What Is A Rebuilt Title & Should You Buy A Car With One?
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Titles can be tricky, and the fine print is different in every state. One title with many surrounding questions is a rebuilt title, which constitutes a vehicle undergoing rehabilitation.
What is a rebuilt title, and should you buy a car with a rebuilt title? We will answer both below and give you a few things you should consider before jumping into it.
What Is a Rebuilt Title?
Our vehicles are not safe from disaster and can undergo extensive damage in extreme weather conditions or due to a destructive collision. In cases where the damages are much more than the vehicle’s value, the car will be marked as totaled.
Any time a vehicle’s damages amount to more than its worth, it’s issued a salvage title. The car is then given a rebuilt title if these damages are repaired.
One plus about a rebuilt title is that buyers can better understand what they’re getting into before they buy. When used cars are for sale, it’s hard to know what’s happening under the hood. The rebuilt title will note previous damages and the repairs that were done, which could give you more details about the health of the vehicle you’re hoping to buy.
BE CERTAIN YOU’RE GETTING THE BEST DEAL
CoPilot searches your area and lets you know if there’s a better deal on a similar vehicle nearby, so you’re always certain you got the best deal possible. The CoPilot app is the smartest way to buy a car.
Should You Buy a Car with a Rebuilt Title?
Not to say that all rebuilt cars are not worth a buy. There may be good deals out there, but it’s good to proceed with caution when dealing with a vehicle with a rebuilt title. Before buying one, consider a few things to ensure you don’t fall into a car trap.
Consider Your Insurance
One of the biggest issues with purchasing a car with a rebuilt title is getting it insured. Some of the damage, though not visible, could create a higher risk for issues later down the road. Many insurance agencies will not cover vehicles with rebuilt titles for a good reason.
Before you purchase, ask your insurance provider about their policy or call around to see if insurance will be an issue.
Ask a Mechanic
Though the car may look like it’s all in one piece, there could be other damages that the untrained eye can’t catch. Before purchasing a vehicle with a rebuilt title, have a trusted mechanic give it a look over.
Though repairs are documented, you never know if they were performed correctly. A knowledgeable mechanic will know what to look for and can spot damages that could lead to issues later down the road.
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Load up on Info
There are tons of ways to access information about a car. You can look up information based on the vehicle identification number (VIN) and even check the National Motor Vehicle Title Information System. There are other forms of checking online, like Carfax and AutoCheck, all of which are there to protect the buyer.
Do as much research as possible before purchasing to avoid issues later on. When you have all the information about the car in question, you can address issues with the seller and make sure that they are not selling you something that will create many problems for you and your car.
Don’t Let the Small Price Fool You
The price tag is one of the most attractive things about a rebuilt titled car. But, just like most things in life, if it’s too good to be true, it probably is. When you see a price way too low on a good-looking vehicle, you should automatically start asking questions.
On the contrary, sometimes vehicles with salvage titles can cost you more. That’s because they have had repairs, which some dealers or individuals will try to add to the price.
Understand you May Have Issues Selling
Just like you need to look for all the information and make a final decision, so will someone else when considering whether or not they want to purchase your vehicle. When you’re ready to trade your car in or sell it yourself, you may need help getting the price you want or expect.
Many dealerships won’t allow you to trade a vehicle with a salvaged or rebuilt title because they know that it can cause them issues when it comes to selling. It’s possible, but you may get much less than you hoped.
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To Buy or Not to Buy
Ultimately, it’s up to you to decide whether or not to buy. You have a lot to consider when it comes to a rebuilt title, though we don’t want to discourage you. In some cases, purchasing a car with a rebuilt title can be beneficial, especially if you get a good deal.
If you find a car you don’t intend to resell; you could walk away with a good deal so long as the repairs were done correctly. In addition, if repairs were done solidly, you could get into a deal where the car is in better shape than before, and all the kinks are worked out.
Whatever the case of the vehicle you’re interested in, don’t forget to do your homework. These days, you can find just about anything on the web that will help you piece together the story of the vehicle before buying.
Rebuilt Titles Are Not Always Bad
Buying a used car always comes with some risk. Still, you can protect yourself in any situation by getting informed. Any used vehicle you purchase has information; you might have to dig in and find it. One bit of information could be the make or break of whether you’re getting a good deal or buying into something you might have a hard time getting out of.
Frequently Asked Questions:
Q: How does a rebuilt title affect the car’s value?
In general, a car with a rebuilt title will likely have a lower market value since it suffered from significant damage. When you compare a clean title to the exact vehicle, a vehicle with a rebuilt title will have a lesser value by 20%-40%, which is potentially thousands of dollars.
Q: Can you insure a vehicle with a rebuilt title?
Yes. However, insuring a vehicle with a rebuilt title will be more complicated than cars with clean titles. For instance, not all insurance companies will offer coverage to a car with a rebuilt title since it’s more challenging to determine if the damage was pre-existing or caused by an accident. With that said, getting full insurance coverage for a car with a rebuilt title is possible, and you’ll likely have more luck with more prominent insurance providers.
Q: Should you buy a car with a rebuilt title?
It depends on your situation. On the one hand, buying a car with this title can get you a great deal. In some states, getting a rebuilt title means the vehicle must undergo rigorous inspection. Meanwhile, a car with a rebuilt title will have a much lower resale value, and you’ll have a hard time insuring it.
Get a Curated List of the Best Used Cars Near You
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