Effect of salvage title as prices skyrocket?

[bpu699]

Just posing an interesting question...

On a regular daily driver, a slavage title probably knocks 20%-25% or so off the value (plus/minus), assuming the car remains in very good shape.

The deduction is primarily for the stigma on the title, as the cars are often just fine.

How does this extrapolate as the value goes up?

So, a $20,000 car is only worth $15,000 or so... Makes sense...

A $50,000 car is only worth $40,000 or so... Ok. $10,000 delta...

Is a $100,000 car only worth $80,000??? Thats a $20,000 drop. That seems kind of high. For $20,000 on a porsche you can pretty much fix anything (frame, or trans, or motor, or full paint, or what have you...)

What if it gets to $250,000... Then what? Is it really worth $70,000 less?

1,000,000$? Is it worth $250,000 less???


Just curious on folks takes....

We have the f40 on Gas Monkey Garage, that was clearly a total...

I have freinds that wrapped their Dino's around poles, and still sold the for $300,000 +++

Ferrari have been reconstructed from shrapnel, and have sold for $25m.


At what level does it no longer matter, or does the price drop decrease from the hypothetical 20% adjustment???

At some point any sin can be corrected... properly. For $10,000 you can replace all the electricals in a flood car. You can fix any damage in a theft recovery. You can fix a bent frame, and replace a hood... etc

Some old ferrari barnfinds should be "totalled" as the repair cost is way over 50% of current value. But rather, they sell for close to that of restored examples...

Thought it would make for a fun discussion, as 911's are skyrocketing i value...

[MrAlien]

On highly sought after collector cars I dont think it matters very much, many of those cars that bring the top money have complete restorations that include a lot of body structure rebuilding. Also different states have different rules about salvage or rebuilt titles, I have seen plenty of cars change states and go from rebuilt to clean titles.

as for 911s, with the exception of a few very rare models, the cars are not yet rare enough for a salvage title not to have an impact on value and price.

[aschen]

I think its more typically 30 to 50 % for mundane cars.

[SilberUrS6]

On super-high-value cars, there is no stigma for a salvage title. As the rarity decreases, the stigma increases. In dollars, that means that for a run-of-the-mill VW Golf, a salvage title means 50% off the non-salvage price. I think for some mid-years, it might be in the 30-50% range, for early cars, I don't think it matters much, if at all. A car that's in good condition is a car in good condition. For anything from 78-89, 10-30%.

[Matt Monson]

Show me a '67 911S that was stolen and recovered, branded but never had a bit of rust and I'll pay way more than I will for a '67 911S that has had extensive rust and sheet metal repairs.

Each case is unique, but when it comes to old Porsches? I don't think it matters too much in the current rabid enviroment. SCs and Carreras? Sure. Anything longhood that is E or S? 356? 904? Not too much.

[CountD]

"On a long enough timeline, the survival rate for everyone drops to zero."

That's what this thread reminds me of. On a long enough time line, every car will have a story, a bender, or some kind of mark. UNLESS it's never, ever driven and locked in a garage - and then a fire or tornado or flood may take it out. Every car gets a story over time. It's just a matter if you're willing to accept it.

[techweenie]

Originally Posted by SilberUrS6

On super-high-value cars, there is no stigma for a salvage title. As the rarity decreases, the stigma increases. In dollars, that means that for a run-of-the-mill VW Golf, a salvage title means 50% off the non-salvage price. I think for some mid-years, it might be in the 30-50% range, for early cars, I don't think it matters much, if at all. A car that's in good condition is a car in good condition. For anything from 78-89, 10-30%.

I'm pretty much in agreement here -- with the caveat that the salvage title stigma decreases with the car's age. A 72S with salvage title is probably going to take a negligible hit. But (for instance) I passed on an '01 Turbo at 70% of retail because of the salvage title.