Do you trust a rebuilt (car) title?

[Jumper_Dad]

Just starting the process of looking for a first car for my daughter. I'm not going to break the bank on a first vehicle because, well I'm not going to. I've been looking at lots around here and on-line and I've found several reasonable priced that are listed as having a rebuilt title. I know what that means, my question is would you trust them?

 

Found one car that was a really good price and I called about it...guy said that it is a rebuilt title due to having water damage, it came from Louisiana. What are the concerns with a car like that? Any key things to look for?

[JDEaston]

I would stay away from anything that has a rebuilt title due to water damage. There are so many electronics in vehicles today that there is a lot that can go unnoticed with water damage until it actually becomes a problem. As far as a rebuilt title due to an accident, as long as the frame or unibody wasn't bent, I'd say you would be okay. Even if the frame was bent, you may still be okay as long as it was straightened or replaced by a reputable garage.

[UK#1fanisback]

Stay way from the water damage cars.

[Randy Parker]

Agree on staying away from water damage, but I have owned a car with a rebuilt title & probably will own another.

[UK#1fanisback]

Agree on staying away from water damage, but I have owned a car with a rebuilt title & probably will own another.

 

Norhing wrong with doing it I have had several motorcycles with salavage titles.

[THE SHERIFF]

Agree about water damage. Back in the 90's I bought an 89 Jeep Grand Wagoneer that had a rebuilt title. The guy that I bought it from was reputable, it was a great vehicle.

[Jumper_Dad]

Kinda what I figured about the water, but I was wondering if any one had any experience with one.

[dd734]

I've owned a few cars-trucks with a rebuilt title. I never had a problem with any of them. I did however buy from the person/persons that rebuilt them.

[mcpapa]

Agree on staying away from water damage, but I have owned a car with a rebuilt title & probably will own another.

 

Same here.

[mcpapa]

I've owned a few cars-trucks with a rebuilt title. I never had a problem with any of them. I did however buy from the person/persons that rebuilt them.

 

This.

[punttheball]

Just starting the process of looking for a first car for my daughter. I'm not going to break the bank on a first vehicle because, well I'm not going to. I've been looking at lots around here and on-line and I've found several reasonable priced that are listed as having a rebuilt title. I know what that means, my question is would you trust them?

 

Found one car that was a really good price and I called about it...guy said that it is a rebuilt title due to having water damage, it came from Louisiana. What are the concerns with a car like that? Any key things to look for?

 

Over the last 25 years I have rebuilt close to 200 totaled vehicles.

If you are careful, buying a water damaged vehicle can be no problem. I have seen water damaged cars that did not even get the carpets wet. I have also seen some that were totally submerged. When you look at a vehicle at the salvage auction it is pretty easy to see how high the water got on the vehicle. You can also tell what type of water it was in. The highest point that the water got to there will be a very distinct line. The key for a buyer would be if you trust the person that rebuilt the vehicle to be honest about how high the water was in the vehicle. Maybe you know the rebuilder or can get references. I have found that most (NOT ALL) people that rebuild these vehicles do not want to get a bad reputation because it makes it harder to sell future vehicles. If you are not a car guy, it is a good idea to take it to a shop to have it inspected.

When a car is totaled and put into a salvage title it is more of a financial statement of the car than whether or not it is repairable. Insurance companies use computer programs to do estimates on cars. They use time and shop hourly rates. Sometimes they use retail price of new parts from the manufacturer. All of these things can add up very quickly to reach the 70% threshold that it takes to consider a vehicle totaled. That is state law. So if a 10,000 dollar vehicle has an estimate to repair of 7000 dollars, it has to be put in a salvage title. By using used or aftermarket parts, being quicker than the time rate and cheaper than the labor rate a rebuilder may be able to repair the car for less than half of the estimate. That is why a totaled salvage vehicle can be repaired and then put into a rebuilt titled vehicle.

Some other things to consider, you CANNOT get a loan on a vehicle while it is in a salvage title. You CANNOT register, get a plate or insure a vehicle that is in a salvage title. Once a vehicle is repaired and the proper process is completed a salvage title CAN be converted to a rebuilt title. Once a rebuilt title is issued, you CAN register it and get a license plate. You CAN insure it at that time. It is also state law that insurance companies have to allow you to at least carry liability on the vehicle, but they DO NOT have to allow full coverage on the vehicle although most will. If the insurance company allows you to carry full coverage, if you total the vehicle they may not pay out full value on the vehicle. I carry stated value coverage on my own vehicles. Banks WILL NOT loan money on a salvage title. Once in a rebuilt title some banks will loan money but MOST will not.

When calling about loans, insurance and registering a vehicle it is very important to use the correct term, salvage or rebuilt.

[Jumper_Dad]

Over the last 25 years I have rebuilt close to 200 totaled vehicles.

If you are careful, buying a water damaged vehicle can be no problem. I have seen water damaged cars that did not even get the carpets wet. I have also seen some that were totally submerged. When you look at a vehicle at the salvage auction it is pretty easy to see how high the water got on the vehicle. You can also tell what type of water it was in. The highest point that the water got to there will be a very distinct line. The key for a buyer would be if you trust the person that rebuilt the vehicle to be honest about how high the water was in the vehicle. Maybe you know the rebuilder or can get references. I have found that most (NOT ALL) people that rebuild these vehicles do not want to get a bad reputation because it makes it harder to sell future vehicles. If you are not a car guy, it is a good idea to take it to a shop to have it inspected.

