There are advantages and disadvantages to purchasing a vehicle at a government or police auction instead of going to a car dealership. Many people don’t realize it, but the police seize thousands vehicles every month and in most cases auction them off to the general public at greatly reduced prices.

Obviously, police auctions are a secret that car dealerships don’t want you to know about. This is because not only is there one less potential customer looking to purchase a vehicle but there is also another bidder competing against him for the cars that are being auctioned.

Yet over 90% of the population still goes to car dealerships to purchase their vehicles. People are simply not aware of the great deals that police auctions have to offer. The government isn’t about to spend any budget publicizing the auctions either. Below is a list of pros of advantages versus disadvantages in buying vehicles at these auctions:

Advantages:

- Business Methodology allows much lower prices.

- Police auctions are held everywhere in US and Canada.

- Detailed listings of vehicles at government and police auctions are now available on the Internet

- There is a large selection of vehicles that can be found at police auctions including: cars, jeeps, trucks, minivans, ATV’s and more!

- No middle tier channel (middleman) to go through or pay

- No commissioned salesperson to have to deal with

- Motivated seller who doesn’t have the resources or time to deal with inventory, therefore offering vehicles based on no reserve bidding

- Better income tax advantages (run as a business)

- Usually pay less car taxes

- Start your own business (i.e. Sell cars on the Internet)

Cons:

- Most sales are made in cash so credit is typically not offered

- No warranty (although used car dealerships warranties are for short time periods)

So if you don’t mind paying cash, or have access to credit, then it’s obvious that the pros far out-weigh the cons in favour of government and police auctions. Just as with a used car dealership it is a good idea to bring someone with you who can inspect and determine the vehicles condition.