Unclaimed and Abandoned Vehicle Auctions
Can cheap cars be found at unclaimed vehicle auctions?
Special weekly or monthly car auctions are held in larger cites across the U.S. to sell vehicles that have been left on the side of streets or in parking lots and abandoned by owners. These unclaimed vehicles are regularly sold by municipalities at public auctions.
In some cases, the sales are held by towing companies who are authorized to pick up and sell the vehicles at auction. Sales revenue is often shared with the local government.
Although many of the vehicles have been abandoned because they have broken down and no longer run, some can be restored to good operating condition at minimum cost and effort. However, other vehicles, some in excellent condition, have been left unclaimed for reasons we can only imagine. Was the owner a spy who had to leave the country quickly? Was it someone who passed away unexpectedly and had no heirs? Or was it a case of terrible forgetfulness?
The city or towing service does everything it can do to try to locate the owner of these vehicles, but after a period of time will give up and place the vehicles on the auction block. In some cities, the cars must be listed in a public media such as a newspaper for a specific time before it can be declared as unclaimed. Here is an example of the process for a Washington county:
10.72.080 Unclaimed vehicle--Sale--Disposition of proceeds.
If, after the expiration of fifteen days from the date of mailing of notice to the registered and legal owner, the vehicle or automobile hulk remains unclaimed and has not been listed as a stolen or recovered vehicle, the tow truck operator having custody of such vehicle or hulk shall conduct a sale of the same at public auction after having first published a notice of the date, place and time of such auction in a newspaper of general circulation in the county in which the vehicle is located, not less than three days before the date of such auction.
Laws and procedures vary widely between states, counties, and cities.
Examples of Unclaimed Vehicle Auctions
The Philadelphia Parking Authority conducts perhaps the most well-known unclaimed car auction in the country. Auctions are held several times a week and benefit the local school system. Many of their cars come from a program designed to remove unregistered and uninsured cars, and unlicensed drivers from the streets.
When there is a legal requirement to list unclaimed cars in local news media, you might see ads such as the one here from Woodstock, Georgia:
M-1078 NOTICE OF PUBLIC AUCTION PEE WEE'S WRECKER SERVICE, INC. 806 BASCOMB COMMERCIAL PARKWAY WOODSTOCK, GEORGIA 30189 770 926 6185 Public auction to be held Saturday, August 13, 2011 at 1pm the following will be sold: 1999 HONDA ACCORD VIN#1HGCG5652XA064068
2000 FORD TAURUS VIN#1FAFP53U31A132494
1988 TOYOTA TERCEL VIN#JT2EL36Z8JO242405
1977 DODGE SPORTS VAN VN#B22BE7X174899
1996 HONDA ACCORD VIN#1HGCD5636TA092392
1989 HONDA SB50P SCOOTER VIN#JH2AF1706KJK113271
1992 HONDA PRELUDE VIN#JHMBB2256NCO10298
1988 TOYOTA TERCEL VIN#JT2EL36Z8JO242405
2002 DODGE INTREPID VIN#2B3HD46R62H214754
1993 MAZDA MX-3 VIN#JM1EC4313PO210269
2000 GMC SONOMA VIN#1GTCS19W9YK233881
1997 CHEVROLET ASTRO VAN VIN#1NDM19W4WB150510
1995 NISSAN QUEST VAN VIN#4N2DN11W8SD857414
1997 GMC SIERRA VIN#1GTEC14M7VZ541033
In this case, the ad appeared in the local newspaper and on a local online web site, and the auction is being conducted by a towing company.
Here is another example. It is an auction company, TowLot.com, in Kansas City that specializes in selling abandoned and unclaimed cars, trucks, motorcycles, construction equipment, boats, and more. Towing companies use this auction company to sell their vehicles.
How to find unclaimed vehicle auctions in your area
Ask. Ask tow companies where the auctions are held. Ask your local police department. Find out which tow companies are contracted to the local police for pickup of such vehicles. Watch your local newspapers for legal announcements of upcoming auctions and notices of unclaimed vehicles. In many cases, the auctions will be announced and listed on web sites belonging to your local or county government.
How to participate in unclaimed vehicle auctions
All car auctions are different in the way they conduct business. Rules for participation are different. Fees and fee structures are different.
Most such auctions require that you register beforehand.
Some have membership fees. Some federal, state, and county government auctions have no fees. Some charge an entry fee. Some charge a premium if you win a bid. Some have a processing fee if there are DMV title and registration charges.
n most cases, you will be required to pay in full if you win a bid. Cash, cashiers check, money order, or credit cards are usually accepted. Personal checks may not be accepted. Deposits and partial payments are sometimes allowed, sometimes not. It's important to find an auction that you think you'll want to attend and determine their rules and procedures.
You should attend at least a couple of auctions before you actually bid at one. Learn how it operates and how the bidding process works. Learn how and when you can inspect the cars before the auction date. If you don't know cars, you should bring someone more knowledgeable with you to make sure you don't unknowingly buy a dud.
If you can vehicle VIN numbers prior to the auction, you should always get vehicle history reports. The best source of such reports is AutoCheck® . A history report will tell you if the car has ever been wrecked, totaled or salvaged, if it has frame damage, if the odometer has been reset, and much more.
After your purchase, you can protect yourself against hidden problems that appear later by purchasing a relatively inexpensive used-car warranty from a reputable company such as Endurance Vehicle Protectionwhere you can get a free price quote.
Since you can't drive the cars being sold, you must rely on a lot on knowledge, a little intuition, and some plain good luck. The more experience you have, the more successful you'll be.
Remember, unclaimed and abandoned car auctions are a great place to pick up bargains, if you know what you are doing. But also remember that other people will likely be bidding on the same cars you bid on. Don't get overly excited and overbid.
Good luck.
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