What Is A Rebuilt Auto Title

A rebuilt title or salvage title are very similar. Once an auto has damages that exceed a certain percentage of it's value, the insurance company then considers the auto as a total loss. Which means the car's damage exceeds it's value. 

 Check Car History Before Purchase

What Happens If My Car Gets Totaled

In most states you will have to surrender the title to the DMV. At this point you can buy the auto back for pennies on the dollar. If the auto can be reconstructed, repaired and restored to a safe operation, you might consider having it repaired.

Once the repairs are made you will be issued a new title that is stamped rebuilt or salvaged, depending on what state you live in.

Now the vehicle is legal to drive on the highways and can be licensed. Some states require that the vehicle passes an inspection before you can obtain a new title. 

Buying Vehicle With Rebuilt Title

Depending on the vehicle, buying an auto with a rebuilt title is not necessarily a bad investment. These vehicles can provide inexpensive options for buyers. This is what you should do before buying an auto that doesn't have a clean title.

• Have the vehicle inspected by a mechanic.
• Run a vehicle inspection report at VinAudit.com.
• Make sure your insurance company will insure a vehicle with a salvaged title. In most cases you only want to purchase liability insurance and not collision damage. 

  What Is In A Vehicle History Report?

Why would you purchase any used auto without knowing it's history first. There could be issues with the vehicle that the seller is not telling you or doesn't know. Here are the main issues that you would look for in an auto history report.

• Was the vehicle salvaged or has a rebuilt title.

• Odometer reading is not the true mileage, due to tampering.

• Vehicle has been damaged by flood water.

•  Vehicle has been damaged by fire. 

• Vehicle has been damaged by hail.

• Vehicle has been damaged by vandals.

• Vehicle used as a rental.

These are just a few things that you would find in the report. Vehicle reports show much more than what's listed above. Here is a sample of the report. I hope this information is helpful on what is a rebuilt auto title.

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