Tips for Buying a Salvage Vehicle
A salvage vehicle simply means a vehicle, which is beyond repair value, or a vehicle that the insurer has written off as a total loss either through damage or through theft. A salvaged vehicle can also be a car that has been declared a loss by the insurer even after being rebuilt or repaired, or a vehicle which has a salvaged title. The salvaged titles may be obtained from car-dealers who sell the cars to unsuspecting buyers only for them to realize it later.
Most of the buyers of the salvaged vehicles are usuallymechanics, or auctioneers. These people will buy them mainly for spare parts, reduced costs of repairing as well as maintenance - where the vehicle may be repaired to a good condition for a lesser cost than that of buying a new car or modern car. The sellers or re-sellers may also sell the car as a quick option so that they can settle and hence the buyer can get a good deal.
It can be a good deal to buy salvaged vehicles, but there are certain things that one needs to consider such as Insurance, warranty, registration, and price.
Insurance
The buyer of the vehicle needs to check for the insurance of the vehicle and ensure that he/ she gets a liability insurance either from the seller or from the companies selling the vehicle.
Warranty
Buyers of a salvaged vehicle can be sure that there will not be any warranty for such a vehicle. It is very important to ask though, as some dealers or sellers may provide the vehicles with a warranty.
Registration
This may vary by state or country although police officers must inspect the salvage title before it can be registered and driven. Therefore, if the vehicle is beyond repair the officers may ban it from road use. Repair shop certification may also be required in other countries or states, it is therefore very important to confirm with the state or country’s department of motor vehicles for details.
Price
It is very important to know the price and predicted cost of the vehicle before and after the repairs that will be incurred as the vehicle can incur many repairs. A fully reconstructed car needs to be worthat least 60 per centof the value of a new car with the same make, model, and clean or new title. As for the resale of the vehicle, the buyer of the salvaged vehicle should not expect to sell the car at a high value because once it has a salvaged title it is always a salvaged vehicle.
One also needs to know the exact damage of the vehicle. Lastly,there are several categoriesfor rating vehicle damage – one needs to be lower in the alphabet. A is terrible, B is bad, and categories C and D are for designate workable.
