Salvage Cars: Navigating the Market for Wrecked and Rebuilt Vehicles

In the vast used car market, salvage cars occupy a unique niche. Salvage vehicles are those that have been damaged, declared a total loss by insurers and had their titles branded as salvage. For buyers willing to purchase and repair salvaged cars, potential deals exist but also added risks compared to standard pre-owned vehicles.

How Salvage Cars Enter the Market

Salvage vehicles come from:

• Insurance auctions — Insurers sell totaled policyholder vehicles to dismantlers or rebuilders.
• Supplier auctions — Rental car companies, leasing firms or dealerships offload collided trade-ins.
• Impound sales — Police auctions dispose of unclaimed vehicles abandoned after accidents.
• Private sellers — Individual owners may sell rather than repair vehicles after crashes.

Most salvage cars were involved in significant collisions. But some receive salvage titles due to theft recovery, flood exposure or minor damage exceeding vehicle book value.

Salvage Title Brands

Common salvage title brands include:

• Salvage — The most common title brand indicating vehicle is damaged and incompatible with road use. Exact terminology varies by state.
• Rebuilt/Reconstructed — Applied after completing approved repairs meeting safety standards for legal road reinstatement.
• Flood — Designates flood damage history even after repairs. Flood brands lower desirability due to latent electrical issues.
• Junk — Permanently non-repairable vehicles sold as parts/scrap only.
• Certificate of Destruction — Issued in place of title once vehicle is dismantled and scrapped.

Understanding title brands helps identify true salvage history when researching vehicles.

Researching Salvage Vehicle Histories

Research is critical when evaluating salvage vehicle quality and repairs needed. Useful information sources include:

• Title documents — Check title for brand status. Review title history for gaps possibly hiding salvage history.
• Vehicle history reports — Provides details on accident timing, severity, airbag deployment, past title brands and mileage at time of loss.
• Repair documentation — Request any invoices or evidence confirming repairs completed to assess repair quality.
• Pre-salvage photos — Images showing original intact vehicle help identify parts replaced versus original undamaged components.
• Insurer condition reports — Lists of damaged parts declared by insurers aids in identifying necessary repairs.

Thorough research provides insights on damage extent and helps flag potentially inadequate or unsafe repairs.

Inspecting Salvage Vehicles

Careful inspections of salvage vehicles before purchase includes:

• Body panels — Misaligned panels, varied paint shades, overspray onto glass/trim can indicate poor repairs. All panels should fit evenly with uniform gaps.
• Paint finish — Check for improper preparation leading to flaws like orange peel, rubbing marks, runs and distortion.
• Glass — Aftermarket windshields or windows hints at replacements. Look for proper sealing and fit.
• Undercarriage — Check for collision debris, extent of rust, leak evidence and exhaust/fuel system integrity.
• Mechanicals — Assess engine performance, transmission function and services records if available.
• Electrical — Test all interior and exterior lights and electronics. Ensure gauges, accessories and charging system work.
• Test drive — Evaluation handling, braking, steering performance and driveability. Listen and feel for vibrations or abnormal noises.

Use inspection findings to inform negotiations and evaluate required investments to complete repairs.

Assessing Repair Costs

Evaluating projected repair costs is essential when considering salvage vehicle purchases. Be sure to include:

• Parts purchases — Body panels, lights, mechanical parts
• Consumables — Primer, paint, filler, sandpaper, cleaning chemicals
• Shop expenses — Lift/tools rental, hazardous waste disposal
• Sublet work — Machine shop, upholstery, advanced welding
• Registration fees — Title transfers, inspections for rebuilt branding
• Contingencies — Reserve at least 20% extra for unforeseen needs

Repair costs often approach or exceed vehicle purchase price. While dents and dings may seem minor, underlying structural damage can balloon expenses.

Repair Skills Required

Fixing salvage vehicles requires intermediate expertise in:

• Metal straightening, shaping and finish welding
• Structural measurement, alignment and pulling
• Suspension and steering component replacement
• Advanced painting, color matching and body finishing
• Electrical diagnostics and troubleshooting
• Mechanical repairs if engine or drivetrain was affected

Lacking skills in these areas means hiring specialists for technical repairs. DIY-ers can handle more basic paint and dent repairs.

Time Commitment

Even minor collision repairs require weeks to months of evenings and weekends for hobbyists. Extensive structural work, paint jobs and dealing with surprises that arise can stretch project timelines out for years.

Life changes like new jobs, kids, health issues or shifting priorities often derail salvage vehicle projects indefinitely. Be realistic about the workload and multi-month commitment required.

Titling Considerations

Repairing car salvage pickup to legal roadworthiness varies by state. Stricter states require inspections and title branding even after repairs. Such rebuilt title vehicles often have lower value and higher insurance costs.

In some cases, keeping repairs minimal and using vehicles exclusively for off-road purposes like racing avoids title hassles. But legal road use is not possible without going through inspection and registration procedures.

Review your state’s rebuilt title processes before buying salvaged vehicles intended for street use. Also beware of vehicles illegally operating on roads with salvage papers.

Finding the Rare Deals

With determination and research, occasional salvage vehicle deals do emerge at auction for repairable models with primarily cosmetic damage and intact mechanicals. Focus searches on newer, lower-mileage vehicles.

But far more salvage vehicles pose repair hurdles beyond a hobbyist’s means or exceed potential resale value. Avoid jumping on salvage vehicles until carefully weighing costs, skills required, time commitments and title hurdles against intended goals.