downsides of a salvaged title?

ludovicbreger · 07:47 AM

What are the disadvantages of owning a salvaged vehicle -insurance in particular?

In particular in California. Also, is there a way to clear the title?

Thanks -

Ludovic

trader220 · 02-26-2005, 07:49 AM

Many banks won’t finance it, many insurance companies won’t insure it. You'd better have it gone over with a fine toothed comb to make sure it’s been repaired properly. Don’t always believe that it’s was a theft recovery with “minor” damage. Be sure you really love it and want to keep it because it’s a very tough sale when you’re done with it

CarreraS2 · 02-26-2005, 08:12 AM

Quote:

Originally posted by trader220
Don’t always believe that it’s was a theft recovery with “minor” damage.

Huh? You mean there's some other kind of salvaged car?

trader220 · 02-26-2005, 08:17 AM

Some of those shyster type guys crack me up with the tag lines “oh it’s a theft recovery that had very minor damage” gimme a break. SO they stole the wheels and seats and the insurance company decided to salvage the whole thing and take their licks on it.

MysticAlpaca · 08:58 AM

Actually it wouldn't surprise me for an insurance company to “salvage” a car. An 79 Targa for example has a “fair market” value of about $6300 according to a banks car value book. So i am sure there is a some formula that says if it will take for that x% to return the car back to previous condition that they wont. It wouldn't take too much interior work and some minor body work to exceed that ratio. Or some such scenario.

That being said, if your plan is to track the car and its structurally sound, and you wont be reselling it, a salvage title may be the way to go for a good bargain. Or if its a project car.

I hate shifty dealers however who do misrepresent, thats why a detailed PPI is so important.

LakeCleElum · 02-26-2005, 05:59 PM

It kills you at resale time.......

Turnbull · 02-26-2005, 06:35 PM

They sound like future track cars to me.

Jason Cullen · 02-26-2005, 06:44 PM

Ludovic,

35% to 40% off the top of market price. The salvage title is branded with the car forever in California. It does clear in certain states of the US.

However, It is illegal in California to attempt to clear a Salvage title by “Washing” the title in a different state. Not that it is enforced or you will get caught, just wrong!

Jason

ludovicbreger · 02-26-2005, 07:07 PM

Thanks a lot for the info all. There is this C2S with 47K mi
that looks really good but has a salvaged title. How well...

kaisen · 03-01-2005, 05:21 PM

The rule of thumb is 50-75% of what it would be worth without the 'salvage' history. It never goes away, in any state.

E

speeder · speeder's Garage

There are a lot of "ifs", but if the price is right and the car was not bent in half or under water I would definitely consider a salvage car. resale is no problem at all when you pay 50% of normal price. probably easier to sell than a regular car, at the right price.

I messed up big-time 3 or 4 months ago by not buying a Volvo 850R wagon on ebay w/ a salvage title. It was old enough to where it doesn't take much of a hit for the insurance company to total it, remember that they don't "write it off", it is no different $$-wise for them than fixing it in many cases. They pay off the insured, sell it at auction and walk away. The car that I was looking at was super-clean, had photo documentation of the damage and repair, (one front corner including broken suspension pieces), and was fixed beautifully. The seller agreed to my terms, which was that if I won I would send him no money but fly to where he was and we drive straight to an alignment shop, (at my expense). As long as it was alignable to all factory specs, (and drove alright/passed the rest of my "smell test"), we had a completed sale.

I dropped out at about $5k, (they are worth ~$11k all day long w/ clean title in his condition), it sold for $5300 and I proceeded to pay double for a wagon that I don't like as much as that model. His car was salvage, but cleaner than the "clean title/carfax" car that I bought. Live and learn, next time I buy the salvage sled.

Also, FWIW, Carfax has pretty much eliminated the whole "washing" deal w/ titles, at least on newer cars. A '79 911SC, as mentioned above, would not even be eligible for a salvage title in many states. Too old/low value.

speeder · speeder's Garage

Also, Pelican Lendaddy recently got a screamin' deal on a salvage 2001 Toyota Tundra truck, it was a light roll-over which is usually zero frame damage.

zotman72 · 03-01-2005, 06:04 PM

Well I happen to have a limited edition SC for sale here that has a salvage title and was a theft recovery. The exact same thoughts crossed my mind when I bought it last year. Great candidate for a track car and that was my intention. I did a PPI, plus I happened to know 911s pretty well and found nothing wrong untowards. The guy selling it was straight too. I mulled it over a couple days, and then pulled the trigger. I got lucky, it is a great car, to good to make into a race car and yes I believe it honestly was a theft recovery. I have not sold the car here on Pelican in a week but I have no doubts it will sell when I take to over venues. Would I buy another salavage title car, probably not unless I was certain it was legitimate as well. HTH

dmt-n-jax · 03-01-2005, 08:17 PM

Porsche nuts don't care about somthing as minor as a rebuilt title.
Riiiiiight. PPI's, compresion test, leakdown test, polygraph of seller.......
I bought a wrecked 930, fixed it correctly. Had a salvage title. I got about 20% less than normal. Took a long time though,
Would I do it again. Probably not.
Salvage history do not necessarly mean damaged by 80% of value. Normally the title status of cars settled in claims is up to the agent.
I have been to auctions and seens cars I wouldn't buy for junk with a clean title, I once bought a Mitsubishi VR4 that was repaired buy a body shop and the owner refused repairs. Car was sent to auction by ICO. Car had a rebuilt title since ICO paid owner for car. The car only needed the left side painted.