better) a low km car with a squashed and worn drivers seat is a bad sign that you can see. You can see leaks, you can see rust, you can see roughly how much sun its seen, you can smell damp. You can see car park dings, kerb rash etc. Youre correct, in it doesnt guarantee a good one, but there are plenty of tell tales to see hear smell and feel.
@ One car dealer specialising in commercial vehicles mainly from Thailand who shall remain nameless buys late model but smashed ones from slavage auctions.
They then take the engines to put into their undamaged cars that have bad engines / gearboxes diffs etc (very common in Thai vehicles). They then quickly reinstalls the bad engines into the smashed vehicles and send them back to the same auction house to be re auctioned from photos, no in person inspections. So if youre looking for a damaged car for parts make sure its the first time its been auctioned.
Bought a mint looking XE Falcon from auctions back in the day. Leaked like a sieve from the firewall and under the dash. Would fill up with 3 inches of water during heavy rain. Shocking experience.
if i cant test drive, no way
Great video guys. Definitely an great option for folks trying to stretch their dollar, especially for "boring" ex fleet stuff. I think the trick is to stick to a budget, avoid bidding wars, and low ball on a regular basis. Gotta remember that there will be heaps more cars next week if nothing comes up, so dont get too invested. Keep it up and you're likely to snatch a bargain over time
I think your last point should be emphasised, that is don't necessarily buy the first time you go to an auction as there will be lots more to choose from next week.
The auctions are essentially the casino of car sales. You wanna make sure you can afford to lose when u go in, and sometimes you leave a winner, most of the time you dont
Most cars are ex-lease cars. Cold engine and full throttle from day one. That's why I buy new cars and keep them for 20 years.
@@wolfschindler8921 with the current crop of new cars being designed to fail young it might not be that easy to keep doing that.
Where do i start 🤔?? I worked in dealership land for many years, including many years as a used car manager. We would only send trade-ins to auction if it had something seriously wrong with it or the roadworthy was too expensive. We didn't want to burn our wholesalers, so we sent them to auction. Despite what was said, once you drive the car out, it's your baby as there isn't any warranty. You're not allowed to test drive the car, so be very, very careful.
Granted, it doesn’t matter where you buy a used car from, if it’s out of factory warranty, the obligation rests with the buyer
This is the best response so far. 100% correct.
@@ReDriven Yes, but you get a warranty from a reputable dealership, and you can also test drive and get a comprehensive inspection report from a dealership and a private seller. In my experience, late model cars with warranty have a lot of competition . Once you factor in buyers' fees, RWC, and a detail, it isn't cheaper. Then you are looking at older cars without warranty and no idea what the roadworthy bill is?? Sorry, but there are better options for the majority of punters.
@@georgepappas4628 The prices we quoted, along with the potential for savings, included all the auction fees, and in our experience, unless stated otherwise, all had RWC.
Agree it’s not for everyone, we agree the average joe is probably best to shop elsewhere unless they’re experienced in sniffing out the gems.
Yes but the risk of getting a lemon is just way too hi for an average consumer
Over the years, I bought one Toyota, 80k km travelled, and two Lexus, 35-40k km travelled, from auctions with no dramas. All with full service history and in good cosmetic conditions. They all run perfectly. Stick to the low mileage and full service history ones while hunting for a deal.
Still don't understand how Cox can own the auction market (Manheim), the online retailer (AutoTrader), the valuation company (Kelley Blue Book), finance company (NextGear Capital) and so on and so on. One company should not have that much influence in one industry.
Welcome to Australia mate. If this does your head in, try looking at our banking sector.
@@Democractivist Welcome to The corporation of Australia
The chat about manheims 'warranty' was a massive red flag the bloke gave a politician answer and looked like he was nervous af talking about it😂
What was the red flag surrounding warranty?
How about your first question to him on who are the buyers and his answer was "we have a car for everyone for this $"
@@ReDriven”case by case basis”
So you can’t hear a cold start, he specifically mentions you can hear them after they’re nicely warmed up (classic trick when selling a car, warm it up before the buyer gets there), can’t drive it yourself etc and then if it blows up down the road after you’ve purchased it there are no guarantees, just a ‘case by case basis’ resolution.
