Auctions

Australia is a wonderful place, in almost every way, but just sometimes it can be a bit… big. Which is to say that, while a country like England can advertise cars for sale anywhere on its tiny island, and it’s not a huge stretch to travel and look at them in person, buying a car from interstate in this country can mean there’s 4000km between you and the vehicle you want to test drive.And you have to really, really want something to consider buying it when it’s a 40-hour drive away. But such is the global, or at least national market created by the internet - in the old days you only looked at cars for sale in your local paper, so all your options were, effectively, close to home - that if you go shopping for a car on the web, you’re quite likely to be tempted by good-looking machines from many miles away. So, how hard is it to buy a car from interstate? Would you do it, could you do it, should you do it? Well, the fact is that Australians, all across this vast country, are doing it every day. So be not afraid, and just read our handy guide below on how to buy a car interstate, the pros and cons and the pitfalls to watch out for. Absolutely you can, yes, and the reason you might want to is that being willing to do so increases the number of cars you can look at and might therefore secure you a better price. Just be sure to consider the extra costs that might be involved in transporting the car to your home state when working out the size of that discount. In some cases, cars might also just be a bit cheaper in other states, so it’s definitely worth at least having a look.  You can buy from an interstate dealer, although it’s worth checking - even if you’ve found a particularly great price - whether your local dealer can match it, particularly if you’re buying a new car. It seems unlikely you’d be able to get a new car from a dealer interstate that’s so much cheaper than your local dealers that it would make up the costs of shipping etc. Although a motivated dealer interstate might be motivated to ship the car to you.It’s more likely that you might find the particular second-hand car of your dreams at a dealer interstate, with just the right spec, colour or mileage. The good news is, particularly if you’re not going to be physically able to go and check the car out in person because of the distance, that any car bought interstate from a dealer should be protected by a warranty.Used-car dealers are required by law to provide a three-month/5000km warranty as long as the car you’re buying has less than 160,000km on the odometer and is less than 10 years old.  With online auctions increasingly common this is a way a lot of people are now buying cars, and the good news is that the same second-hand-warranty laws apply to any vehicle bought from a licensed auctioneer. If you buy from an auction and the car does not come with a warranty, the auctioneer must inform you of that, at which point you can either walk away from the deal, or sign up for the fact that you’ll be stuck with any costs from any defects you’ve been unable to spot because you weren’t ever in the room with the vehicle. Yes, if you’re in the ACT and looking at a car in NSW, you might just want to drive there and get your hands on it, and your bum in it, but if the distance involved is just too great, you’re going to want, indeed need, to pay someone else to have a look at it for you.Once you’ve done all the obvious online checks into the vehicle you’re looking at - making sure it’s not stolen, or encumbered with debt, all of which you can do through the Personal Property Securities Register - you’ll want to take advantage of pre-purchase vehicle inspection service in the state where the car is for sale. These services are available from all teh major motoring organisations, and there’s one in each state - like the NRMA, the RACV in Victoria, RACQ in Queensland and so forth. Do not be tempted to forgo the cost of one of these inspections - usually between $250 and $300 - and buy a vehicle sight unseen. The risk is too high, and the saving versus potential loss equation makes no sense.  Obviously, the cost of freighting your new car back to your home state is going to vary enormously, based on where you’ve bought it - Perth to Cairns, for example, is going to be an expensive proposition.That’s why you’ll want to consider that cost when making your choice, and get a quote on transport fees before you buy. Be sure to get more than one quote from more than one company before making a choice as prices can vary, but the costs can be as low as $250 but can be as high as $1500, depending on the size of the vehicle and the distance travelled. When you buy a new car you have to sort the insurance and the change of registration into your name, and buying a car from interstate simply adds a little complexity to that process, and possibly a little bit of cost as well.Australia does not like to have consistent laws and rules for such things between states so you’ll need to check what applies to the state you’re buying from and bringing the car into.You’ll need to transfer the registration from the state of origin, where the vendor is, to your home state, and if you’re intending to drive the car from one state to another, you’ll also have to secure a form of temporary registration, typically called an Unregistered Vehicle Permit, which you can apply for at your state authority. This form will mean you have CTP insurance while transporting the vehicle. If you’re moving the vehicle by freight, of course, and thus keeping the unnecessary kilometres off the clock, you don’t need to worry about this. The NSW RMS site has some helpful advice about the issuing of new plates, and whether you can keep the old ones here.When you register an interstate vehicle in NSW, Roads and Maritime assigns NSW plates, and records that the interstate plates are no longer associated with the vehicle. This information is also sent to the interstate authority.You’ll be issued with a receipt, which you may be able to take to the interstate authority in order to receive a registration refund. Contact the interstate authority for specific information.Some states and territories allow you to keep number plates when they are no longer associated with a vehicle:Queensland: You may keep all special, personalised, custom and prestige platesSouth Australia: You may keep some special plates, Grand Prix, Jubilee and Numeral-only platesVictoria: All plates may be keptTasmania: All personalised plates may be kept.Western Australia, the Northern Territory and the Australian Capital Territory do not allow you to keep plates.If your vehicle is from one of these jurisdictions, you’ll need to hand in the existing plates at the registry or Service NSW centre when you apply for NSW registration.The details for what to do in WA are here.In South Australia, Stamp Duty is also a factor, as explained here.And here: If you do not have an interstate registration certificate the vehicle must have a vehicle inspection to confirm the correct identity of the vehicle, and stamp duty will be payable as well as the applicable registration fees.In Victoria, the trickiness level is raised because you need an appointment, the process is all explained here.Handing in your interstate plates is compulsory in Qld, as explained here. If you’re the seller, you want to cast your net as far and wide as possible, so being wiling to accept offers from interstate is a good idea. Just be aware that you’re going to get a lot of questions from someone who’s worried they can’t eyeball the car themselves, and be accommodating when they want to send someone around to do a pre-inspection on your car.

