Collector car auctions have become increasingly popular, attracting buyers looking for high-quality, often rare vehicles. Major players like Barrett-Jackson, Mecum Auctions, and Silver Auctions regularly showcase cars that can sell for six or seven figures. But auctions aren’t just for million dollar rides. Less expensive classics often cross the block, too. In this chapter, we’ll explore how to register, what fees to expect, and how to stay calm and strategic during the bidding process.
1. Overview of Classic Car Auctions
Collector car auctions typically feature vehicles in very good to excellent condition. If you’re hunting for a restoration project or a bargain “beater,” you might not find many options here. Auctions generally cater to buyers who want a show-worthy or near-show-worthy car, and they’re often willing to pay a premium for it.
That said, the excitement of an auction floor can sometimes lead to inflated prices. If you plan to bid, keep your emotions in check. Auctions are designed to generate buzz, with fast-talking auctioneers, bright lights, and ringmen (spotters) who encourage you to make another bid.
2. Pros & Cons of Buying at Auction
- Pro: Verified Vehicle Details
Established auction companies like Barrett-Jackson and Mecum do a decent job confirming vehicle authenticity with matching VINs, confirming “numbers matching” drivetrains, etc. While not foolproof, this process helps maintain their reputations. - Pro: On-Site Services
Most major auctions provide easy access to financing partners, insurance agents, and transportation services. That convenience can save time and allow you to drive off (or ship out) your classic right away. - Con: Limited Test Drives
You generally can’t test drive an auction car. You’ll see it roll onto the block, maybe rev its engine, but in-depth inspections are typically restricted. - Con: Generally Higher Prices
Because cars at reputable auctions are often well maintained or fully restored, you’ll be competing with motivated buyers and sometimes driving prices above typical market values. Beyond the top known auction houses and shows, there are lots of smaller regional auctions as well. Search online, there likley is one in every state at some point during a year.
3. Registering to Bid
While anyone can attend an auction as a spectator, you must be registered if you want to bid. Registration often involves:
- A valid driver’s license or government issued ID
- Contact information (name, address, phone number, email)
- A recent photograph or headshot
- Social Security number (for U.S. bidders)
- Proof of funds or a bank letter of guarantee
Many auctions charge a bidder registration fee that can generally range from $400 to $600. Some charge this fee only if you don’t successfully buy a vehicle; others keep it regardless. In addition, some auctions have a buyer’s premium (often 5–10% of the winning bid) added to your final purchase price. Confirm all relevant fees before you place any bids so you know your true total cost.
4. Tips for Auction Day
- Arrive Early
Many auctions allow viewing a day or two beforehand. This gives you a chance to inspect vehicles (as much as the rules allow) and identify your targets without the rush. - Don’t Go Alone
If possible, bring a friend. Ideally a mechanic or fellow enthusiast who can offer an objective viewpoint. They might spot issues you overlook in the heat of the moment. - Watch for Late Entries
Sometimes vehicles are added close to auction time and may not appear in the printed catalog. Keep an eye out for unexpected gems. - Focus on Hidden Costs
Know the buyer’s premium (if any), any applicable sales tax, and how the vehicle will be transported or shipped. If you’re buying out of state, taxes can become more complicated. - Stay Late
Towards the end of an auction, crowds thin. Fewer bidders can translate to better deals on final cars crossing the block, but these are usually not the "showstopper" vehicles.
5. Bidding Strategy
The auction environment is intentionally fast-paced and exciting. Keep these points in mind as you bid:
- Study the Process
If you can, attend at least one auction as a spectator first. Watch how ringmen and auctioneers interact, how bids escalate, and where the crowd’s attention tends to go. - Assess the Competition
Observe who else is eyeing your desired car. The ringmen will be pushing them just as hard as they push you. - Stick to Your Budget
Before the auction, decide your absolute max. Bidding wars happen fast, and ringmen are skilled at coaxing extra bids. Don’t let them talk you into breaking your own limit. - Verify Genuine Bids
Sometimes the auctioneer might announce a bid, only to realize there was a miscommunication. Wait a moment to confirm the last bid was legitimate before raising your paddle.
6. Post-Auction Possibilities
If a car doesn’t meet its reserve price (or otherwise fails to sell), you may still have a shot at purchasing it. Let the auction company or the seller know you’re interested as they might be willing to negotiate a private sale after the official bidding ends. Keep in mind the same auction fees often apply in these post-sale deals, so confirm terms with the auction house in advance.
7. Finalizing the Purchase
Winning an auction is a legally binding contract to buy. You’ll typically head to a designated payment office or “settlement desk” to provide funds and handle paperwork. Make sure you collect:
- Vehicle title and registration (if available)
- Any documents promised by the seller (e.g., restoration receipts, authentication papers)
- A final invoice reflecting the sale price, buyer’s premium, and any other fees
If you’re buying out of state, you might need to pay sales tax on-site unless you arrange for an ICC-licensed transport company to ship the car or can prove a dealership license. Requirements vary by auction and state, so research in advance.
Chapter 6 Conclusion
Auctions provide a thrilling atmosphere where you can find top-notch classics, and occasionally snag a bargain. But they also require more upfront homework to avoid overbidding. By familiarizing yourself with the auction’s rules, pre-registering, and sticking to your budget, you’ll maximize your chances of driving away with a classic car you’ll love for years to come.
In the upcoming chapters, we’ll continue exploring different purchasing methods and discuss how to finalize transactions safely and wisely, ensuring your classic car ownership journey starts on the right track.
Chapter 5 - Buying a Classic Car on eBay