One of the places people go to purchase certain types of commercial vehicles and equipment at bargain prices is a heavy equipment auction.
This method of trading is very appealing to buyers because it provides the power to better control the cost of an item being sold and buy these vehicles at a price that is much more reasonable than at a commercial vehicle dealer.
It is still important to keep in mind that not every auction will work in favor of a buyer; it could even cost more than the listed value of the item being sold.
To keep this from happening, following are some tips that may help lead a buyer to a successful experience when deciding to purchase heavy-duty equipment at an auction! Do Not Rush One of the things that first time bidders must keep in mind is to not fall into a bidding frenzy.
It may seem that the auction process merely involves picking out a certain item and outbidding other participants; there is much more to such a selling method than that.
It is important to take adequate time to become familiar with the atmosphere of an auction by attending several of these events, becoming aware that things can easily become chaotic once the bidding actually begins.
It is also important to learn the different policies that are in effect at each of the various auction companies, such as registration requirements, applicable fees, and the quality of the units being sold.
Come Early Another important strategy for buyers is to arrive early.
This is particularly important when purchasing mechanical equipment such as trucks.
Before the auction begins, participants will be given a certain period of time to inspect the condition of each item that is being sold.
For heavy-duty equipment, buyers should check important parts such as the engine, transmission, hydraulic system, and any other parts that have vital functions.
It is important to check for leaks, extensive wear, and mechanical damage.
If possible, start the engine and actually operate the equipment to assess its performance and the quality of the vehicle.
Any engine problem or mechanical problem is much more evident when the engine is running.
Look Beyond Aesthetics Typically, buyers focus on the physical condition of an item and many sellers take advantage of this natural instinct; this should never be the case when buying mechanical equipment.
The actual performance of the vehicle is much more important than its outward appearance.
A unit may look pristine on the outside but have serious problems on the inside.
To confirm the actual condition of the vehicle, it is important to have a mechanic inspect the vehicle prior to the beginning of the auction.
Know the Price So many purchases of vehicles are made through an auction because there is a possibility to find a good deal.
This is not possible unless the bidder actually knows the value of the item being sold to avoid overbidding.
A handy Kelly Blue Book or NADA valuation can provide bidders with valuable references to thousands of vehicles, including heavy equipment.
Bidding Wars The atmosphere at an equipment auction can easily become intense, especially when a unit is in demand and there are many participants in the bidding process.
Sometimes, buyers get so caught up in this sales process that it is not realized that the amount being offered has gone beyond the actual value of the item.
In such a scenario, it is important to learn when to withdraw from the bidding action.
Keep in mind that purchasing equipment from an auction is not as simple as buying an item listed at a fixed price.
There are many different factors to be considered and require specific strategies in order for the outcome to be favorable to the buyer.
Hopefully, this article has provided buyers with some helpful tips on how to achieve a successful experience at a heavy-duty equipment auction!