Investing in a Salvage Vehicle at a UK Public Car Auction
What is a Salvage Vehicle
Any car so damaged that an insurance agency has decided the auto is worth less than the cost of restoration is known as a salvage vehicle. This does not necessarily mean that the car cannot be repaired and made roadworthy. Salvage vehicles are often sold at a UK public car auction at lucrative prices and are categorized as follows:.
Category A
Category A means that there’s no cost effective way to repair the vehicle. The value of the vehicle is considerably lower than its market worth. Even the parts in a category A vehicle are questionable, so avoid these cars in a public vehicle auction.
Category B
Mull over investing in a category B inside a public auto auction strictly for the components. The parts should be good in these wrecked vehicles. You should make some money off of selling the parts off.
Category C
These cars can be fixed and put back on the road. These are great to buy at a public vehicle auction if you know about cars and know how to fix them up on your own.
Public auto auctions in the UK are popular ways for buyers to find reasonably priced vehicles at fair prices. It’s important to keep a clear head and not get caught up in the emotion of a public car auction. Only then will your purchase price be a fair one.
Category D
This type of vehicle is considered fully repairable at a cost that is estimated to be less than the market value. You will likely make some extra income reselling one of these at an automobile auction or elsewhere.
Category X
Category X cars often have little or no damage and generally are recovered stolen vehicles. Because they require little work, they’re easy to resell at a profit in live auto auctions or at an online public car auction.
So in conclusion — here’s the scoop for autos inside a public car auction inside the UK: Stay with categories X and D if you don’t know a lot about cars and if you have the money. Category C is an alternative for those who know vehicles and can do the fix-up themselves at a good price. Category A and B automobiles are shakier and only useful for parts if you’re a true car expert.
December 20th, 2009 at 1:21 am
As manuals are more common than autos, does the same apply?