Auctions

[StLawrence]

I recently purchased a 2006 GX 470 under the Lexus Certified Pre-Owned program. So far, we love it, and I will post a more comprehensive review of it later.

For the moment, though, my curiosity is piqued. In finding the car, I went to a lot of Lexus dealer CPO sites, and looked at a lot of cars on-line. One benefit of the Lexus CPO program is that one is able to view the car's Carfax report on-line. In reviewing the Carfax reports, I noted that most of the vehicles had been registered to the original owner, and then acquired by the selling dealer from an auction, prior to be entered into the CPO program.

Question is, does anyone know anything about these auctions? My concept of auto auctions is a smoky place where people pack differentials with sawdust before push-starting the cars and running them through the auctions. Clearly, if they are selling one-owner Lexus cars, my concept is dated and wrong.

Maybe we'd like to go to such an auction. Are they open to the public?

Dave

[04gX470]

I bought mine directly from the auction - I paid quite a bit lower than if I got the same thing via a CPO program. The auctions are mostly lease returns and I checked the carfax history prior to buying since the auction run list has Year/Model/Mileage/Color/Trim and VIN number.

The auction I got mine is in PA and its a dealer only auction so I went with a dealer and got the car I liked.

[1990LS400]

The history of my car is probably fairly typical.

The 2000 LS400 I bought in fall 2003 came off it's 3 year / 36,000 mile lease on July 31, 2003 and went to an auto auction a few days later. It was purchased by a small used car dealer and "reconditioned" -- new wheels, cleaned up and the bumpers repainted -- just like a Lexus dealer would have done if a Lexus dealer had bought the car at the auction.

The used car dealer drove my LS as his personal vehicle for a couple of months and then sold it to me at 38,000 miles and for $9,000 less than the asking prices for two used CPO 2000 LS400s of similar mileage and condition at Superior Lexus in Kansas City -- except that my non-CPO LS is a little better equipped than the two at the Lexus dealership.

CPO would have been nice but sure wasn't worth $9,000. My total repair costs (repairs only -- not maintenance) between when the basic warranty expired July 31, 2004 and the 100,000 mile maximium that a CPO warranty would have covered were only about $700 -- two strut rods and an interior light fixture.

My father-in-law, John, worked at an auto auction part time for 20 years after he retired. He never tired of telling how many Lexus cars were sold each week and the low low prices they brought. John, would you just shut up about it!