Friday, September 8, 2017

Take Caution if you're Planning on Buying a Used Car in the Coming Months - Here's Why


With Hurricane season in full-swing down south, these massive storms have brought wind, rain, and unsurpassed amounts of flooding to much of the southern states with Texas being the most recent victim. As Hurricane Harvey dissipates, the trail of devastation left behind is nothing short of unfathomable. Buildings are leveled, families have been displaced, and possessions have been lost to this powerful natural disaster. But one aspect of this situation will carry on for years to come, and that comes in the form of flood-damaged cars. It’s why it’s been recommended that if you’re in the market for a new or used car currently, it’s important that you thoroughly inspect every car you take interest in and read up on its service history. If you see a new car being sold at a cut-rate price, there’s usually a reason for that, and it’s never a good one.

 


Since Harvey has passed, Insurance companies have already been hard at work, out in groups inspecting tens of thousands of cars already, with most having already been sent out to auctions and junk yards. From there, cars with insurance that ended up crossing the auction block are bid on by buyers and dealers from all over the U.S – which means there’s a solid chance that some of those bidders came from the Chicago or Milwaukee area. That means, that at some point, you might just come across what appears to be a shiny new Mercedes being sold for the price of a mildly used Ford Fusion at your local used car lot. It’s when you see deals like this, that you must take great caution and know your purchase before you write that check – because if you don’t you just might find yourself swindled into buying what amounts to a pile of scrap metal.

 

 To be clear, it’s important to know that cars that have been inspected by insurers will have a report pop up on the vehicle’s service history. If you see this when you run a CarFax, walk away. I don’t care if it’s a 2016 Camaro SS with 600 miles on the odometer being sold for the price of an old Ford Focus – do not buy it. The reason you’d even come across something like this, is because it was purchased by the dealer, who then might have attempted to have it repaired, or “flipped” and put back out on the lot for a cut-rate deal such as the aforementioned one above. These are easy to tell, and should be avoided at all costs. It’s the Uninsured cars that you need to worry about, as chances are an insurer won’t have inspected it – which means nothing indicating flood damage will show up in its vehicle history report.

 

When a car without comprehensive insurance is damaged, usually, the owner will take it upon themselves to “fix” it before attempting to sell it. They’ll put it on the market at an attractive, impossibly cheap price, and look out for unsuspecting buyers – such as recent college graduates, for example – and pawn it off on them. Cars like this tend to be a bit on the older side, and are prime for that budget-conscious target audience who want a nice car at an even nicer price. In this case, if you aren’t familiar with what to look out for when it comes to inspecting for flood damage – here are a few tips to help you along (shout out to Jalopnik for providing some of these tips):

 

CHECK THE VEHICLE HISTORY

This should always be done when it comes to buying a used car, no matter the circumstances. In the case of flood damage, if the car was insured prior to the flood, sites like CarFax will have this indicated on the car’s report. If you see this, it’s best not to pursue interest in that vehicle any longer. And if a dealer is hesitant to show you the Carfax, you probably shouldn’t even be giving that dealership your business anyway as this is a shady practice that has been known to exist among some used car lots.

 

SMELL THE CARPETS

It may sound a bit unorthodox, and a little weird to do, but this is a tell-tale sign that a car was involved in a flood. When a car is flood-damaged, water always gets into the cabin, and when it’s had a chance to dry off, no matter how much scrubbing and cleaning the dealer attempts to do, there will always be a permanent “watery mildew or moldy” scent when you hold your nose up to it. To give you a better idea, imagine a wet towel that’s been sitting in a backpack for a few days with no access to clean air. Once you pull it out, the towel will emit a mildew or musty odor akin to previous water exposure, and typically, even after a few washes, that stale water smell will still linger for a while afterword. In some cases, if a formerly flood-damaged car has been left out in the heat, you’ll be able to smell it as soon as you open the door.

 

CHECK FOR MOISTURE BUILDUP

Does the windshield have condensation on the inside? On the headlights or tail lights? Instrument panels? These are more indications of flood damage and if noticed, proceed with caution. Moisture buildup - especially if it comes near the electronics can be the final nail in the coffin for a car, as typically, this leads to rusty wiring connectors which will eventually lead to failed electronics, which will ultimately leave you stranded on the highway, only to be saved with an expensive repair bill.

 

CHECK THE UPHOLSTRY

A lot of times when a car is flood-damaged, the upholstery will have water stains, or in most cases, the dealer will have attempted to cut and re-upholster the interior carpeting. This can usually be an easier thing to spot since most dealers don’t pay too much attention to this aspect when they’re inspecting the car before putting it out on the lot. If you see this, there is a good chance the car is flood-damaged, and at that point, it’s best to avoid that vehicle.
 
 
CHECK FOR RUST

Everyone knows that rust is a car’s worst enemy. Flood water usually contains salt water and can lead to excessive rust on the body and, more importantly, the frame. If not detected, this can lead to the frame eventually becoming brittle and unreliable, which can lead to much more serious issues down the road in terms of safety and longevity.

 

BRING A FRIEND

Do you have a mechanic or a car-savvy buddy? Bring them along on your car shopping trip. They might be able to notice certain things that you might miss that would indicate flood damage or other related issues in the car’s history. I always recommend bringing a mechanically savvy friend along regardless, but, since it’s late in the normal car-buying season and cars are starting to make their way north from Hurricane impacted areas, this is a tip recommended now more than ever.

 

According to Jalopnik last year, CarFax estimated that there would be upwards of 800,000 cars affected by that summer’s hurricane season. With the way things are looking now, it looks like that number will be easily surpassed for this season as major auction sites like Copart and Insurance Auto Auctions take on thousands of flood-damaged cars, and individual owners attempt to “fix” and pawn off their older rides to people like you and me. In short, be cautious, ask questions, and if anything appears to be shady, turn and walk away – no car is worth burning a hole in your wallet.

 

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