Which means if you’ve just slapped 50k on a car and it shits the bed you may or may not lose your money.
He was definitely choosing his words carefully when answering that question.
@@ReDrivenHis honest answer should have been a no. Cars at auction are sold as is, no warranty on it. Used car dealers have to provide warranty for 3 or 6 months in NSW but these auctioneers don't. That's why he tried to be as vague as possible by saying "case by case".
@ Are there any methods of buying a used car where there’s meaningful recourse if something goes wrong?
Our take away was that in the case of these auctions, they will engage with any buyer who feels they suffered from an issue that wasn’t communicated prior.
Compared to private sales that, to our knowledge, aren’t bound by consumer law .
(Worth noting we aren’t auction evangelists in any way, we’re just looking at it compared to every other method)
Just don't use grays.. they just had to pay 10mil on fines for being dodgy
Bloody hell didn't know they weren't THAT bad. I've been looking at their cars for years
It would be great if Jim was also included in the video for his opinion about auction cars
Yep, I bought my "Grade 4.5" 2017 Alto Turbo RS with 35k at an auction in Japan. Pros & cons with that too, mostly cons tbh.
What shocks me with dealers in Australia (purely in my experience) is the total lack of reconditioning before flipping a car. They’ll literally buy a car at auction, wash it (if you’re lucky) and mark it up for sale.
My experience of dealers in the uk is they’ll sort dents, refurb wheels, service, roadworthy, gearbox service and actually sell the car having been improved! Does my head in here.
Plus auctions in the UK give you much more pricing info on where the cars booking clean, average etc.
I bought a Ford Expedition once at auction. Paid 2800. I probably poured $1.5k into it over 3 years. Not horrid, but it would’ve been better spent elsewhere tbh since I ultimately had to scrap it
One thing you will probably get with late model fleet or ex rental cars is that they are usually the low or base spec cars. If you can put up without all the fancy add-ons, then go for it.
It is also worth noting that the yardies and auction staff don't give a shit how they treat these cars when they have them in their hands.
I worked at Pickles from end of 2019 - mid 2020 and whilst I'm not proud of treating something as expensive as a car like shit, myself and all the other yard staff would flog the cars and hammer then as much as we could, I was 18-19 at the time and it was my second job so I was still stupid.
The beatings these cars would get in a few days/weeks is ridiculous, myself and plenty others would end up backing them into another car or accidentally driving them head on into another car purely because when you move 100s of cars during a long 9 hour day, in super tight storage yards or auction floors you're going to eventually have an accident, everyone i knew there had at some point.
Last note I want to mention is that when there, I had a pretty big accident that couldn't be hidden, the management there tried covering up the damage by just painting over it and only when the owner noticed it did they actually do the repairs, they then tried to force a $4000 bill on me which they ended up getting around $1500 when they stole my last two weeks of pay after getting laid off.
So whilst you can get an absolutely fantastic deal please know that car has at some point 100% been mistreated
When I was in dealerland, we sent the shitboxes to auction and sold the good ones, which is pretty much standard practice.
You can find good deals but buying at auction isn't some sort of life hack where you always come out ahead. Dealers can play the odds and can tart up dodgy cars - some even resell mining vehicles which are frequently trashed at low mileage.
They can afford to take the odd hit. Spending all your money on one of these as an individual is definitely risky. Caveat emptor...
I've bought 12 cars and utes from Pickles actions and never had a bad experience. As long as you know a bit about cars and research retail prices you can get bargains. The main thing is to set a limit with how much you want to spend and stick to it. Don't get caught up with the excitement of an auction. There are a lot of lemons out in the market place as well. Just saying.
We've got plenty of customers that have bought prestige vehicles for cheap from auction thinking that they've gotten a bargain only to generally have a long laundry list of shit that's gone wrong.
Like that cheap 11yo S class... What could possibly go wrong?
