Question of the Week comes from Kerry who asks Interstate Auto Auction...I was wondering if you would consider posting the reserves on cars that do not sell.
thank you
kerry
Answer: Wholesale is usually 50% of the kelly blue book retial price in your auctions zip code. We post online the KBB Retail Price for you every week at the bottom on all our cars. If the KBB price is $7,000 then you should expect it to sell for around $3,000-$4,000! Thats Wholesale Folks!
Given the fact that we are a Auction House and not a Dealership we do not actually own the cars for auction. The Charities, Donations, people in the public, dealerships, repossesion companies, banks ect..own the cars and need to sell them for cheap prices. A person who represents these companies will come in personally and stand along side with the auctioneer. Once the bidding stops the Auctioneer will turn to the owner and ask if it is ok to accept the bid. If the Company agrees it will be sold! The Auction simply provides a medium to Auction off Cars not buy and sell cars like a dealership would.
We are the middle person. We do not know what the reserves are. However, doing this for almost 10 years gives us a little insight into what the reserve can be. We know if you bid around 50% of the blue book price you should win the car.
Thanks for your interest Kerry
