New vs. used vehicle

[Dgorila1]

As we're recovering from hurricane Matthew that hit the east coast, most specifically the flooding it brought, I think of all the thousands of cars that have been flooded and will be put back on the market by private sellers and dealers. For the last 10 years or so there have been many natural disasters all across the U.S. that caused flooding. There are tens if not hundreds of thousands of used cars out there that were dried out, cleaned up and put on the market for sale. Water and mechanical parts generally don't do well over time, which means lots of repair costs in the future for these vehicles.
       I've been looking at the prices of new vs. used trucks and vans, but the uncertainty of buying a used vehicle with a sketchy past history has me leaning towards a new vehicle that will have a full warranty. Anyone else have the same thoughts?

 

[Queen]

Seems like it all comes down to your risk tolerance. I have a high tolerance for money risk (living with very little of it), but a very low tolerance for vehicle reliability risk. I don't do well with the worry of being stranded.

 

[djkeev]

There are new car dealers in flooded cities around our Nation........ Just saying........

Dave

 

[Queen]

Warranty... Just saying.

 

[GotSmart]

Salvage title.

 

[Optimistic Paranoid]

You've raised some interesting questions.

What happens when a new car dealer's lot is flooded?  Does the new car dealer own - and have title - to the cars on his lot, or does the manufacturer own them and the dealer just has them on consignment?  Could the cars still be sold as "new" with a full warranty, or do they have to get a salvage title for them?

Wonder if there is an overriding Federal law, or if there are 50 different state laws covering this?  If not covered by law, could different manufacturers have different policies?

For sure, I would never buy a vehicle with a salvage title, new or used.

The big problem with buying new is that the depreciation in the first two or three years is killer.

 

[Optimistic Paranoid]

A little Google research turned up the following:

http://bestride.com/news/flood-cars

http://www.edmunds.com/car-buying/how-to-avoid-buying-a-flood-damaged-car.html

http://www.autonews.com/article/201...he-worst-flood-damage-among-auto-retailers-in

 

[DannyB1954]

There may be a number of vehicles that were flooded and not have a salvage title. If someone does not have comprehensive coverage, or they figure that they can sell for more than what the insurance will give them, they may clean up the vehicle themselves and sell with clean title.

 

[highdesertranger]

a dealer buys the vehicles from the manufacturer. if they turn them in as totals to the insurance company then they could buy them back and resale them, however they will have a salvaged tittle. now if they didn't turn it in for insurance money they would just sell it. after making it all pretty of course. these vehicles would show up clean on the reporting agencies(car fax, etc.) report. car dealers, new and used are always trying to keep all the bad stuff off the record. highdesertranger

 

[highdesertranger]

another point, when a dealer offers to show you an invoice of how much they paid for a vehicle don't believe them. they will show you a genuine invoice but they fail to mention that when they buy 10 vehicles at that price they get the eleventh one free or other incentives. so that official invoice is not what they really paid. highdesertranger

 

[bullfrog]

When I taught Auto Mechanics in Eastern Kentucky flood cars were often donated to voc schools to recoup tax dollars. Used to get several new never sold cars to take apart to train future mechanics, but as HDR said when dealerships got pressured by economics that changed quickly. Now most mechanics when they check a car pull some door panels or connectors to check for mud or corrosion which is often overlooked by detailers.

 

[Dgorila1]

A little Google research turned up the following:

http://bestride.com/news/flood-cars

http://www.edmunds.com/car-buying/how-to-avoid-buying-a-flood-damaged-car.html

http://www.autonews.com/article/201...he-worst-flood-damage-among-auto-retailers-in

Great articles that give a little behind the scenes picture of what happens. Thanks.