Value of re manufactured or salvaged vehicles?

[adrenaline503]

I have been looking at possibly getting a new vehicle at some point in the future and have come across a "re manufactured" vehicle in Oregon. From the photos it appears to be in good condition, but that of course is not enough. In general how much should a re manufactured title bring down a vehicles value?

From the Carfax I know the damage was listed as "serious" by California and that the damage occurred at the front and rear of the vehicle. There are no receipts or documentation for the repairs, and the seller claims that they didn't know it had a branded title at time of purchase, hence no records. I'm not sure I believe that, but its irrelevant anyway. The KBB value is $6000-$7300, they are asking $5000. That seems a bit high for the situation, but I have nothing to base that on.

The seller said that I can have it inspected, on my dime I imagine. I would prefer to have a best case inspection price settled before I go since its a few hours south of me. What should I be shooting for here?

 

[kjp1969]

I have a friend who rebuilds totaled cars, and he is very up front about it when he sells. He even provides "before" photos of the car, so that the buyer knows what they are getting into. Beware someone who doesn't do that.

But to answer your question, the value of that car could be zero or very close to "normal," depending on the damage and the quality of repairs. There really isn't a "general" answer to your question- its like asking "How deep is a hole?"

If there is nothing to evidence the damage or repairs, I would assume the worst and treat it like a parts car and price it accordingly. There's just too much unknown to do anything else.

 

[Patman]

I used to work for a salvage auction, and therefore ended up owning quite a few vehicles with salvage titles.

First thing to realize is that 90+% of vehicles are totaled by labor, not parts. Therefore you have to approach each one with the understanding that it could be no different than a crashed non salvage vehicle that was repaired by a shop who’s labor rates were lower. Or by an owner who did it right, but took 3 years to do it. It CAN be just a label, and nothing else.

This is not to say that there aren’t a large number of salvage auction trolls, that throw them together and force them down the throat of unsuspecting buyers looking at a cheap “upgrade”

Take it to an independent body shop, pay them to do a thorough inspection, and then decide if your willing to live with the label for the price.

If your looking for resale costs only, call your insurance agent, get an average value with and without the salvage title. That will get you a very good idea of the difference between “marked” and “unmarked” title car. Don’t pay so much attention to the specific number, but the difference between the two.

One thing to do is make sure you run the vin through Cal DMV as there are several types of salvage titles in California, and carfax doesn’t always differentiate. There are ways to take a “non rebuild able-JUNK” title from California and resurrect it in a different state. But you’ll never be able to get it registered in California again.

 

[adrenaline503]

Any idea what a reasonable inspection fee would be?

 

[Patman]

Any idea what a reasonable inspection fee would be?

Depends on where you are. I would expect a truly thorough inspection to be at least an hour or even two. Around here $90-140 per hour for a good body shop.

 

[kjp1969]

Any idea what a reasonable inspection fee would be?

You need to figure out what the reason for the total loss was. Was it a theft recovery? If so, a regular mechanic should look at it to make sure it was reassembled properly. A collision? Go to a body shop. They should be able to tell if it was chopped or just bent back into shape.

Assuming it was a collision, I would expect an alignment to be done. That will show if the wheelbase is the same on both sides. I know a guy who had his Audi TT repaired following a moderate accident only to find he had 1/2" more wheelbase on one side when it was all done, and no decent way to adjust for it. On a short wheelbase sports car, that's a lot. :Wow1:

Good mechanics in SoCal charge around $100 to do a regular pre-purchase inspection . I would expect at least that much when they have to evaluate known damage and repairs.

 

[4x4x4doors]

While talking to your insurance folks, make sure you find their approach to rebuilt titles. Different companies have different rules.
Also it would depend somewhat your intended usage. Trail-only vehicle? The branded title means little.
Back in the dim dark ages when I was dealing with rebuilts, 60% of retail was a good price for a well-built rebuild.

 

[adrenaline503]

It would be a daily driver and primary travel vehicle. His price is very close to 60% of retail. I just really wish there were some before and after photos or repair records.

 

[4671 Hybrid]

What's the make/year/model of the vehicle? That'd be helpful to know...

 

[sseaman]

If the selling seems sketchy I would walk away

 

[Applejack]

I have purchased a "branded" Suby for $1650 once. It would have otherwise gone for about $3000ish. It was known that it was branded as the place I bought it from rebuilt wrecked subys and resold them. I took it to a suby specialized mechanic who said that it was a really good buy and while it was clear where the work was done, it was done well. This was a great value.

On the other hand, we once bought a 2001 Grand Cherokee that had been totaled and rebuilt (we didn't know it) for $16,000, a little higher than what was bluebook. After several issues we had it inspected by a mechanic who knew Jeeps well and he delivered the bad news. It was a very shoddy rebuild, and he deemed it "unsafe".
That Jeep should have been no more than $8k. Very poor value.

So to make a short story long...........have it inspected by someone whom you trust, and knows the particulars of the kind of vehicle it is. Actually taking it in to a collision center would probably be fine too. For a small fee I'm sure they could tell you one way or another if it's a good and safe buy or not.

 

[adrenaline503]

Its a 2000 Montero with the Endeavor package, 130K.

 

[TRegasaurus]

I'd walk, watching a vehicle dog-leg down the road is never a happy experience.

 

[4671 Hybrid]

I'd pass, I see several on Craigslist for under $5000 and you won't have the headache of insurance, replaceable value, the extent of the repairs, etc. Now if he was offering it for $3,000 I'd think pretty hard about it but at $5K he's out of the ballpark.

 

[AeroNautiCal]

Unknown quantity rebuild, devoid of documentation.

If anything about this vehicle does not feel 100% right... Walk away!