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Accidents, Title Records, Salvage History, Recalls, Lines, Sale Records, Factory Options, Images
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Purchasing a car is a significant financial decision and depending on the state from where you are buying the car from there are some significant and unique set of considerations that you must take into account. Each state has its own unique climate conditions, set of regulations, and market dynamics that can affect your used car buying experience. To help you avoid state-specific used car market pitfalls we have provided some information related to state laws, accident rates, total loss rates, and the prevalence of hidden accident damage in certain markets.
Title: Ensure the vehicles title is free from any liens or third-party claims. Keep in mind a lien holder may not be always available on the title document so it may help to contact the local DMV (Department of Motor Vehicles) to check the ownership status. In addition, check the title to make sure it is free of any brands like salvage, flood, fire, reconstructed and junk. Buying a vehicle with a clean title is highly advised as some states may impose additional regulations and fees on vehicles with salvage titles. Additionally, a branded title generally means that the car was at one point involved in a serious accident or a weather event that have caused the insurance company to declare it a total loss. These types of vehicles may come with hidden issues requiring additional repairs and higher overall ownership costs and drastically diminished resale values.
Registration: Check that the car is properly registered in the state where it is being sold. You will need to transfer the registration to your name within a specified period, which varies by state. Some states like California will pass on registration dues fees and penalties to the new owner. It is imperative to make sure that the vehicle you are intending to purchase does not come with any hidden unpleasant surprises. To check the vehicle for outstanding registration related dues, visit your state's Department of Motor Vehicle (DMV) website for detailed instructions.
Emissions Standards: Some states, particularly those in the western and northeastern regions, have strict emissions standards. For example, California has some of the strictest emissions regulations in the country. Vehicles equipped with aftermarket components altering the engine programing or emissions system may be subject to fines and denial of registration renewal. Before committing to the purchase be sure to request the seller to provide a current emissions/smog test document or plan to have it tested before completing the purchase.
Harsh Weather: States with extreme weather conditions, such as heavy snowfall, high temperatures, and frequent storms, can impact a car's performance and longevity. Northen states like Michigan, Minnesota, Maine, Massachusetts, Vermont, and New York are more likely to be affected by salt damage and premature corrosion. To get a better idea of the vehicle’s condition an undercarriage inspection is key. This will identify any potential structural, cosmetic and potential future problems being caused by corrosion and premature wear.
Winter Climate: Cold temperatures can strain a car's battery, fluids, and heating systems. Ensure the car you are considering has a battery that is not older than 3 years and has clean fluids at the proper levels. Also check the tires for tread life and potential dry rotting. Keep in mind average tire lifespan is anywhere between 35,000 and 70,000 miles or approximately 4 to 5 years. To check the age of the tires, check the DOT tire identification number on the tire sidewall. The last four digits of this number represent the week and the year the tire was manufactured.
Summer Heat: High temperatures can affect the car's paint, plastic and rubber components, cooling system and tires. Check for any signs of sun damage such as peeling or yellowing clear coat on the cars paint. Be sure to check for any potential overheating issues, check the coolant levels and make sure the vehicle is operating within the manufacture designated normal operational temperatures.
Some regions are knowns for their rough terrain, including mountains, forests, and coastal areas, can be challenging for vehicles. Potholes and uneven surfaces can cause wear and tear on a car's suspension and alignment. Inspect the car's suspension and alignment for any signs of damage or wear. A professional vehicle inspection can help identify any unnatural clunks and sounds while driving and issues that might not be immediately apparent.
Some states have higher accident and total loss rates, which can affect the condition and value of used cars. In many cases vehicles from states with higher risk factors tend to bring a lower premium on a wholesale market. This encourages some car dealers to buy out of state vehicles to sell them at a higher profit locally in a state that is not affected by risk factors where the vehicle was originally registered. It is vital to check where the car spent its previous life.
Accident Claims: Florida has one of the highest accident rates in the country, with an average of 1.95 accidents per 100 drivers annually. This can lead to a higher prevalence of used cars with accident damage. Texas also has a high accident rate, with an average of 1.88 accidents per 100 drivers annually. Be cautious when buying a used car in Texas and ensure it has a comprehensive vehicle history report.
Prevalence of Hidden Damage: A significant percentage of used cars on the market may have had some sort of accident damage that is not immediately apparent to the untrained eye. Approximately 30% of used cars have some form of accident damage that may not be disclosed by the seller. New York has a higher prevalence of hidden accident damage, with an estimated 35% of used cars having some form of undisclosed damage. This can be due to the high volume of traffic and frequent accidents in urban areas that may go unreported to insurance agencies and never be added to the vehicle’s history. This type of damage is usually detected through the use of a professional and trusted pre-purchase inspection.
Total Loss Claims: The rate of total loss claims can vary significantly by state. A total loss occurs when the cost of repairing a car exceeds its value.
Louisiana has one of the highest total loss rates in the country, with 1.5% of all claims resulting in total losses. Mississippi comes in as a close second at a rate of 1.4%. Buying a car from any one of these states increases the risk of buying a car that has been severely damaged. Typically, there is a large quantity of these types of vehicles that pop up on to the market all over the US after any natural weather event such as floods and storms. Be wary of any vehicle coming from a state with a recent weather event.
Ali
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