How to Sell a Car at Auction (Without Losing Money)

Whether it’s a classic, a non-runner or a car that’s just not moving on Autotrader, auctions are a fast, no-nonsense way to sell. Sometimes, for a whole lot more than you'd expect.

But there’s a catch: if you don’t know what you’re doing, you could lose money.

In this guide, I’ll walk you through the right way to sell a car at auction in the UK so you stay in control, avoid the pitfalls I see every day and give your vehicle the best chance of fetching top bids.

Is an auction the right choice for your car?

Selling at a car auction isn’t always the best option. It depends on your car and your circumstances.

If you’ve got a car with niche appeal, a trade-in that didn’t work out or you just need a quick sale, auction might be a strong route. Vehicles like classics, non-runners, light accident damage and unusual spec models sometimes perform better in front of traders and specialist buyers than on the open market.

But before you commit, take a moment to evaluate the alternatives.

Private sale

You’ll often get the most money this way, especially for well-maintained, newer cars. But it takes time. You’ll be dealing with tyre-kickers, arranging viewings, and handling all the paperwork yourself.

Part-exchange

Convenient, but typically the lowest offer on the table. It can work if you’re buying a new car and want a seamless swap, but you’re unlikely to get fair value—especially for unique or modified vehicles.

Online car buying services

Online car buying services are quick and handle most of the process for you. Motorway, in particular, acts like a mini-auction to verified dealers. Offers can be strong for mainstream vehicles with good history and clean MOTs. Less so for damaged or obscure cars.

Scrapping

Scrapping your car is a great choice if it’s at the end of its life (no MOT, failed repairs, rust bucket). If the vehicle has no resale value or can’t realistically be fixed, a licensed scrap buyer (like us) will pay you based on metal weight and parts value, then collect the car same day or next day.

Know your car’s real market value

Before you list your car, you need to understand what it’s actually worth at auction. Not what you hope it’ll fetch. Not what a similar car on Autotrader is listed for. But a real, data-driven market value based on today’s demand.

Why? Because your reserve price (the minimum you’ll accept at auction) has to be grounded in reality. Set it too high, and no one bids. Too low, and you risk giving the car away.

1. Get a free car valuation.

You can do this instantly using an online valuation tool. Just enter your reg, postcode and a few basic details and you’ll see a live estimate of what your car’s worth on the current market.

The tools will analyse the following:

• The make and model
• Age and mileage
• Condition and known issues
• Prices from recent, similar sales across the UK
• Demand from trade buyers and breakers for specific parts

Whether your car is a clean runner or a bit rough around the edges, they will show you a realistic number that reflects what buyers are actually paying right now.

Pro tip: This valuation isn’t only useful for auction. It’s handy when comparing private sale offers, trade-ins and scrap quotes too.

2. Account for hidden deductors.

There are certain things that buyers, especially at auction, factor in before placing a bid:

• Warning lights on the dashboard
• Incomplete service history (missing book or gaps between history)
• MOT failures or advisories
• Outstanding finance
• Category S/N write-offs
• High mileage (100,000+)
• Missing paperwork (especially V5C logbook)
• Aftermarket modifications

Be honest with yourself and buyers about these issues if you know you have them. It’s better to know upfront than be blindsided by low bids on auction day.

3. Set a realistic reserve price.

Your reserve price is the minimum amount you’re willing to accept for the car at auction. If bidding doesn’t reach this number, the car won’t sell. Sounds simple, but this is where most private sellers go wrong.

They either set it too high based on emotion or guesswork or set it too low and regret it after the hammer falls. A professional seller uses live market valuations (like our calculator), checks recent auction sales of similar cars, and benchmarks final transaction prices.

Also remember that auction houses take a slice of the final price. So do buyers’ fees. Factor this in and reverse-engineer your reserve to protect your net return. For example, if a car will fetch £4,000 but you want £3,500 after fees, you might set the reserve at £3,750.

