Tarnished title

[Paul Crowther]

My '87 Carrera Cab has a tarnished title. Back in 2018, after dropping the car off for routine service at the dealer our area experienced torrential rain overnight and rain found its way in past the driver side window and roof seals. In the morning the shop discovered about 2 inches of water remaining on the floorboards, partially covering the ECU under the seat. The ECU was kaput.

Replacing the ECU and drying and cleaning the carpets ran up a bill of about $5000. I had two options: Pay out of pocket, or submit to insurance and since in Virginia water damage over $3500 covered by insurance must reported to DMV by the insurer, the insurance co reminded me that doing so would result in my having a vehicle title stating "water damage". Without further advice I chose the insurance coverage and the revised title. Big mistake that now, when I'm considering possibly selling the car, the tarnished title will likely make for both a difficult sale and certainly a lower selling price. I can accept a lower selling price if reasonable.

There must be interest out there somewhere for a mechanically well sorted car, with only a few cosmetic issues (try to find them) with an interior that would benefit from new leather and new window seals (!). Seven problem free years and almost 20,000 miles have been put on the car since. Mileage approx 166,000. Engine out service completed 2 years ago. If I decide to list it, I'd probably use PCA Marketplace and possible Pelican to start. Any further suggestions?

[EC900]

Sometimes dealing with clerks at the DMV counter could be misleading and provide scripted standard operating procedures.
You may need an appointment with a supervisor for a sit down.
I can’t say I know what VA does with titles not in their possession - but Carfax probably listed the repair (so check on that).
Did VA ask for title surrender so they can add “Salvage”? You have the original title?
Did insurance company I presume, already deem it salvaged ? $5k seems too low for a salvage buyout retitle but enough for an hash mark on the Carfax. This needs clarification from DMV and not one of their standard policy monikers.
It’s rain water (repair) Not Flood damage. This should have been the argument. Maybe not too late to contest the branding - worth a try again.

Sometimes an inspection depending on State can be performed, sometimes re-issued title in another state will deem if a car is safe in cases of Crash Rebuilds and release a new Clean title.
I bought a used VW Jetta with Ins. Salvage damage.from a friends body shop, I seen car before repairs and after new used trunk, bumper skin and paint was more than the car was “worth” (acc. to Ins) no structure frame damage. Would have added $800 to the car to have it shipped to CO for a new title inspection, but that what’s-what with a $1000 car.

You may need to consult with the upper local DMV authority for concrete advice. I’d continue in person to get the title rectified and see if other hoops can be jumped through.
Salvage title can knock 30% off a value is some places.
You have the repair order diagnostic and maybe documentation of the actual instance but prospective Buyers will find the Branded Title unsettling and some will be care less because of water damaged carpet and replacement ECU. Still skeptics will be wondering. To each his own applies.
Doesn’t matter where you list the sale BaT or PCA etc, marketplace exposure traffic on 911 seems daily but Branded title will sting.

[Mtsurfposse]

You bought the car pre 2018
You’re gonna be fine. You will sell the car for more than you have in it and with proper explanation to the right buyer you will get what it’s worth. At 166k the car is no cherry garage queen and you will most likely dbl your money and the car did get pretty wet, that’s not something to hide. It’s not going to be that hard to sell, there’s lots of folks would love the chance to have what you have. I doubt in the end that you’d have been better off with eating the $5000 instead of insurance. Maybe, but not by much. I bought my car with lots of known warts and more I’m discovering, for the right person, it’s the right car

[phunt]

Why was it your insurance?? Dealer is responsible for the car when in their hands. Of course they said the seals liked. But non the less. Car was in their care. They have culpability.