Purchasing a car, van or SUV that has been repossessed can be an excellent opportunity to obtain a vehicle that you might otherwise not be able to afford. Most repossessed vehicles go through some type of inspection before being auctioned or sold outright but that is no guarantee that there won"t be trouble with it in the future.

Vehicles seized by law enforcement agencies during drug raids, through property confiscation or through other means are checked for contraband. These auctions usually take place every three months and are listed in local newspapers. Most are open to the general public and offer a bidding system however some higher priced vehicles may use a sealed bidding process.

Local municipalities can seize vehicles for a number of reasons ranging from unpaid tickets and fine to back taxes. Vehicles that are seized are sold to pay off the fine as well as recover court costs. Local municipalities can also work with banks and lending institutions to repossess automobiles when payments are not made. The bank can either sell the vehicle to the municipality or have it placed in auction to recover the outstanding balance. Repossessed vehicles make up for 13% of all used car sales in the United States.

Finding repossessed vehicles in your area can be as simple as checking the legal listings in your newspaper. By law cities, municipalities and townships that repossess vehicles are required to give at least seven days advanced notice of a vehicle that will be sold or auctioned. In the case of federal and state confiscations and seizures there is only a 72 hour notice required. Unless otherwise stated, the auctions and sales of seized or repossessed vehicles are open to the general public with the total purchase amount being due at the time the auction or sale is finalized.

Online auctions of repossessed vehicles allow for more bidders; cars, trucks, motorcycles and SUV"s can be purchased online and the buyer can have the vehicle delivered to them or they can arrange to pick it up. The title transfer of the repossessed vehicle is done by a notary and all fees are due before the vehicle will be released.

Almost every auction house will allow potential bidders the chance to inspect vehicles before the event takes place. You can bring a mechanic with you as well as having access to any paperwork that was with the vehicle when it was seized or repossessed. Be sure to check the requirements for bidding such as age restrictions, proof of insurance, if they will accept a cashiers check and if there will be a notary on site to handle the title transfer of the repossessed or vehicles that are being sold or auctioned. If you are required to have proof of insurance, and do not have any, start shopping for auto insurance so you can purchase the automobile you bid on.