Pro tip: If you get lots of early bids but they stop just below reserve, the market’s spoken. You can always relist or negotiate with top bidders after the auction.

Types of car auctions in the UK

Not all car auctions are created equal. Some are open to the public. Others are strictly trade-only. Some happen entirely online, while others still take place on the auction floor with a gavel in hand.

Before you list your vehicle, make sure you understand the different types of auctions available and which one suits your car best.

Physical vs online auctions

Physical auctions are the traditional, in-person auctions held at locations like Manheim. Vehicles are driven through the auction hall while professional auctioneers take bids from the floor and online simultaneously.

Online platforms like Motorway, Car & Classic, and eBay Motors have surged in popularity. You upload photos and details, and buyers bid over a set time window.

Physical auctions are lively and hands-on, but limited by who’s in the room. Online auctions are convenient and far-reaching, but rely heavily on your listing quality.

Trade-only vs public auctions

Trade-only auctions are closed to the public and used by dealers, garages, and breakers. Trader.co.uk and BCA (British Car Auctions).They’re efficient and filled with serious buyers who won’t waste your time, but they’ll also be hunting for margin, so don’t expect them to overpay.

Public auctions are, as the name implies, open to everyone. That includes private buyers who might be willing to bid more for the right car, but they’re also more unpredictable. And in our experience, many of the highest bids still come from trade anyway.

Specialist auctions

Classic car auctions attract collectors and enthusiasts who value originality, history and rarity. These buyers are willing to pay a premium if the car has strong provenance and is well presented.

Salvage auctions are perfect for write-offs, damaged cars and non-runners. They move fast and have a steady base of professional buyers, but you can’t expect emotional bidding or retail-level prices, because they generally won’t happen.

EV auctions are still emerging, but we’re seeing them more and more across the UK. These attract informed buyers who look beyond mileage and value things like battery health. But that also means they expect transparency and documentation.

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Prep work before you auction the car

You’d be surprised how many people we see lose hundreds (or thousands) on auction day because, despite having a valuable car in pristine condition, they glossed over some basic preparation steps.

There are three things smart sellers have ready well before auction day:

Sort the paperwork.

Your V5C logbook is non-negotiable for most auction platforms. Serious buyers won’t bid without it unless you’re selling at a salvage or scrap car auction. If it’s missing, apply for a replacement (V62 form) before listing. It only costs £25 and takes five working days.

Also gather your service history, receipts for any recent work and any documents relating to previous ownership or insurance write-offs. Even if your car isn’t in mint condition, having everything documented builds trust, and trust translates into bids.

Tidy it up (without overspending).

A quick clean inside and out goes a long way. Wipe down the dash, hoover the carpets, wash the exterior and fix minor scratches and dents. If the car’s going through a physical auction, first impressions matter. If it’s online, good photos of a clean car will always outperform blurry shots of a dusty one.

But don’t bother going overboard. No need to fix anything that costs more than £200 to £200.

Know the fees, VAT and deductions.

Most auction platforms  take a percentage of the final sale price (anywhere from 3% to 10%), and some charge listing or admin fees upfront, regardless of whether the car sells.

Depending on the auction house and your VAT status, you might also have VAT to worry about. If you’re a private seller, it’ll usually be listed as “No VAT”. But if you’re VAT-registered and the car is VAT qualifying, it’ll be listed as “+ VAT” or “VAT qualifying.” This lets trade buyers reclaim the VAT, but it also bumps up the total cost for private buyers, which reduces bidding interest. 

Before listing, ask the auction house for a full fee breakdown so you know what you’ll actually take home post-sale.

Listing your car: crafting the right auction strategy

Selling at auction isn’t as much about entering your car as it is about positioning it correctly. A strong listing and smart auction setup are the difference between a bidding war and radio silence.

Step 1: Write an honest, buyer-friendly description.

Start with the basics like make, model, year, mileage, MOT expiry and service history. Then add things that increase the car’s appeal. A few good ones are one-owner history, recent maintenance, rare trims and optional extras.
Also be transparent about known faults and cosmetic damage (the auction house may require this as a prerequisite for listing).