Great video, however, you didn't mention that there are Manheim's fees which, on a $35k vehicle, will be around $1,200 ($450 plus 2% of purchase price).
In the section that includes prices we state the prices include fees. Sorry, might not have been too clear
Oof that merc
Aftermarket wheels
Air ride looks too high ?stuck
AMG badges and quad pipes
Not exactly a "clean" example
In my country the companies/resellers are running trained AI models that automatically bid via the online platforms until it reaches what they've determined is the maximum value that they're wiling to pay i.e. there is no chance that you're going to walk away with anything that is a steal anymore.
What country?
It's important to realise you're typically trading lots of your time for money. (You must invest lots of time to save money). Especially if you're buying a car outside of it's manufacturer provided warranty.
If you didn't get paid to do this advert, then you got ripped off This was exactly an advert for them and you should have hit them up.
That's not how we roll mate. This video was born from knowing absolutely nothing about auctions. We had to go along to an auction somewhere, if they get some free attention, we're cool with that.
Bought an ‘06 Accord thru Pickles in ‘09. Saved a bit after delivery (interstate), RWC, rego and stamp duty and a desperately needed detail and some minor interior fixes which I did myself. Overall not the worst experience.
This was a bit of an add for auctions. (understanding that it was not paid) However having purchased 3 cars at auction at good prices I would like to make 2 points. Cars at auction are generally there because dealers don't want them, they are too expensive to fix or risky to give a warranty. The cars do not come with a road worthy and even the cheapest road worthy now runs into the hundreds of dollars. From experience put aside a minimum of $5000 to get the car on the road. If it looks to good to be true etc...
Probably 15 years ago I got a hail damaged Mitsubishi Magna. It was a fairly bass spec 3 L V6 manual but by God that was a great car for reliability.
All my friends called it the golf ball.
Thanks for making this, guys. Cool break in the format. I've always wondered how these work and this (and the comment section it inspired) was really informative
Buying from a Vehicle auction houses is seriously a risky endeavour!
Even vehicles with impeccable service records and still covered under manufacturer warranty are at risk, because it’s unknown how that vehicle was cared for by employees that have no vested interest in that vehicle. What may look great and operate sufficiently in the period surrounding purchase, can quickly become unreliable with no warranty support should the manufacturer find “extreme operating circumstances”, which brings me to the next point…
Alot of vehicles found in these auction houses are insurance pay-outs, many being stolen vehicles! They’ve usually had the living crap flogged out of them and are most likely meth-amphetamine contaminated inside due to the thieves that steal them.
For the most part, if there was legit value in these vehicles, the fleets and car yards would be making the profit themselves… not passing the 💲buck onto a 3rd party auction house.
I have two criticisms of Manheim. 1st is access to logbooks. They make it difficult to get access to the Log books due to the availability of staff to show them to you with all sorts of excuses to not show you.
2nd, because of poor access to this information, they should include in the report for each car what services have been missed. They only take a couple of pictures of the log book and write in the report "Partial Servicing." The reason I have been given by them is that it is too time-consuming for them to list the log book properly. This is not a full disclosure of the cars history, and they are putting profit first before customers.
Excellent video. Great content. I have been thinking about going to an auction and didn’t know anything. Really really great video. Thanks
excellent video Adam, much needed for those who are thinking about buying from auctions in AU
Make sure you do ALL your sums thoroughly and completely before you go ahead and bid at an auction. I looked into this years ago and it just wasn't worth the time and effort.
Auctions are not good for my impulsive ADHD 😆. I've bought three cars through auction. Another tip I would add (and it should have been obvious to me but anyway) refrain from placing bids during times of grief. Looking for a distraction, I placed one thinking I would be outbid, only to find I was the winning bidder. But like ReDriven said, if you do your homework properly, you can end up with a very good deal.
Hey! It's Mike Costello! Haven't seen that face since car advice days!
Great insights, Adam and team.
I was surprised to hear that Manheim has spread around the world. I always knew it as the local auction in Manheim Pennsylvania that drew buyers from the east coast of the US. Unfortunately, here it is open to dealers only.
