SALVAGE Title: Should go for this 2009 Genesis 3.8?

[Monocled.Pirate]

Hi Guys, I'm a prospective G1 buyer, very happy to have found this resouce at hand.

So while searching the internet I came across this salvage title car

135,000 Miles
CarFax shows the previous owner had it for 6 years, with a detailed of all services done at Hyundai Dealer.
Car got into accident in Feb. (Rear End Collision)

Seller on CL says it had rear left panel damage (Confirmed by Carfax)

Randomly put the VIN number in google, and found pics of the damaged car in the auction.
Seller has fixed it, pics of new condition available as well.

Picture shows Millenium Motors Fullerton Dealer plate on the rear tag. Google search reveals its a well regarded Collision Repair shop in Orange County

Also, another thing on the title says: Not Actual Mileage Title. This I do not understand, CarFax has pretty much a record of service intervals on average every 6 months and mileage adds up. I dont get it.

I was trying to play Crash Investigator and figuring out how this accident could have happened?

Was it something at low speed?
Was he side-swiped by another car?
Was he T-Boned (If thats the case id be more concerned)
Or was it simply a lack of judement reversing ?

I guess theres a chances are quite slim that I might find the original owner of the car in this forum.

Guys, I will gladly appreciate all your comments and suggestions on the topic.

I'm about to start Dental School Residency with no pay. I plan to buy it, take care of it. And run it to the ground over the next 5 years.

America is all about second chances, you guys think this car deserves one too?


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[Aquineas]

I would stay away from it man.

 

[Mark_888]

How much is it? What is the wholesale and retail price of the car as listed on various used car pricing sites? You should get a significant discount (below wholesale) due to the history of the car.

Keep in mind that it is RWD, so make sure their is no drivetrain damage.

Also keep in mind that 2009 Genesis models have had a hard time passing emission test in CA after the battery has be disconnected, not having anything to do with a problem of the emissions systems itself (but the computer loses engine driving history that only CA demands).

 

[landtuna]

I have bought two 'salvage' cars and had good luck with both however it depends on many different attributes.

To be salvaged the insurer generally "totals" the vehicle. That is, determines the repairs would cost more than the vehicle is worth. I don't know the book value of your prospective purchase but to total a car with "left rear panel damage" seems not to make too much sense. I think if I were going to consider this vehicle I would contact the shop that made the repairs and find out why the cost exceeded the value of the car. There may be more substantial damage than is visual.

 

[Mark_888]

I checked the NADA site, and the wholesale price for a 2009 Genesis 3.8 with 135,000 miles is about $6,000 (a few hundred more if Tech Package). The retail price is about $9,000,

I have never totaled a car, so do they use the the wholesale value or retail value?

But I agree that the insurance adjuster may have seen some damage that the body shop did not fix, or maybe they fixed everything and are asking more than $9,000.

 

[Monocled.Pirate]

Hey Guys,

Really appreciate everyones input on the matter.

From what Ive seen, most clean title 2009 models in Southern California have an asking price between $8,000 to $9,000 which im guessing can be closed around $7500 to $8000. This guy is asking for $5200, which ideally I could close for around $4000 to $4500.

I think Mark_888 made a good point, to have it checked for drive train damage. The reset after battery issue I was not aware of. The seller says he has Smogged the car, and completed the California Safety Inspection as well. I'll make sure to only hand him my money at the DMV when they say the car can be registered to my name.

Landtuna, thanks for letting us know its okay to buy a car involved in a collision as long as everything has been repaired. 4 of the 5 cars I have owned in the past had were involved in some sort of accident, and they all worked out wonderfully well. Im not worried about parts that can be replaced with new parts. Its the parts that cant be replaced that conern me. Like frame damage.

Oh and Mark_888. Another point, last car I had was a 2008 BMW 650i coupe. Insurance wrote it off cuz I side swiped the car. Damage was limited to a broken fiberglass fender and cracked headlight. Frankly I'm glad they did, since at 90,000 miles the transmission would only go into reverse when the car felt like it. Worst car BMW ever made from a reliability standpoint. Now that I'm starting a residency, my priority is reliaibility and I'm more inclined for a Gensis or Lexus.

