Buying a repossessed car can save you upwards of 30% in this market. With the automobile industry in ruins and with repossession at an all time high, this is the time to buy your repossessed car. Keep in mind however that getting a good deal is still going to take research and time. You have to do your homework or else you're going to be taken for a ride.

There are three places where you can go to find repossed cars for sale. The first is your local municipal auction. The government and law enforcement seize thousands of cars all over the United States annually. Most of the cars were well maintained until the owners were swept up in a sting or for warrants. You can call your local city for listings and times of these auctions. The local police department can also point you in the right direction.

The next place to look for repossed cars for sale is your local dealerships. With foreclosures and repossessions already still breaking records, dealerships are strained with a flood of inventory. A lot of lots will be "buy here pay here" so make sure you don't make any commitments to some slick salesmen. God bless them for trying to move the inventory but they are looking out for their commission and you need to look out for yourself. You can cold call your the local dealerships or use directory sites to find repossessed cars for sale. Another more old school way is to just open up your phone book or local newspaper. The internet has a lot of information but still has a long way to go when it comes to the local level.

The final place to find repossed cars for sale is auctions, banks and credit unions. These places all go together as most banks and credit unions will outsource the repossessed cars to a local car auction. Some banks are known to keep their own lots and auctions though, particularly in the commercial vehicle business. Again, these banks will have repo cars priced to sell but be careful as these cars may have lots of problems. If you can, have a friend who is a mechanic(or close to it) go with you and buy him lunch after. It may be one of the best returns on investment you ever get in this life. If you are in a bidding war and you see too much competition, let the repo go. There will be another one come along so try to keep that in mind when your bidding. There's no point overpaying and losing. The whole reason why you are there is to save money!

Finally I want to say that this really is "what's one man's loss is another man's gain" but please do your own research and make sure the car is in fair condition. Make sure you have all the paperwork and don't be afraid to ask questions. Even though you are getting the repo car at a discount, it's still thousands of your money going into this purchase. It's better to "look stupid" upfront than to look dumb driving away in a bad lemon.

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