[geshaghi]

I'm not sure how a car could have a salvage title in the past that now appears to be clean, given the way carfax and other similar services work today. A salvage title is significantly different from a carfax history showing prior accident damage on a late model car (which is also something that affects value, but is very different than a salvage title).

If you're talking about a true salvage designation on title, the points above are all well taken. From my perspective, a lot depends on the age of the car and my intended use. For late model cars, a salvage title can diminish the resale by as much as 50%. Many reputable dealers simply won't touch a salvage title late model car, and the questions it leaves with buyers about the cause of the salvage and the quality of the repairs makes a salvage title late model car a tough sell. On the other hand, if you are knowledgable and can get comfortable with the prior damage and quality of repairs, it can represent a good value. An insurance company will typically salvage a car when the cost to repair (together with other value-related claims) exceeds the net value of the car, when there is significant structural damage rendering the car unsafe or when the car is stolen and not recovered for a certain period of time.

For vintage cars, I think a salvage title becomes much less significant. Many early 911's have lived a hard life and if they haven't already been the subject of a major restoration, likely need one in the future. These types of repairs require a car to be thoroughly taken apart and repaired, often in structural areas. While I think a salvage title even for a vintage Porsche will affect value, I wouldn't hesitate to buy a car that has been properly repaired or restored. In some instances, especially for non-US buyers, a salvage title can be a complete non-starter as they can not be imported.