auction purchase

Sir

After analyzing your query, I would like you to know that one should be extremely careful while investing in property (immovable or moveable) in an auction. While it may seem like you're getting a "good deal", there might be several extra costs that the buyer might not be aware of.

With the right preparation and a discerning eye, you could drive home in the best steal of your life. However, if you are not careful, you might be stuck with a few additional costs that you were not willing to sign up for. It is extremely important to go over the paperwork in excruciating detail. 

When a bank auctions a property, it is sold on an ‘as is where is' basis, so you should read the bid document carefully to find out if there are any unpaid dues. “The bid document is like the prospectus of an IPO, where all the facts covering the legal title and responsibility for pending dues are stated"

It also might be prudent to sign up for car insurance. Most cars in auction are "shined and buffed up" to attract the attention of the auctioneers. Thus, at the first look, a car that might seem like a perfect fit for you might have several underlying complaints. investing in a good insurance premium will safeguard you from any unforeseen costs or events that might come your way.

As underlined before, the most important aspect of buying a car at an auction is to be efficient and responsible with the paperwork.

Hope this helps !

Regards

Meghna Mishra