Salvaged cars are purchased by car dealerships and private parties alike. Many salvaged cars are sold at auctions that are open to dealers and the general public. Some salvaged vehicles are bought for parts, while others are repaired and resold.
There are two types of salvaged cars available for sale: repairable and restored. A repairable vehicle has damage but may be repaired or its parts sold, while a restored salvaged vehicle is roadworthy and has already been inspected by a state official.
Salvaged vehicles sell for thousands less than comparable clean-title cars. Although this savings is significant to dealership and private parties, it is difficult to calculate the true market value of a salvaged vehicle.
Vehicles that have been issued salvage titles may have great potential as cheap used cars. However, others will have underlying electrical and mechanical issues that are hard to track down.
Buying a salvaged car can save you thousands of dollars at an auction or dealership. Just be sure that the vehicle is right for you and that you plan to keep it for some time.
Financing a salvaged car can be difficult. Additionally, some insurance agencies will not write full-coverage insurance policies for salvaged vehicles.
