6 Tips for Restoring a Salvage Car

If a stolen car remains unrecovered at the end of a certain period, then the insurance company has to pay the total value for the car to the client. Once the payment is made, the company writes off the vehicle as a total loss, which earns it the salvage title.

If you are buying a stolen car, you really need not worry about restoration or insurance, as these are barely damaged. However, we suggest you do take it up for inspection just to ensure no parts are missing from the vehicle.

Here, the end result varies from state to state. The definition of total loss is up to the owner to determine. Many chose to repair the vehicle and have it re-titled. Others decide to sell it for scrap. Usually, if the damage value exceeds around 50% to 95% of the car’s market value, then it is written off as a loss.

However, it also depends upon the gravity of the damage. So if the vehicle hasn’t suffered severe damage and can be repaired and restored to full working condition, then the insurance company may decide to pay the cost and have it fixed if its resale can potentially earn them their money back.

In Oregon, a car is valuable until the damage value goes over 70%. When that happens, or when the car’s market value declines to $500, it is written off as salvaged.

Depending upon where you live, the car could possibly be worth more than its title denotes. With a little bit of elbow grease, you may even be able to restore it to excellent working condition. Here are a few tips on how to repair a salvage car to help you save money, time, and effort.

You must check the rules and regulations governing such vehicles with your state’s department of transportation. You may even need to arrange to have the car towed as it is illegal to drive a salvage title car in most states.

You may even be required by law to document the entire repair process in pictures. Without proper documentation, the state may not re-title the car, which effectively sends your investment down the drain.

This is where the actual restoration work begins, and it is not a piece of cake. If you aren’t particularly well-equipped to handle mechanical repair work, then you should find a trusted mechanic to help you fix the vehicle.

If you do decide to take up the task yourself, make sure you clear out lots of space. A dismantled car takes up almost two empty garages, and that is the amount of work area you will need. If you don’t have that kind of space at home, then you may need to rent out a garage space to start working.

This is where the actual restoration work begins, and it is not a piece of cake. If you aren’t particularly well-equipped to handle mechanical repair work, then you should find a trusted mechanic to help you fix the vehicle.

If you do decide to take up the task yourself, make sure you clear out lots of space. A dismantled car takes up almost two empty garages, and that is the amount of work area you will need. If you don’t have that kind of space at home, then you may need to rent out a garage space to start working.

Using original equipment is essential, especially if you want to get good money for the salvaged car. Doing so can also increase your chances of getting an insurance company to cover the vehicle by boosting its market value.

Besides being a state stipulation, keeping detailed records of all repair work is in the owner’s best interest. It proves beneficial when you take the car for inspection and can even speed up the process. Whenever possible, make sure you also maintain visual records of the vehicle at each stage. If you ever want to sell the car in the future, the paperwork can get you a good return on your investment provided you can prove it.

Do not waste any time before the inspection. Without the approval of the Department of Motor Vehicle, you cannot get the salvage title removed from your vehicle, and that can prove counteractive. Once you are sure the restoration work is complete, and the car is in perfect condition, take your vehicle in for an evaluation and have it cleared for road safety. Once this step is complete, you only have the paperwork to fill in before you can enjoy the benefits of the hard work you put in.

Once you clear the inspection, the inspector may attach a decal notifying that the vehicle is in perfect working condition. What comes next is what most people dread – filling out the paperwork. And yes, you will be filling out lengthy forms to get your car rebranded. You will also have to pay a fee to get a statement and a new brand, notifying the vehicle has been rebuilt.

Lastly, you must get the car revalued. While this is not related to the actual restoration process, it is essential, especially if you want to resell the vehicle now or at some point later on. You can take this step up before you decide to invest in the car to determine whether or not the vehicle is worth the investment.

Once you get your car revalued, you can file for insurance. The chances are that no company will completely cover a restored car. Still, if they find the car to be worthy enough, they may decide to provide accidental coverage, which can significantly boost the car’s resale value.

Once you have the insurance, you only need to get the car re-registered, and you should be good to go. Restoring a car is always better than buying a rebuilt one. The risk stakes are higher with the latter, and you can never be sure about the quality of the work or the parts in the vehicle.

For best results, we suggest you follow our tips on how to restore a salvage car and take up the task yourself if you can. If not, then hire a trusted mechanic and purchase all spare parts yourself through trusted dealers only. With a little bit of elbow grease, time, and effort, you can have a fully functional car at a surprisingly low price.