Yes, I have about 25 years ago at government auction. I like the auction reports and not having to deal with a dealer.
My parents sent to a car auction to buy the car my dad drove for work. 0:51 .
I was hoping nobody else would want it but I had to outbid somebody.
It went so fast, it was absolutely terrifying
excellent video - my neighbour bought an ex Defence VT Belina wagon that ran for 18 years - lucky I guess Also the warning about hail damaged cars - you can't comprehensively insure them as every insurer will ask you "does the vehicle have any unrepaired damage?" Don't lie...
Great insight, thanks mate!
Though you can still insure hail damaged cars. Though the extent of the damage is relevant
Can you review the Suzuki Ignis please?
Great show. I hadn't thought of an auction. I'm looking to buy in 6 months, and I'll now throw an auction in the hunt
At least it was mentioned there is a possibility of a lemon, a car dealer relative advised me be wary & buy new if you can, even they got caught from time to time with engine warning lights,ABS & Airbag lights, or an unknown battery drain issue can take a long time to find & rectification will quickly eat into any perceived saving for those without their own workshop. How much is the alternator for the big Benz some will salivate over? How do you know a service history is really complete ? Rely on the stamp of a book? Might be surprised how many oil & filter changes are getting skipped in financially tight times.
I've worked for an organization that sent cars to Manheim and the others. Buyer beware. I witnessed plenty of bad cars being fed into their system, that some poor bastard was gonna end up with, care of a dodgy used dealer. Ex Govt/council cars are flogged, and don't get me started on ex Mine vehicles.
Those auction companies have only one thing they care about, to move the units on and make a profit.
Avoid altogether.
I've bought two cars now from the auctions, my rules are first know what you want and do your research on it second be patient. I always look for a car with a fairly decent service history and because I know what I'm looking for I only look at cars that fit that criteria sure I might get distracted by something bright and shiney but I won't bid on that. I use my car for commuting putting upwards of 50K a year on the clock, I also want something that has relative low km's less than 200K. For me I tend to look at a turbo deisel and because Wagons are the coolest thing on the planet (you can't change my mind on that) it's gotta be a wagon. I've had two Skoda Octavia Wagons now one Manual the other DSG auto (not a fan of the DSG) the first had every receipt for every nut and bolt ever bought for it the second not as good a history but both are fantastic cars doing exactly what I want them to do. For as long as I do commute the distances I do I will only buy cars from the auction. Oh and remember the fee's payable to the auction house as part of your budget!
Here's a question.
Why do stolen cars go to Manheim in Perth for checks (after recovered by police) before it goes back to repair shops??
This was a truly enjoyable and informative video guys.
If you get a chance to go back to them could you ask them what the biggest risks are with buying a salvage title car and how things like warranty work with something like that compared to a regular car?
Will you be investigating in the future things like the importation of cars from places like Japan, the rules around breaking of cars for spare parts, how insurance companies and panel beaters workout if a car is repairable or a write off etc as these would be incredibly helpful for some people and also interesting to see how these processors work.
Out of curiosity is that Ferrari in the workshop going to be featured as a review car in the future?
Brilliant work as always guys and as always keep up the good work and look forward to next week's videos as per usual 👍.
If there is a unique "no reserve" auction car that you can personally view and check over. You can definitely pick up a good bargain.
Every one of the 8 yo 10 cars I have bought in the last 15 years has been at an Auction - from just about every Auction house in NSW. I have bought cars for my parents and friends (I have a habit of giving cars to people who need them) I generally buy them with 1 year or 2 left on the warranty so that if there are issues they can be fixed under warranty. This does not work with Mercedes who will claim that they don't have to fix a car if you bought it at Auction. That is a reflection on how CRAP Mercedes after sales service is - not a reflection on the Auction house. At the beginning of the Pandemic I low balled the Auctions and - as people were desperate for cash - I got 3 of them well below the reserve price. 2 years later there was a world wide chip shortage and 2nd hand cars jumped in price - so I sold two of the cars at a massive profit. (I still have my 2012 Lexus because it is so magnificent) . The other thing that helps me is that I pray to Jesus before I go to the Auctions and allow the Holy Spirit to guide me - that seems to work for me.
