A salvage auction can be a great way to get a vehicle for very little. The important thing is to know what you’re getting into when you buy from a salvage auto auction.
What is a salvage vehicle
A car or truck gets a salvage title when the cost of repairing the vehicle to make it roadworthy exceeds the value of the vehicle. When a car has a salvage title, this should alert you that the car has been through some serious events.
So why would you ever want a salvage? The upside to a salvage title auto is that you can often get it for significantly less than it’s worth. By putting some work into finding a car and dealing with repairs, you can enjoy significant savings.
Be prepared for financial realities
You should be able to get liability insurance, but if you should ever need to make a claim on your salvaged vehicle, you should not expect to get much for it. It’s probably not worth getting any more insurance on it than you absolutely have to by law.
Also be aware that you will probably not be able to get financing for salvage cars, so have the cash on hand to buy what you want. Registration for salvage cars isn’t always simple. You may have to get a special inspection or certification, which will cost you a bit more.
Finally, remember that you can never go back from a salvage title. No matter how much repair you do to the vehicle, it will always be considered “salvage.” This will limit how much you can expect to get from it in resale.
Consider a pre-purchase inspection
Be sure to get a pre-purchase inspection of vehicles you’re considering. Most dealers that hold online auctions will be happy to …Read more