Cars sold at auctions will be cheaper but there are risks involved. There is no warranty offered nor will you be allowed to take a test drive but you must be given an opportunity to inspect the car.

If you are unfamiliar with auctions, go to one as a spectator first to see how they are run. At most auction houses, payment of $500 or 10% of the car's price is required at the fall of the hammer. When you are ready to buy, set a maximum price that you intend to spend and don't go over it.