Step 2: Take proper photos.

Clean the car, find good lighting and shoot from all angles: front, back, both sides, interior, engine bay, boot, wheels and any blemishes. Good photos build trust and make your listing stand out. Grainy driveway shots get you lowball bids.

Step 3: Set the right reserve.

You should already know your car’s market value. Now set a reserve that reflects that value realistically rather than emotionally. Use the advice we’ve outlined earlier here so you protect your downside and avoid scaring off buyers.

Step 4: Time it right.

Auction timing matters. Weekends tend to get more traffic on public platforms. Trade auctions peak midweek. And certain cars, like convertibles or 4x4s, perform better in the warmer seasons. We recommend asking your auction rep for guidance on timing because they’ll know when the buyer traffic is strongest on their platform.

During the auction: stay sharp

Whether it runs for a few hours or several days, you need to stay alert and involved because what happens during the auction directly affects your final result.

Monitor the bidding.

Early activity is a good sign because it means buyers are engaged. If bids stall below your reserve, know that it’s common for serious bidders to wait until the final moments to make their move.

Some platforms allow seller-bidder interaction or post-auction negotiation. If you’re contacted mid-auction with questions, responding quickly and transparently is the nudge someone might need to place a higher bid.

Be ready to make a decision.

If bidding finishes just under your reserve, you might get a call from the auction house asking if you’ll accept the offer. Be prepared. Sometimes taking a slightly lower offer now is better than relisting and risking less interest next time (or spending weeks on the private market).

Avoid emotional reactions

This is a market, not a popularity contest. Maybe you feel your car is “worth more” but if the bidding is soft, that’s real-world feedback. Don’t take it personally, and don’t let emotion override your selling strategy.

After the hammer drops: getting paid and tying it up

Whether your car sold or not, there are still a few important steps to wrap everything up properly and make sure you’re paid out for the sale.

If the car sells:

The auction house will usually handle buyer communication and payment. But check their process: some pay you directly after deducting fees while others hold funds until the car is collected.

Next, complete the V5C logbook transfer. You can do this online at GOV.UK, which is the quickest way. Keep proof of transfer for your records.

Also, cancel your insurance and road tax. If you’ve paid tax in advance, you’ll automatically get a refund from the DVLA.

If the car doesn’t sell:

You have a few options. You can relist, adjust the reserve or negotiate with the highest bidder if they’re still interested. Some auction houses will contact underbidders on your behalf to help close the deal.

Before relisting, think about why it didn’t sell. Was the reserve too high? Was the listing weak? Were the photos doing you any favours? A small tweak could make a big difference on the second go.

Common mistakes that lose money (and how to avoid them)

Throughout the process, there are five main things you might do that’ll sabotage the auction process and, by extension, your payout: proceeding without a reserve, ignoring small fixes, spending too much on prep, auctioning through the wrong platform and not reading the fine print.

Setting no reserve on a valuable car

Some sellers think “no reserve” will spark a bidding war. And sometimes it does. But if your car has real value in the form of  rarity, condition or service history, the reality is you’ll probably walk away with far less than it’s worth. Unless you’re prepared to let it go for any price, it’s better to set a sensible reserve.

Ignoring small mechanical fixes

A blown bulb, flat tyre or rough idle might seem minor but to a buyer, it’s a red flag. Quick, low-cost fixes make the difference between multiple bids and none at all. If it costs under £100 and improves how the car runs or starts, do it.

Overcleaning or spending too much on prep

That said, spending too much on cleaning and repairs will only eat into your profit. Don’t fork out for a full valet, detailing or paint correction unless the car absolutely justifies it (like a high-value classic). A simple wash, tidy interior and clear photos are all you need to make a strong first impression.

