Government garage sales: From lear jets to pricey watches, for a steal

Summary

New Jersey is just one of many states holding government "garage sales" to make money at a time when they desperately need it. Federal and local governments are in on the game too. Almost everything is on the block.

Story Published: Jul 21, 2009 at 11:11 AM PST

Story Updated: Jul 21, 2009 at 11:23 AM PST

Government garage sales: From lear jets to pricey watches, for a steal

NEW YORK - Federal, state, and local governments need the cash; consumers want a bargain. And almost everything at a government auction is on sale.

Looking for a deal on a car? Would you buy a used one from this man above? He's the governor of New Jersey, Democrat Jon Corzine.

"The average price is about $1,200," Corzine said. "...$1,500, $2,000 -  a lot of these cars are really more valuable than that so people are taking the opportunity to save money in a tough environment."

New Jersey is just one of many states holding government "garage sales" to make money at a time when they desperately need it. Federal and local governments are in on the game too. Almost everything is on the block.

There are watches, lear jets, salt-spreader trucks. Some items are seized, some are surplus and all are for sale.

"You can get a container of soccer balls," said Ian Aronovich, president and CEO of GovernmentAuctions.org. "You can get a disassembled mig jet, you can get a boat, you can get a car."

Government auctions aren't new, but in a recession they are more popular.

"We get good cars here," said one recent auction goer. "They're dirty, [but] they just need to be cleaned."

One drawback: you buy "as is." No test drives.

Tenshia and Dyamond Ruffin are shopping for "his" first car. "There's one in the back," Ruffin said. "It's a Dodge, I believe. I like the color...."

Tenshia jumps in: "Are you kidding me for a first time car owner?  He'll take anything on the lot."

At the New Jersey car auction....If you can get it. Bidding can be fierce.

"There's been a couple of incidents where there's been an actual fist fight where two customers were arguing over a car and I personally had to break that up," said Jacob Olearchik, operator of a New Jersey distribution lot.

This New Jersey car auction raked in more than $163,000, bringing the state so far this year more than $2 million in auction sales.

Sometimes, the property comes with a bonus or two: "I have bought a car with stuff in the trunk," said the auction goer above. "I had bought a car with a bullet inside, with a fax machine inside...."  

In short, with government auctions you very well can get a little more than you bargained for.

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