| If you go to an auto auction when the economy is | | | | lower quality vehicles just to have some on their lots. |
| smoking and every ones attitude is optimistic you will | | | | I'm sure they resign themselves to the fact that "I'll |
| find it nearly impossible to get a good deal. | | | | just have to sell more volume and make less on each |
| Thousands of cars and trucks go through and they | | | | unit." Which is comical to me, worst part is I've |
| are all unbelievably high. But if you have a marginal | | | | caught myself saying such ridiculous things (again |
| economy where people are unsure of the economic | | | | another subject). |
| outlook, the deals start to reveal themselves, | | | | When the economy is bad the dealers confidence |
| especially on project vehicles. | | | | wavers and they will pass on a lot of great deals just |
| I have been to the wholesale auto auctions many | | | | because it needs some paint work, windshields a |
| times during good economies and the prices are so | | | | transmission or whatever. That is the stuff I target |
| high that it makes you a little sick to your stomach | | | | year round. The dealers dropped perception of value |
| just to watch it. You just wonder if the auction staff | | | | becomes the greatest opportunity. The same dealers |
| is going to give the high bidders hot dogs and | | | | that were given the bank for cars and trucks with |
| balloons with their retail purchases. I personally cannot | | | | damage are running from any kind of necessary |
| imagine what they are doing with these vehicles that | | | | repairs. The funny part about it is that even if you |
| they get hung in the backsides, but apparently they | | | | buy one you think is perfect at an auction, you |
| pass the cost off on their loyal customers. You | | | | discover otherwise by the time you get it home. |
| would often wonder if they can actually find | | | | Give me a project car anytime. You know for a fact |
| someone out there that would be willing to give | | | | that it has problems and are rewarded for your |
| more for the units than they did. | | | | confidence with a better price. As long as you have a |
| Not to mention during the better economies a lot of | | | | good network of mechanics, body shops etc.. you will |
| people decide it would be a great idea to become a | | | | do well to get it repaired and road ready. |
| dealer. They usually don't last long, but while they are | | | | If you are an individual who is thinking about |
| around these newbies become the target of an | | | | becoming a dealer, by all means reconsider. You will |
| unspoken campaign to relieve them of their assets. | | | | make more money buying project cars as an |
| That is another subject all together. The point is that | | | | individual than you could ever make as a dealer. I |
| their inexperience leads them to give to much for | | | | remember the days when I was just buying them on |
| cars and trucks. Then you add the fact that new car | | | | the side and making a ton of money. As a dealer you |
| stores are buying up everything with a steering | | | | have high insurance, paperwork, overhead, customer |
| wheel, 4 wheels and under 70,000 miles. Which in | | | | liabilities (a big one) and a lot more to deal with. |
| effect forces used car dealers to give more for | | | | |