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How much will I save by buying from an insurance auction in relation to dealership prices?

November 20th, 2012 Leave a comment Go to comments

I want to purchase a vehicle from an insurance auction, but want to know if it will be worth it.
I’m interested in a 09 Lexus.

dealerships buy from auctions to make a small profit here and there

check out ebay prices vs dealership prices

private and auction is the way to go, dont buy from dealerships imo

  1. wiseornotyoudecide
    November 20th, 2012 at 10:05 | #1

    Nothing in the long run it will actually cost you money. Insurance companies will already know the vehicle was in an accidents or reposed there fore there was already a pay out so they will calculate the fair value on that amount if anything was to happen, however you as the buyer will pay almost four times what they deem fair for the vehicle at an auction. There is ways around it such as reselling and re buying the vehicle at least a few times, but only dealerships have that luxury. It does not clean the title it simply moves it out the radar from insurance companies. It will still say the vehicle was a reposed, accident pay out etc.. on the tittle but since it has been in operation for some reason the insurance lowers on the vehicle. Also at least here in Canada it will be law to disclose all information about a vehicle in June, even if you are a private seller that is mainly geared if your vehicle has been in an accident. There fore if you plan to buy an accident vehicle and you live in Canada you must disclosed that the vehicle was in an accident before you resell. If you don’t that person can come back and get their full money any time even if they drive the vehicle for years and find out that it was in an accidents and was not disclosed. Just so you know, GOOD LUCK….
    References :

  2. The Salesman [Evolving]
    November 20th, 2012 at 10:47 | #2

    dealerships buy from auctions to make a small profit here and there

    check out ebay prices vs dealership prices

    private and auction is the way to go, dont buy from dealerships imo
    References :

  3. N
    November 20th, 2012 at 10:59 | #3

    You think you can find & rebuild a totaled 09 Lexus ?

    Lets just say you can. Unless you are a licensed re builder, you can never get a good title or register it to drive on the road.

    So what good is a car you can only drive on private property ?
    References :

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