| laborlitigator |
I know that it indicates that the car was totaled by insurance but how does one value a car with a salvaged title.
Comments and suggestions would be greatly appreciated. |
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| mgtr |
Well, sir, a lot depends upon the innate value of the car. If it is a Yugo, nobody wants it anyway, so it isn't worth much. However, it if is a desirable Ferrari, it won't have too much effect. There are a couple of strategies. You could advertise it in Hemmings for maybe 20% below the apparent market price, making clear it has a salvage title, and see if you get any takers. If you generate interest, then you are probably close to the market price.
As an attorney, you might not want to try this, but I have seen it work: Start retitling the car in other states, gambling that eventually they will screw up and give you a regular title. My friend did this with a Mazda which had been assembled from the front and back of two wrecks. After three iterations he got a clean NC title. There is probably info on the internet about which states tend to be lax about this sort of thing. |
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| laborlitigator |
quote:
Originally posted by mgtr
Well, sir, a lot depends upon the innate value of the car. If it is a Yugo, nobody wants it anyway, so it isn't worth much. However, it if is a desirable Ferrari, it won't have too much effect. There are a couple of strategies. You could advertise it in Hemmings for maybe 20% below the apparent market price, making clear it has a salvage title, and see if you get any takers. If you generate interest, then you are probably close to the market price.
As an attorney, you might not want to try this, but I have seen it work: Start retitling the car in other states, gambling that eventually they will screw up and give you a regular title. My friend did this with a Mazda which had been assembled from the front and back of two wrecks. After three iterations he got a clean NC title. There is probably info on the internet about which states tend to be lax about this sort of thing.
Mgtr,
That wasn't what I was asking but thanks. I was looking into getting an E500 that had a salvage title. According to the shop, the damage was done to the front end. Everything was replaced with MB parts. According to carfax, vehicle has a salvage title, was on a lease and has/had a lien on it. They are selling the car for around $35K while the book value on it should be around $46K. It only has 20K miles on it. I was just wondering how to value the vehicle. Also, my other problem is that the vehicle is in Cali while I'm in NY. I was thinking of hiring a mechanic to take a look at it.
Am I going to have a problem selling the vehicle again? Should I just walk away? |
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| mgtr |
My experience is that the longer you keep it, the less it matters. Two years from now, however, people would probably worry. I tend to drive cars until they drop (well, until they become unreliable). If I were truly getting a deal, and an MB mechanic checked it out, and I planned to keep it for awhile, I wouldn't hesitate a second. May end up being better than new.
I also buy MGs etc that are 30-40 years old - every one I ever bought has been hit front or back or both. Many didn't even have titles. Unless you are preparing a car for Pebble Beach Concours, nobody cares at that age. |
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| renov8r |
That vehicle will have almost ZERO value to any legitmate reseller. No new car dealer will touch it. Even the "high end used car lots" won't want it. The only other outlet for a salvage title vehicle is somebody running a "streetside" used car operation. This is MODERN high tech vehicle that ought to have A LOT of saftey equipment, not a 30 year old collectible...
Now for the "UNLESS" part -- if you are going to literally drive that thing until the wheels fall off (so resale is not a factor) & you have a QUALIFIED MB tech verify that EVERYTHING is where it should be & that same tech can give assurances that as other repairs need to be done they won't require drilling out the previous 'fixers' makeshift supports to change the oil and other nightmares...
STILL I would suggest a MUCH MUCH steeper discount. I would also try to contact the INSURER that sold that thing at salvage, MAKE SURE that all the AIRBAGS & SEATBELTS have been replaced (probably including new seat for driver){which may explain why the insurance company 'salveaged the thing anyhow -- those parts, if replaced with ACTUAL FACTORY equipment [not HOT items] almost certainly exceed the value of the vehicle}, and have a tech of my choosing verify that alignment is dead on & there are no shims or wedges that were used to force things back to 'normal'....
Offer him some outrageously low number (like half of what he is asking) and see if he bites -- I would guess that a) he will b) that measn he paid PENNIES for this thing c) you DO NOT want it... |
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| lawboy02 |
Absolutely walk away!!