Choosing the wrong auction house

Listing a modified hot hatch on a classic auction site or a Cat S write-off on a platform meant for clean retail cars is a waste of time. Go where your ideal buyer is. Use trade platforms for damaged or non-standard cars and specialist platforms for classics, EVs and enthusiast models.

Pro tip for traders: Trade-only platforms like Trader.co.uk are generally better because they connect you to a vetted and qualified network of trade buyers. That means you’ll deal exclusively with serious buyers and the sale will go a lot more smoothly.

Not reading the small print

Fee structures, VAT handling, payment terms, collection deadlines, it’s all in the fine print, which varies from one auction house to the next. If you don’t check, you’ll surprised by deductions, late penalties and disputes later on. Ask questions before listing. Know what you’re agreeing to.

Can I sell a car at auction without the V5C?

It’s technically possible to sell a car at auction without the V5C logbook, but most auction houses won’t allow it. Even if they do, it’ll put buyers off and result in fewer, lower bids.

The V5C proves you’re the registered keeper and without it, buyers have to jump through hoops to apply for a new one. That’s a red flag for bidders, especially trade buyers who want quick, clean transactions. It’s also more hassle for you, since you can’t complete the DVLA ownership transfer online.

If you’ve lost the V5C, apply for a replacement (form V62) before listing. It only costs £25 and makes the whole process smoother, faster and more trustworthy for everyone involved.

How long does the auction process take?

The full car auction process from listing to payment takes anywhere from a couple of days to a few weeks, depending on the platform and type of auction.

Online auctions typically run for 3 to 7 days once your listing goes live. Add another few days for listing prep, photo uploads and auction approval. If your car sells, the buyer usually has 24 to 72 hours to pay and arrange collection. You’ll get paid shortly after that. Some auction houses pay instantly, others hold funds until the handover is complete.

Physical auctions move faster on the sale day itself, but you’ll need to deliver the car ahead of time, and payout might still take a few working days.

What happens if the car doesn’t sell?

In most cases, the auction house will contact the highest bidder (if there was one) to see if a post-auction deal can be agreed. You’ll have the chance to negotiate directly or accept a slightly lower offer.

If no deal is struck, you can usually relist the car in a future auction. Some platforms allow one free relist, while others charge a small fee. Before relisting, ask yourself why it didn’t sell: was the reserve too high, the description too vague or the photos not up to scratch?

Do I have to accept the final price?

No. You’re not forced to accept the final bid unless the reserve price has been met or you’ve agreed to a no-reserve listing.

If your car sells above the reserve, the sale is binding and the auction house will process the transaction automatically. But if bidding falls short of your reserve, you’re under no obligation to let it go. You can either reject the offer, negotiate with the highest bidder or relist the car in a future auction.

What’s the best auction for older cars?

For classics, the best auction houses include Charterhouse Classic and Vintage Vehicle Sales, H&H Auctions, Historics Auctioneers and Iconic Auctioneers. For older repairable non-classics, Copart and eBay Motos are solid picks. For vehicles with little value remaining, a scrap car auction is your best bet.

Are Cat S or Cat D cars accepted at auctions?

Yes, Cat S (formerly Cat D) vehicles are accepted at salvage-focused auctions in the UK. In fact, these are some of the most common and effective ways to sell a Category car, because the buyers are typically dealers, breakers and rebuilders who know exactly what they're getting into.

Can I watch my own car’s auction live?

Yes, and you absolutely should.

Most auction platforms (both online and physical) let you watch your vehicle’s auction in real time. If it’s an online auction like Motorway, Car & Classic or eBay, you’ll see bids come in live and get notified when key milestones are hit.

The bottom line

Done properly, an auction is what turns a hard-to-shift car into a clean, confident sale.

Know your car’s true value. Choose the right auction type. Set a sensible reserve. And present the vehicle honestly, with good photos and clear paperwork. Do that, and selling your car at auction will be a fast and effective way to get a fair price for your car.

Are you a trader? Auction your car through our trade-only platform if you’re selling a used, high-mileage, ageing, accident-damaged or non-running vehicle.