'Praying to Jesus' is probably the best advice for anyone considering buying at auction 😀
Amen brother ... Grace and Peace go with you @@ianbrown4242
You prayed to Jesus and yet went to the auctions during covid literally with the intention of getting cars cheap from people who, despite no fault of their own, were desperate for cash as the "democratic" governments locked them down faster that you can say "North Korea".
I bought 2 great cars 1 at pickles an xr6 turbo 2 years old ex Telstra market price. A 5 yr old ranger from Manheim hidden in a corner with a fixed price Sydney council car with 40k km had it for 10yrs depreciated $500 a year what a steal that car was. I always get harassed by the security guards when I go to auctions though what is their problem?
Auction has its advantages and disadvantages 😮I do think though that least 60 percent of time you get a good deal. You have to understand the car you bid for and always remember you need to factor VAT and doc fees etc on the bid so yeah. My next car im going to check at auction
Its the massive fees spoil the feeling of buying at auction for me. I get you need to take them into account when bidding but the hammer down price is nothing like the final bill.
The prices we quote in the section with some sales included fees
I was curious to know more about the after sales process. What i gather is you win the bid, pay the deposit then and there. What is the timeframe for making the full payment? Do any of these vehicles state they will come with or without a RWC? I wouldn t think so for the sub 1-5k cars but im curious to know.
I would imagine for vehicles with no rego but can be driven can still do so with temporary exemptions to get them to where they need to be?
I learned a lot from this video, so thank you.
I hear there are a few ex Hertz EVs going cheap cheap at auction :)
Lol.
You asked the Auction House some good questions
Another common redriven W video
GREAT VIDEO I LEARNT A LOTT THANKS. SOMETHING TO THINK ABOUT
I bought a nissan pulsar b17 2013 in 2016 for 7300 at Manheim its a manual not a horrible cvt still drive that car to this day , zero regrets i guess i got lucky car had 40000km on the clock when i bought it with nissan service history guess someone couldn't pay their loan their loss my gain:) at the time they were retailing for 13000$. Also seen a few people in toyota motorama shirts buying couple year old corollas . Guess they end up being resold:) at dealerships
For the wipers challenge, I would recommend eggs....
Is the sell price at an auction the final price, or you have an additional tax to pay (in percentage/fixed)? If yes, what is the value, to get a picture of the final price a buye has to pay?
The prices we quoted included additional fees. Every auction house will be different, but Manheim charge $450 + 2% of the sale price.
E.g. A $30,000 car will have $1,050 in fees, bringing the final price to $31,050
Yeah no test drive nor ability to do a mechanical test, no deal…. Have had too many friends burned by auction experiences
I find auctions ain’t cheap like they used to be. Easier to go to a dealer these days.
maybe I missed it in the video, but what are the payment terms? Do you pay a deposit and then have a period to settle, or is settlement required immediately?
A deposit is required immediately, and full settlement is required before the car can leave the lot.
@@ReDriven cheers, how long do you have to settle before they say time is up and you lose your deposit? Can't imagine they want cars that have been sold under the hammer sitting in the yard for long afterwards.
A question would be can you scan the car via OBD port ?
Yeah - that was my question too. Im guessing though that as they wont let you start it, I bet they arent going to get the key so you can hook up for a scan either...
Bought a 2020 c63s at auction needed repair costs aswell
what are the risks?
10:20 Advertised prices are not sell prices. You can most likely haggle with the seller the 10k off if youre good.
Those prices quoted are the sell price
My experience with auto auction are if it's a popular make and model even at 10yo in above average condition with low proven kms kind of car everyone wants dealers, private young and old everyone puts there hand end result with auction fees and price generally worst off if you bought it private.Also public warning not all but a large percentage of auction vehicles have had the odo wound back and eng check lights deleted od11 eng scaner
Auctions are fantastic for donor cars for parts when Facebook doesn't have what you're looking for.
