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Salvage title cars: what they are and how to buy

A salvage title is not a dead end, it is a discount. Learn what a salvage title means, how it compares to rebuilt and clean titles, and how to buy one safely at Copart auctions.

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What is a salvage title?

A salvage title is a legal brand a state puts on a vehicle after an insurance company declares it a total loss, usually because the cost to repair it exceeded 70 to 90 percent of its value. The brand follows the vehicle for life and tells every future buyer that it was once totaled. Read the full salvage car definition for the underlying terms.

A salvage title does not mean the car is junk. It may have light hail, a minor collision, or simply have been totaled because an older car is cheap to write off. What it does mean is that the car cannot legally be driven or registered until it is repaired, inspected and re titled.

Salvage, rebuilt, clean and non-repairable

Four title types decide what you can do with a vehicle:

  • Clean — never branded a total loss. Register and insure it normally.
  • Salvage — declared a total loss. Cannot be driven until repaired, inspected and re titled.
  • Rebuilt — a salvage vehicle that has passed a state inspection and can be registered and driven again.
  • Non-repairable — can never return to the road, only parts, scrap or off road use.
Two sides of the same car

Salvage today, rebuilt tomorrow

Every rebuilt car started as a salvage lot. You buy at the salvage stage, do the work, and end with a road legal vehicle. Both sell at auction as is.

Salvage Title

The Starting Point

A total loss waiting for repairs. The deepest discount, with all the work still ahead of you.

  • Priced 40 to 60 percent below clean title retail
  • Cannot be driven or registered until rebuilt
  • You control the repair quality and the costs
  • A fit for rebuilders, mechanics and exporters
  • Wide selection across damage types
Browse salvage title cars →
Rebuilt Title

Back on the Road

A former salvage car that passed a state inspection. Drivable, insurable and ready to register.

  • Registers like a used car once inspected
  • Insurable, though some carriers limit coverage
  • Values run 20 to 40 percent below clean title
  • Credit unions and specialty lenders finance them
  • Repair quality varies, inspect before buying
Browse rebuilt title cars →
The process

How to buy and re title a salvage car

Three stages take a salvage lot from the auction yard to a rebuilt title in your name.

1

Buy at auction

Register free, place a deposit and bid. Price fees and repairs first on the fee calculator and run a VIN report before you commit.

2

Repair and document

Fix the vehicle and keep every receipt and photo. Your state will want proof the repairs were done properly.

3

Pass inspection and re title

Pass your state's salvage inspection and the DMV issues a rebuilt title, so you can register, insure and drive it.

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Questions

Salvage title cars: frequently asked questions

Titles explained

A salvage title means the vehicle was totaled and cannot be driven. A rebuilt title is that same vehicle after it has been repaired and passed a state inspection, so it is road legal again. You buy at salvage, repair, then re title as rebuilt.
No. Even after a rebuilt title is issued, the salvage history stays on the vehicle's record for life and shows up on history reports. Buy with that in mind: the brand is permanent, which is also why the purchase price is so much lower.
Pricing guides commonly put rebuilt title values around 20 to 40 percent below a clean title equivalent. That discount works in your favor at purchase and against you at resale, so factor both sides into your math.
Flood, fire, hail, lemon buyback and junk or non-repairable, each telling you why the vehicle was branded. Junk and non-repairable vehicles can never return to the road. Our salvage car definition covers every brand in plain language.

Insurance, financing and registration

You cannot insure a salvage title car for the road because it cannot be registered. Once it is rebuilt titled you can insure it, though some carriers limit coverage to liability only.
Often yes. Carriers that cover rebuilt titles may add a surcharge or decline comprehensive and collision coverage, and rates vary a lot between companies. It pays to get insurance quotes before you bid, not after the rebuild.
Most banks will not finance a salvage title directly, but specialty lenders and personal loans do, and credit unions often finance rebuilt titles. See our financing page.
Requirements differ by state, and a few restrict auction purchases outright: buyers cannot purchase vehicles located in Kansas or Missouri, Michigan allows clean titles only, and Colorado and Wisconsin allow preliminary bids only. Check your state's inspection and re titling rules before you bid.

Buying smart

It can be, if you know what you are buying. Check the damage type, run a VIN history report, and inspect the vehicle or order a professional inspection. Every lot sells as is, so the burden of judging condition is on you.
Flood and structural damage top the list, since water corrodes electronics over time and frame repairs are expensive to do right. Hail and light cosmetic collision sit at the safer end. The damage line on each lot is your starting point, and our buying tips explain how to read it.
Typically 40 to 60 percent below clean title retail, sometimes more. Use the fee calculator to see your true all in cost including fees and estimated repairs.
No. As a registered Copart broker we bid on your behalf, so a free account is all you need. Register free.
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