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The newspapers are full of stories about people who set off on a Saturday to buy a house and somehow spent $300,000 more than they meant to.There's far less danger of over-reaching when buying a car at auction, although that very human desire to win at all costs can still kick in, but it is a similar experience in so far as you don't get to live in a house before you buy it, nor do you get to drive the cars that are offered up at auctions before you hand your money over.As such, there's an element of danger, which can make the whole process seem like a cross between the Boxing Day sales and Russian roulette, but research and careful preparation can reduce those risks.And, as with any kind of auction, what makes them a tempting proposition is that you stand a good chance of picking up a bargain. Buying a car at auction can be 10 to 30 per cent cheaper than shopping for a second-hand car at your local dealer.How, then, do you come home with a winner, rather than a lemon?Knowledge is power when it comes to car auctions, so you need to make sure you are fully informed about what the kind of car you want to buy is worth.Find out what similar models are going for on the private and dealer markets, remembering that the prices people end up paying are almost always lower than list price.People can get caught up if they haven't done all of their research prior to biddingBe sure to check the car's true worth with CarsGuide.com.au's car-valuation service which uses industry sales data to give an accurate price range, depending on mileage and features.It's important to prepare as fully as possible before immersing yourself in an auction's rapid-fire environment, according to Brendon Green, General Manager of Motor Vehicles at Pickles Auctions, Australia's leading vehicle auctioneers."An auction is an exciting environment and people can get caught up if they haven't done all of their research prior to bidding," he says."We suggest customers attend a few auctions as an observer before they're ready to bid, to get acquainted with the process."We want people to set their budgets prior to auction, check condition reports and read through the service history."You can, of course, avoid auction-room hysteria altogether by researching and bidding online, but it's still vital to inspect the cars in person beforehand.So how do you avoid buying a money pit when you can't take a test drive?It's a simple rule: time spent preparing beats time spent repairing. Make sure the car you're bidding on is well-maintained, and check the service history carefully.If the condition report is missing or incomplete, walk awayThe complex electrical systems and tech-heavy engines in modern cars require more careful attention. They're not inherently weaker than older technology but they are more intricate; if the parts aren't properly maintained, the damage is more difficult – and expensive – to repair.If the service history is patchy or incomplete, be aware of the hidden costs you may be taking on with what might seem like a bargain.Auctioneers will offer information about the car's condition and services in a detailed report, usually online and at the auction site. This document is your only evidence that a car has been properly maintained. If the condition report is missing or incomplete, walk away.Choose cars offered with a roadworthy certificate. It makes insurance and registration easy, as well as saving on unexpected costs such as brake pads and tyres.Because you can't drive any of the cars before bidding it's a good idea to test drive similar vehicles ahead of time to decide if your choice is right for you. Check things like sight lines, the comfort of the seats, whether it feels powerful enough for your needs, if it has ISOFIX attachments, and the general ergonomics.You can inspect cars before they're auctioned, however. If you're concerned that you'll overlook something, you can hire professional vehicle inspectors or bring your mechanic along."It's the best way to gauge the true condition of the car and narrow down your list of options," says Green."An inspection is also a great time to familiarise yourself with the auction house and ask its employees questions to help make your decision."Newer cars will still have a few months or years of new-car warranty left and, for extra assurance, some auction houses offer extended warranties.Many cars have gearbox, engine or trim options that make them as desirable as a smashed windscreen.As an example, early automated manual gearboxes like BMW's jerky SMG or Alfa Romeo's Selespeed (nicknamed "sillyspeed"), which were exciting when launched but now seem about as cutting edge as soap.Remember, bid with your head, not over itOutmoded engines can carry a price penalty at the petrol pump, and be aware of aesthetic choices, because a car with puce green paint and red leather will not hold much resale value.Look through used listings on CarsGuide.com.au to find the more desirable options that carry higher second-hand prices and decide what you're happy paying for and what you can live without. Remember that some models, and indeed whole brands, can be difficult to re-sell down the line.Buying at auction can be from 10 to 30 per cent cheaper than the dealership, according to Pickles Auctions, or, if you're really lucky, even higher.The price you get will be highly dependent on how many other people there are on the day seeking the same car, or model, as you. Remember, bid with your head, not over it.

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