Comment section filled with Dealers.
Cars over $70000 at auction pay luxury car tax 33% aswell
A mate done his nuts on a auction car. If you're gonna get a luxury car, make sure you can do a mechanical.
Marketplace is better than auctions nowadays
😬 is it?
@ 1000%
Great video 🎉
While you can get great deals at auctions, sometimes cars at the auction go for at or more than market value, making auctions not worth it in this case...
Like left moron that think they can import jdm cheaper from japan . Plus ra grade wont pass compliance in australia chassis bent
I still prefer to buy cars from the elder first owners who sell cars just because they can't drive anymore....
Now do a should you sell at auction
Lots of ex rental cars at auction. As always some good, some have been the fastest cars on the road!! 🤔
16:56 Do you mind telling us what this "really good UA-cam channel" is?😂
😂
...i just think it's gambling to buy a car on auction (I've heard some great stories and vise versa ) and fortunately I'm not a gambler ...maybe if i was a car collector this would make sene but otherwise nope, for me someone should account if i were to buy a car and something was to go wrong full stop.
Buy new, drive it for 20 years. Skip the wank
Could you have sat any closer to Mike?
Auction fee ' 10% gst " stamp duty 5% " rego & ctp $1000 on that mercedes s class . It not imported so dont pay import duty 10% " 5% custom duty . Transport costs 51% fuel excise & haluge tax 10% on a truck
🎵 🎶 this episode was brought to you by Cox Automotive Australia, Mannheim Australia, AutoTrader Australia, and SellMyCar 🎶 🎵 … { just kidding }
hello redriven!
Did my comment just get made into a video?
@MrBirdy - thanks for planting the seed Birdy
If the car is made in Japan.
save thousands spend even more !!!!
Sick of people using the word literally, can’t people be more creative or just copy ever other podcaster 😫
20th person to watch this vid
Who would buy a car with more than 100k kilometres? Who buys a car that is more than 10 years old ?
Doesn’t make any sense, If and only if you “save” money on the car you’ll be spending the saved money on repairs, services and other things that might come up to a car that is so old and with so many kilometres, you need to be desperate to buy a car like this ones 🤨
Who would buy a car over 100k kms, or more than 10 years old? Perhaps those that can’t afford to buy anything else? And to call those that do ‘desperate’ is fairly shortsighted.
I have bought almost two dozen cars that were all over 10 years old and had over 100,000km on them, though never at auction. My three current cars have a combined age of 87 years and combined mileage of about 700,000km. All three are running, licenced, insured and are used all the time. And don't faint, they comprise two Alfas('81 GTV, '02 156 GTA) and an '02 Subaru Outback. (I say about 700k because I don't know how many times the GTV has been round the clock, the Odo only goes up to 99,999...)
Simple truth is almost nothing "contemporary" you buy today (meaning something built since the early 2000s) has much chance of lasting to the 250,000-300,000km mark no matter how fastidious you are with servicing. Unlike cars built prior to then, which routinely clock up galactic mileage with fastidious servicing and maintenance - often just in the driveway by the owner. The only exception to that would be the ubiquitous Toyotas like the Camry, Corolla, Rav4 etc.
Agree that few cars built these days will see 300,000+ kms. Which is a shame, because keep a car that long is one of the best things you could do for the environment, for those with that consideration in mind.
Case in point, we just bought a 25 year old, 350,000km Honda HR-V. It’s holding together better than some cars built 10 years ago.
@@johnphaceas7434 Thumbs up. Purchased my 1997 Toyota Hilux in 2002 with 112,00 klms on the clock. Still going strong, never garaged. Just got to know what you are buying into.
@ReDriven before I bought my outback I was negotiating over a HRV with 400k on it, unfortunately sold before I could get out to the fellas place to inspect it in person, and I just couldn't find another one. But the outback's a beast, headgaskets, timing belt and clutch all done just before I bought it - for $1800 - and everything works, nothing leaks.