How Much Should You Pay for a Salvage Car?

You should expect to pay roughly 30–50% of the comparable clean-title market value for an unrepaired salvage car and about 60–75% for a well-repaired, well-documented rebuilt title, with prices pushed lower (0–40%) for flood, frame, or airbag-deployed histories. The right price depends on damage type, repair quality, parts costs, inspection results, and your ability to insure and register the vehicle in your state.

What “salvage” really means—and how it affects price

A vehicle receives a salvage title when an insurer declares it a total loss after a crash, theft recovery, flood, or other damage. It’s typically not street-legal until repaired and re-inspected. After passing state inspection, it may be retitled as “rebuilt” (or “reconstructed”), but the brand permanently signals diminished value versus a clean title. Because the brand limits financing, insurance, and resale, buyers demand a discount even when repairs are excellent.

Price ranges at a glance

The following ranges reflect common U.S. market outcomes observed at dealer lots and major salvage auctions. Actual pricing varies by region, model, and condition, but these brackets are a practical starting point for setting your ceiling.

• Unrepaired salvage (heavy damage or parts-only): about 10–35% of clean-title value
• Repairable salvage that runs/drives with light-to-moderate damage: about 30–50% of clean-title value
• Rebuilt title, high-quality repair with documentation, no structural damage or airbag deployment: about 60–75% (occasionally up to 80% for high-demand models)
• Rebuilt with prior structural damage and/or airbag deployment: about 50–65%
• Flood vehicles: 0–40% (freshwater on minor electronics can be near the top; saltwater or water above the dash should be near zero)
• Hail-only salvage (cosmetic): about 55–75% depending on panel count and paintless repair feasibility
• Rare/exotic vehicles: wider swings; parts costs and buyer pool can push values below or above the typical bands

Use these ranges as guardrails, not rules. The safest approach is to price the car from the top down—starting at the clean-title value and subtracting for risk, repair costs, and lifelong diminished value.

How to calculate a safe offer

To avoid overpaying, work from a clean-title baseline and subtract for every known and likely cost. This method protects you from surprises and bakes in the long-term resale penalty.

1. Find the clean-title market value for the same year/trim/miles using multiple guides and local comps.
2. Verify the damage history and title brand in a full report (accidents, flood, airbag deployment, prior structural damage, theft). Cross-check auction photos if available.
3. Get a realistic repair estimate from a trusted shop, including alignment, ADAS calibration, paint blending, and supplemental damage. Use OEM part pricing for a conservative estimate.
4. Add a 15–30% contingency to the repair estimate to cover hidden issues discovered during teardown.
5. Apply a permanent “brand discount” to reflect diminished value and resale friction:
   – 25–40% for rebuilt titles with clean repairs
   – 40–60% for prior structural/airbag/flood
6. Subtract fees and friction: inspection and title fees, shipping/towing, buyer’s premiums (auctions), and any diagnostic costs.
7. Confirm insurance and financing availability before bidding; inability to carry comprehensive/collision should reduce your price or end the deal.
8. Set a hard ceiling and walk if bidding exceeds the calculated cap.

A practical shorthand: Max Offer ≈ Clean-title value × (1 − brand discount) − (Repairs + contingency) − extra fees − a risk buffer for unforeseen issues.

Factors that move the price up or down

Beyond damage severity, several variables meaningfully shift what a salvage or rebuilt car is worth to you and the next buyer.

• Type of damage: cosmetic/hail is discounted less; flood, frame, and airbag deployment cut deepest
• Repair documentation: detailed parts invoices, alignment sheets, frame specs, and before/after photos support higher offers
• Drivability: “run and drive” cars command more than non-starters
• Model desirability: trucks, SUVs, and high-MPG or hybrid models hold stronger floors; niche luxury vehicles can be volatile
• Parts availability: common models are cheaper to fix; aluminum or advanced driver-assist systems (ADAS) increase repair costs
• Mileage and age: newer, lower-mile cars justify higher salvage percentages if damage is light
• Regional rules: some states make inspections and retitling harder, lowering local prices
• Insurance realities: some carriers offer only liability on branded titles; limited coverage lowers value
• Seasonality: winter storms boost demand for inexpensive transportation; tax-refund season can lift prices

These considerations explain why two seemingly similar salvage cars can sell thousands of dollars apart—and why documentation frequently pays for itself.

Where prices are landing in today’s market

As of 2025, mainstream used-car prices have cooled from their 2021–2022 peaks, but strong demand keeps salvage auction floors firm for popular models. Run-and-drive repairables often trade around one-third to one-half of clean value before repairs. Flood cars trend sharply lower, especially saltwater-exposed vehicles and modern EVs where high-voltage battery contamination risk is costly. Well-repaired rebuilt titles with complete documentation can transact near two-thirds of clean value, with premium trucks and hybrids sometimes edging higher.

