Date:         Fri, 15 Apr 2011 13:56:51 -0400
Reply-To:     Bill Glenn <idahobill@GMAIL.COM>
Sender:       Vanagon Mailing List <vanagon@gerry.vanagon.com>
From:         Bill Glenn <idahobill@GMAIL.COM>
Subject:      Re: Would you buy this salvage title Vanagon?

On Fri, 15 Apr 2011 09:22:45 -0700, BenT Syncro <syncro@GMAIL.COM> wrote:

 ...Would you devalue to buy such a thing because of the resulting salvage
title...

Ben,
Rules vary from state to state, but I have encountered the requirement that
if repaired rather than scrapped, a vehicle carring a salvage title must be
inspected for completeness of repairs to insure road worthiness prior to
registration. I have been told that his can be a rather thorough
inspection, such that things that could normally be mutually ignored by the
seller and buyer of a used car, might have to be repaired (a cracked
windshield or a slightly damaged body panel comes to mind).

Further, for a vehicle that carries a salvage title, many if not most
insurance companies will only offer liability insurance, even if the
vehicle has been fully repaired.  I think the view is that if the previous
damage was sufficent enough to warrant a salvage title, the insurance
companies do not want anything to do with possible future repairs, perhaps
because repairs could be complicated by the previous repair work.

I know you said the vehicle in question has not been in a collision, but an
insurance company will likely not being inspecting your van, but will go by
what the title says.  And that's the very purpose of a salvage title, to
put others on notice that some major event has taken place that may well
compromise the integrity of the vehicle (think flood-damaged cars being
cleaned up and resold to unsuspecting buyers).

To save the van you must add value in carrying out the repairs, and a buyer
who wishes to insure that value against possible loss will likely pass on
the purchase if he cannot do so.

For these reasons, a vehicle carrying a salvage title generally appeals to
few buyers, and intrinsically carries a lower value as a result.

Bill