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Guys, Any idea why the vehicle would get a Not Actual Mileage title in California?

Like I said Earlier, all the CarFax shows a consistent service history atleast twice a year and the miles travelled since. Ive tried to search this topic on the internet, without much help. Maybe someone has had some experience with this ?

 

[Mark_888]

Now that I'm starting a residency, my priority is reliaibility and I'm more inclined for a Gensis or Lexus.

One good thing about the 2009-2011 Genesis V6 is that the transmission is an Aisin 6-speed. Aisin was initially a joint venture of Toyota and Borg Warner to create RWD transmissions for Lexus, and the same transmission has been used in many other brands also.

Aisin has since merged with other companies and Toyota owns less than 50 % of it now.

 

[Fgpalmer71]

My father is a State Farm agent with 20+ years under his belt and my father-in-law has owned and operated a body shop for 30+ years. I've owned 1 salvage car and enjoyed every minute of ownership....until I tried to get rid of it. Actually just got the title for a salvage vehicle my wife is taking delivery of in a week or 2. If you intend to drive it until the wheels fall off I say go for it. I won't buy another for myself unless I plan to keep it till death do us part. I've never kept a car longer then 5 years and like I said, I couldn't GIVE that 1 I had away.

Each insurance company uses a different tool to come up with a value of the vehicle in question. State Farm uses a valution tool which consistently equates to the KBB private sale values you can easily find on the web. What typically happens when a car is totaled, then repaired and resold is that the "repairer" uses salvaged parts to complete said repair. The insurance company, at least State Farm, demands that new, OEM parts are used. This obviously inflates the repair cost as compared to using salvaged parts. If the cost of repairs, parts and labor combined, add up to more then 50% of the assumed value of the car they call it a total loss.

My wife and her family have owned salvaged cars EXCLUSIVELY. They get great deals on great cars and never have a payment. Most banks won't issue a loan for a salvage vehicle. The vehicle we got the title for is a 2010 Toyota Sequia Limited, black and it's loaded. A family was heading to Florida from Michigan and hit a deer on the highway. Insurance totaled it and they left it where it was towed....my father-in-laws shop. He gave them $500 for it (they got a check from the insurance company too of course), we put about $3k in parts into it and have it for $3500 roughly. I'll let you look up the value of a 2010 Sequia Limited with 156k miles on it.

With all that said, before you purchase CHECK THE FRAME!! Anything can be fixed, but if there was any frame damage at all I'd walk away and not think twice. Frames can be pulled and straightened, but it takes a special body man to do it perfectly. If there was frame damage and it wasn't handled properly you'll regret every second of ownership.

Sorry for the length of this, but I wanted to be thurough. I hope this helps!!!

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2 more things....1st, don't sweat the perceived mileage issue. Some states do that when issuing a salvage title. The rules vary state to state. If you can trace the mileage on your own and it seems accurate then it probably is. Odometers are rolled back on salvage cars quite often to inflate the resale cost of an already devalued vehicle.

2nd, use the KBB value for a vehicle in FAIR condition, that's what State Farm valuations equate to. Good Luck!!

 

[jp17]

Hey M.P
For what it's worth. My 09 took a shot exactly like the car in the pics. The repairs were covered by ins. Make sure you look at the headrest too. They have probably sprong also, as designed. My left side exhaust had to be replaced too. I am pleased to say the shop has done an ok job. Paint matches, seams line up as so on. The car drives fine, mine's at 108K. second owner, owned 4 years now.

 

[charliet1948]

I buy salvage titles quite often, just check out the car fax to see where it was hit, if any frame damage, if the airbags were set off. My 2012 with all the bells and whistles was totaled by the original owner after 3 months from purchasing. I bought it for 6k under market value.

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