Picture the scene – you’ve just discovered the car of your dreams at a price you can actually afford. The most up-to-date model BMW is for sale at thousands of bucks lower than all the rest. It’s got low mileage and a spotless interior – is this your lucky day or what?
Only one small detail may possibly put a damper on things – an asterisk which indicates that it has a salvage title. The owner does his best to guarantee you that it’s just cosmetic nothing and damage structurally wrong together with the car. The car is by far cheaper than anything else you’ve seen so what do you do? In case you take your chances or walk away?
What does it actually mean, even though it may seem like a good deal to get your hands on an auto which is priced substantially lower than all the rest?
Salvage Title Cars
Exactly what are salvage title cars – what does it genuinely mean? Weather damaged or stolen and the repairs on the car would might cost more than the motor is worth then the insurance company will consider so that it is written off and take possession from it if a car has been in an accident. Insurance carriers then sell on these cars to salvage yards / rebuilders. The salvage title is actually a warning to the future buyers that the car has been declared a total loss by an insurance company. But what does it matter? Of approximately 2.5 million cars which are salvage titled each year around 1.5 million of them find yourself back on the roads, a number that has grown dramatically over the last few years. But it might not be quite as simple as you first thought.
Insurance and Finance Problems
You could find that you cannot find any finance deals on a salvage title car or have the capacity to fully insure it either. There are not many motor insurance companies which are likely to give full comprehensive and collision cover for a car which has experienced a salvage title. One dilemma is that it’s so difficult to place a value on them. For this reason it may also be very difficult to secure a finance package with a salvage title car. If you would like buy one you will probably need to pay cash for it.
This is probably the best reason of all to avoid a salvage damaged car. Some of these cars are literally dangerous. Many vehicle rebuilders are tempted to cut corners skimping on structural, airbags and alignment issues.
A salvage title car will always be worth considerably less than a “”normal”” car which is not involved in an accident. This makes them incredibly difficult to value and can be very hard to sell on afterwards. You will find a very small pool of potential customers who are willing to take a risk on a salvage title car.
There are also many problems with fraud when it comes to unscrupulous sellers selling on salvage cars without having the knowledge of the purchaser. There are loop holes within the law from state to state which means that a vehicle which has salvage title in just one state is probably not the same in another.
Tha Harsh Truth
If you plan on having a salvage car and driving it before the wheels fall off (which may not be lengthy) then it could be a way of saving just a little money. Or else you are well advised to make use of reputable dealers like www.ocfiat.com so you understand specifically what you are buying. Check out the offers at fiat dealership Los Angeles for a great start.