Red flags that should drop your offer—or end the deal

Certain findings introduce risks that are hard to quantify and expensive to fix, warranting a steeper discount or a walk-away.

• Waterline inside the cabin, corrosion in connectors, or brine residue (especially near battery packs)
• Frame rails kinked or heat-straightened; missing factory welds or crushed crumple zones
• Airbags not replaced (warning lights bypassed), mismatched modules, or counterfeit parts
• Unibody sectioning outside OEM procedures, poor panel gaps, or overspray indicating shortcut repairs
• Persistent diagnostic trouble codes, especially for ADAS, airbags, or charging systems on hybrids/EVs
• Title washing or inconsistent VIN tags/stickers across panels

If you find multiple red flags, assume higher lifetime costs and a tougher resale; the rational price may be far below market—or zero.

Example: running the math

Suppose a clean-title value for a 5-year-old compact SUV is $15,000. It has a salvage title with light front-end damage and runs/drives. A shop quotes $3,500 to repair (bumper, condenser, headlight, ADAS calibration). You add a 25% contingency ($875) and a $500 risk buffer. You choose a 35% brand discount for a future rebuilt title with no structural/airbag issues.

Max Offer = $15,000 × (1 − 0.35) − ($3,500 + $875) − $500 = $9,750 − $4,375 − $500 = $4,875.

In this scenario, bids above roughly $4,900 stop making financial sense.

Financing and insurance realities

Most banks avoid financing true salvage vehicles; some credit unions and specialty lenders may consider rebuilt titles with strong documentation. On insurance, many carriers restrict coverage to liability only for rebuilt titles or charge higher premiums; comprehensive/collision is often limited or denied. Confirm both before you commit—or reduce your maximum offer to compensate.

Bottom line

For an unrepaired salvage car, target 30–50% of clean-title value, sliding lower for flood and structural damage. For a well-repaired, well-documented rebuilt title, 60–75% is common, with the upper end reserved for light, clearly documented damage on desirable models. Always price from the clean value downward, subtracting repairs, contingencies, fees, and a risk buffer—then stick to your ceiling.

Summary

Expect deep discounts versus clean titles: about 30–50% for repairable salvage and 60–75% for quality rebuilt cars, with flood, structural, or airbag histories pushing values lower. Verify damage, document repairs, confirm insurance/financing, and use a disciplined, subtraction-based formula to set a hard maximum offer.

How much do you normally get for scrapping a car?

Junk yards pay around $250 to $500 cash for junk cars.
Prices may vary as scrap metal prices change. There are also many places that buy junk cars, so make sure you choose one that aligns with your needs, and your expectations. Pull-A-Part offers top prices for junk cars and pays in cash.

Is it wise to buy a salvage car?

Perhaps the biggest risk of buying a car with a salvage title is safety. These vehicles have often sustained severe structural damage in an accident, the extent of which you may never know. The repair shop may have taken shortcuts or used cheaper parts to fix the vehicle. Also, some damage may not be immediately known.

How to determine salvage value?

To determine salvage value, you can use the “percentage of original cost” method (original cost x estimated salvage percentage), have an asset appraised by a third party, or research industry-specific data like market prices for scrap metal or comparable assets to estimate the value of the asset after its useful life. For damaged items, especially cars, the salvage value is often determined by the potential price for its parts or the raw materials it contains. 
Here are common methods to determine salvage value:
For Assets in Accounting: 

• Percentage of Original Cost: This is a common method where you estimate the salvage value as a certain percentage of the asset’s original cost.
  • Formula: Original Cost \* Anticipated Salvage Value Percentage = Salvage Value
• Third-Party Appraisal: Hire an independent appraiser to provide a report on the asset’s expected value at the end of its useful life.
• Industry-Specific Data & Comparable Assets: Research data from your industry to estimate the value of similar assets or use data from your company’s previous experiences with similar assets.

For a Totaled Vehicle: 

• Market Value for Parts/Scrap: Opens in new tabThe value is based on what the car’s components or the scrap metal it contains will fetch on the market.
• Current Market Prices: Opens in new tabLook at current prices for scrap metal and the demand for parts from that specific make and model of the vehicle.
• Insurance Estimates: Opens in new tabAn insurance company will typically assign a salvage value if the cost to repair the car exceeds the cost to replace it.

Factors to Consider:

• Market Demand: The willingness of the market to accept a damaged item influences its value. 
• Condition of the Asset: The extent of damage, wear and tear, and other factors like mileage will impact the value. 
• Comparable Data: Using data from similar assets that have reached the end of their useful life can provide a good estimate. 

How much can I get for a salvage car?

Typically, salvage value is about 20 to 40 percent of the car’s pre-accident market value (for example, its Kelley Blue Book value), but the exact amount depends on factors like: Vehicle age and mileage. Severity of the damage.