You will never win by purchasing a salvaged/reconditioned or flood titled car!! Furthermore, you are looking at a high-end car and people who can afford an E500 want perfection...not salvage...meaning that the resale value will be terribly low.
The resale on this vehicle, at least in Texas, is minimal. It appears you are saying the car is only $10k less than blue book....not even close to worth it. I sold cars for 13 years and never saw a car with a salvage/reconditioned title bring anything close to what it was worth considering if it had no salvage title.
Also, cars receive salvage/reconditioned titles when there has been a SUBSTANTIAL amount of damage...not just a little fender scrape. I would imagine that the complicated systems of a MB are not the type you would want to gamble on. Good luck with that...I would run....not walk, away from anything with a salvage/reconditioned title. |
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| mullysalt |
quote:
Originally posted by laborlitigator
Am I going to have a problem selling the vehicle again? Should I just walk away?
Once a wrecked car always a wrecked car. Trust me on this one, LL. That Dodge Intrepid I used to pedal was banged up and it never was the same. Only "good" wrecked cars are race cars. For example, in NASCAR you can tear up your favorite hot rod but it could live to see victory lane once again. The boys back at the shop are the major difference here because of their skill level and availability of resources over your or my local wrench.
Bottom line, LL, don't do it. Although if you win an auction for a car on ebay this month you receive free airfare to Hawaii or Mexico.:1: |
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| TheWorm |
Go to Edmunds.com and post your question on the "Any questions for a car dealer" or "Real world trade-in values" threads (the latter is more active).
A dealership owner named Terry (goes by rroyce10) will give you the skinny. He's a great resource. Post his response back over here, or give us a link to your post over there! |
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| laborlitigator |
| Thanks guys. I think I'll take a pass on it. |
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| ByeByeChrysler |
If someone was interested in buying a used car with a 13 digit VIN number, where do you go or look for information?
Carfax requires a 17 digit VIN number. |
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| laborlitigator |
quote:
Originally posted by ByeByeChrysler
If someone was interested in buying a used car with a 13 digit VIN number, where do you go or look for information?
Carfax requires a 17 digit VIN number.
Perhaps you should call the local authorities. |
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| srpbep |
laborlitigator,
Your advice to ByeByeChrysler was outstanding (even though you are obviously a labor specialist). That said, I was actually a bit taken back by your question on the salvage title.
A vehicle only gets a salvage title for two reasons:
(1) The vehicle was really f'd up and can't be repaired to create a "safe vehicle".
(2) The vehicle is repairable BUT the cost of repairing is too expensive = why spend $25,000 to repair a vehicle if it will only be worth $25,000 once repaired. The answer to this is "you don't".
If the MB was in category (1) above you DON'T want this. Unfortunately, there are those out there who don't GAS. They will patch it together and to he$$ with the buyer. If he dies later, such is destiny!! I bet if you search your legal databases you will find a significant amount of litigation on such matters. Unfortunately, the "sellers" don't typically have any assets. This then moves to legislation and the states are trying but crooks are crooks ....
If the MB was in category (2) above, the way the "repair shop" makes money is to "fix it cheaper". This can be done with used parts, aftermarket parts, parts that have a temperature, etc. This can also be done by taking shortcuts in labor (think about that). Any vehicle worth "a quantity of money" that is totaled will have had A SIGNIFICANT AMOUNT OF REPAIRS done by someone who is trying to save money so that he can make money. THINK ABOUT THAT! Again, search your legal databases -- you WILL find plenty to read. Additionally, states are struggling with the issue. Heck, it is the states that MANDATED the labeling of a vehicle as salvage -- being an attorney, bet you figured out why ... the public was getting screwed and this was an attempt to mitigate the matter.
Unfortunately, protecting the public is difficult (you know that). Used cars have been "interesting challenge" ... You've heard the stories about sawdust in the rear end, spun odometers, etc. There is now law about revealing frame damage, etc.
When I read your post, I admit that I was thinking you "must have lost if for a while". |
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