When a car is totaled and put into a salvage title it is more of a financial statement of the car than whether or not it is repairable. Insurance companies use computer programs to do estimates on cars. They use time and shop hourly rates. Sometimes they use retail price of new parts from the manufacturer. All of these things can add up very quickly to reach the 70% threshold that it takes to consider a vehicle totaled. That is state law. So if a 10,000 dollar vehicle has an estimate to repair of 7000 dollars, it has to be put in a salvage title. By using used or aftermarket parts, being quicker than the time rate and cheaper than the labor rate a rebuilder may be able to repair the car for less than half of the estimate. That is why a totaled salvage vehicle can be repaired and then put into a rebuilt titled vehicle.

Some other things to consider, you CANNOT get a loan on a vehicle while it is in a salvage title. You CANNOT register, get a plate or insure a vehicle that is in a salvage title. Once a vehicle is repaired and the proper process is completed a salvage title CAN be converted to a rebuilt title. Once a rebuilt title is issued, you CAN register it and get a license plate. You CAN insure it at that time. It is also state law that insurance companies have to allow you to at least carry liability on the vehicle, but they DO NOT have to allow full coverage on the vehicle although most will. If the insurance company allows you to carry full coverage, if you total the vehicle they may not pay out full value on the vehicle. I carry stated value coverage on my own vehicles. Banks WILL NOT loan money on a salvage title. Once in a rebuilt title some banks will loan money but MOST will not.

When calling about loans, insurance and registering a vehicle it is very important to use the correct term, salvage or rebuilt.

 

Thanks, we aren't going to be getting a loan so that won't be an issue. I have a set budget however and that's what has made some rebuilt cars attractive as they are in some cases much cheaper than a comparable car of the same year and mileage.

[rjs4470]

Over the last 25 years I have rebuilt close to 200 totaled vehicles.

If you are careful, buying a water damaged vehicle can be no problem. I have seen water damaged cars that did not even get the carpets wet. I have also seen some that were totally submerged. When you look at a vehicle at the salvage auction it is pretty easy to see how high the water got on the vehicle. You can also tell what type of water it was in. The highest point that the water got to there will be a very distinct line. The key for a buyer would be if you trust the person that rebuilt the vehicle to be honest about how high the water was in the vehicle. Maybe you know the rebuilder or can get references. I have found that most (NOT ALL) people that rebuild these vehicles do not want to get a bad reputation because it makes it harder to sell future vehicles. If you are not a car guy, it is a good idea to take it to a shop to have it inspected.

When a car is totaled and put into a salvage title it is more of a financial statement of the car than whether or not it is repairable. Insurance companies use computer programs to do estimates on cars. They use time and shop hourly rates. Sometimes they use retail price of new parts from the manufacturer. All of these things can add up very quickly to reach the 70% threshold that it takes to consider a vehicle totaled. That is state law. So if a 10,000 dollar vehicle has an estimate to repair of 7000 dollars, it has to be put in a salvage title. By using used or aftermarket parts, being quicker than the time rate and cheaper than the labor rate a rebuilder may be able to repair the car for less than half of the estimate. That is why a totaled salvage vehicle can be repaired and then put into a rebuilt titled vehicle.

Some other things to consider, you CANNOT get a loan on a vehicle while it is in a salvage title. You CANNOT register, get a plate or insure a vehicle that is in a salvage title. Once a vehicle is repaired and the proper process is completed a salvage title CAN be converted to a rebuilt title. Once a rebuilt title is issued, you CAN register it and get a license plate. You CAN insure it at that time. It is also state law that insurance companies have to allow you to at least carry liability on the vehicle, but they DO NOT have to allow full coverage on the vehicle although most will. If the insurance company allows you to carry full coverage, if you total the vehicle they may not pay out full value on the vehicle. I carry stated value coverage on my own vehicles. Banks WILL NOT loan money on a salvage title. Once in a rebuilt title some banks will loan money but MOST will not.

When calling about loans, insurance and registering a vehicle it is very important to use the correct term, salvage or rebuilt.

 

This is pretty much why I've never bought a salvage/rebuilt vehicle. I do know plenty of people that have, and haven't had any issues. I think as long as you either buy it from or get it checked it out by someone you trust, AND you plan on running it til the wheels fall off (since resale value is obviously compromised severely) I think you'll be ok. I've looked at these types of vehicles several times, but personally, I'm not comfortable with the possible problems despite the savings you can get up front when purchasing. With the internet, it's too easy to shop around the many used cars with clean titles.

[hidinout]

I've bought a bunch , but I know the guy fixing them . Never had an issue , but its important to know what you are getting .

[BigVMan23]

There is a guy in my town that rebuilds salvaged title vehicles and has a small lot he sells them from. I have looked at a couple in the past. They don't look very good and he wants top dollar for them. I don't know how the guys stays in business.