Does this sound like a good hustle?

[streetzdream]

A friend of mine is an out off work mechanic, and he came to me with this idea. He told me about local car auctions and the deals you can get. He said if i financed a few car purchases he could fix them up and sell them for a profit locally and on Craigslist. I've witnessed him make a few hundred dollars on a couple cars, but he doesn't have the constant funds to continually buy and sell. This is a friend of mine for over 15 years im 26 btw, so i know i wont get screwed unless we cant move the cars. NT how does this sound?

 

[solefood229]

I can't either work really well, or end up really bad

My cousin does the same thing he parlayed that into a used car dealership

How yall splitting the profit?

 

[streetzdream]

Equally, between 3 parties, Me, another Financier, and the Mechanic.

 

[HankHill]

I know people who did it. Go to a car auction, buy a car, then flip. They don't look for ones that need major work though. Normally just fluid changes, detailing, replacing windshield wipers, etc. And they usually go for the same car. Early 2000's altimas and maximas. Why? I don't know.

They made money though. Post it up on craigslist for a few hundred to a 1k more than they paid. They sell em quick too. Its a lot of people who get into wrecks and what not so they're looking for a decent reliable used car quick. I remembered they'd having like 10 postings every 2 weeks and the cars would sell.


My suggesting is if you and the guy does do this, don't grab a car that needs fixing. Your friend is a mechanic so he can identify a car in good condition (they should let you pop the hood and even test drive at some auctions). You're better off getting a cheap car that runs fine instead of a cheap car that you end up paying more for to fix.

Look for ones that can sell quick. too. Civics, accords, camrys, carrollas, etc.

 

[repsol1k]

To make money u would need to go to the auction with a dealers license..in which where im from u need to have 30k just to apply for 1..my dad owns a auto shop and used to own a car lot also..him bein a master mechanic he made BREAD doin this..without a license u would have to pay the buyer fees which can range from $400-1000..also if u decide u need money quick and try to resell the car thru the auction ur gonna have to pay seller fees also..

 

[executive76]

It can be but you need a license/insurance and a dealer/surety bond

 

[mynameismyname]

I know people who did it. Go to a car auction, buy a car, then flip. They don't look for ones that need major work though. Normally just fluid changes, detailing, replacing windshield wipers, etc. And they usually go for the same car. Early 2000's altimas and maximas. Why? I don't know.

They made money though. Post it up on craigslist for a few hundred to a 1k more than they paid. They sell em quick too. Its a lot of people who get into wrecks and what not so they're looking for a decent reliable used car quick. I remembered they'd having like 10 postings every 2 weeks and the cars would sell.


My suggesting is if you and the guy does do this, don't grab a car that needs fixing. Your friend is a mechanic so he can identify a car in good condition (they should let you pop the hood and even test drive at some auctions). You're better off getting a cheap car that runs fine instead of a cheap car that you end up paying more for to fix.

Look for ones that can sell quick. too. Civics, accords, camrys, carrollas, etc.

All this, there is some money to be made in doing this. I've thought about doing this but never got around to it. A lot of police auctions have nice cars for pretty cheap .

 

[qtnettles]

Sounds like your profit gonna be small splitting it three ways, how much profit would you have to make per flip to consider it worth it?

 

[streetzdream]

Not much initially, we were thinking more about longevity. hopefully taking on a few other endeavors, once the cars become somewhat steadily profitable.

 

[water]

I know my friend does this. He's now in debt though. 

Not very knowledgable on the subject, but I guess it all depends on what you initially get. 

He was mainly fixing BMWs and VWs