Years ago on the 1st and 2nd generation Fits, I'd noticed that the vast majority of used examples on Craigslist are salvaged or rebuilt. That still holds true today with the 3rd generation. If you go on Craigslist, at least here in LA, it's safe to say 80% of the Fits are salvaged and rebuilt. That is far, far, far more than any other car that I've seen on there.


Why is it that there so are many more salvaged Fits than any other car for sale online?


It's a mystery that's baffled me for years......

 

Its a cheap car & the car is designed to buckle so you don't.

Frame damage, theft, etc. are commonplace with Fits.

 

This writer explains some of the reasons that Fits end up with salvage titles. Make sure you read both parts.

HackBlog: Fitting the Risk, Risking the Fit (part 1 -- the purchase)

 

TL;DR any summary?

 

^I already answered the question.

Cheap car = 75% of the car's value in repairs is quickly surpassed.

Yeesh.

 

It makes total sense that it's a cheap car, and in this day and age of expensive airbags, sensors, and electronics, it's easy to surpass the totaled value.
But the main question is why is almost every used Fit on Craigslist salvaged? If you look at comparably priced cars (Accent, Sonic, Fiesta, Versa), only a small portion of them are salvaged. But for years, almost every Fit on Craigslist is rebuilt.

 

Could there be a lot of flood cars? I would think insurance auctions are where many go after any kind hard hit and the cost to the winning bidder must be low. A salvage titled Fit will sell easy if it looks good and is cheep. I think it's because more people just can't afford to buy new and a running later model Fit is a lot of car for a low price. .

 

I've wondered the same thing about the glut of salvaged Fits in the SoCal area as well. My guess is that they are great commuter cars and the good ones are either snapped up quick or people just don't want to sell them.

The other point about cheap repairs is probably partially responsible, but I'm guessing that people like to hold on to them longer and thus a smaller inventory to choose from.

 

Thanks for the link, a good (but long) and informative read!

 

My assumption would be there is more money to be made in a salvage title Fit, Fiesta/Versas/etc., already go for near nothing with a clean title, salvage title Fit is a bargain alternative that still is worth something.

 

Actually any car that has been owned by an insurance company has to be sold with a salvage title . As an example, theft vehicles that have been paid off to the owner and later recovered are given a salvage title. The insurance company when determining whether to total a vehicle or not are looking to minimize their loss. They consider more than just the damage. If they total the vehicle they have additional costs for transport, storage, and auction fees. Then they get the return for the sale in the auction returned to them.

These are bogus number but here is an example. If a vehicle is worth $10,000 before the damage and the vehicle sells at auction for $5000 after deducting for the above expenses then their loss is only $5000. Using your %75 rule (it varies by company). 75% of $5000 is $3750. So any damage estimate over $3750 will total the vehicle. Totaling also eliminates any exposure of additional charges for undiscovered damage after the repair shop has started repairing the vehicle. The company would be responsible for these additional costs even though they were not listed on the original estimate. Also in most cases they are responsible for a rental vehicle while the damaged one is being repaired and they can not collect any premium while the vehicle is out of service.

As for the value of the vehicle once it is repaired, my insurance company (USAA) says they reduce the value by 15% to 40% with 25% to 30% being the norm. I have found that the payout to the customer on a totaled salvage vehicle is negotiable.

The rebuilder is really stuck with doing the repair as cheap as possible in order to make any profit. Lightly damaged salvage Fits can go for $6000 to $7500 at auction depending on damage, age, and mileage.

In some states salvage flood vehicles may not be issued a repaired title no matter how minor the flooding is. What the rebuilders do on those, is to title the vehicle in another state where it is allowed. I bought one in California cheap where they refused to issue a title after the owner fixed it. I transported it (actually drove it) to Indiana and got a repaired title on it here. The California thought he was going to have to export it to sell it. I drove that car for 7 years before selling it. It is still running around here. I have a friend that bought a Ford Sport-trac flood vehicle out of Michigan and has never had a problem with it in 3 or 4 years.

My daughter has owned 2 "repaired" Honda Fits. She totaled the first one by turning in front of a van and getting it rolled over on it's side. The second one she still drives today. The second one had a bent rear axle that we did end up straightening. Other than that we have done nothing to that car. We believe she bent it after we bought it because the original damage was on the opposite side front.

So salvage / repaired vehicles can be a good deal if you are careful and research them thoroughly. Get the VIN and go a google search. You usually can find pictures of the original damage before it was sold at auction.

 

Yep, it doesn't take much to total a Fit.

My '08 Sport was totaled a couple weeks ago by a driver running a red light. I just got the repair estimate yesterday: $10,800, and that's with aftermarket parts...no idea how much OEM parts would drive that up. Car isn't even worth half that with 146K. Too bad, I babied the engine, didn't burn a drop of oil even with that mileage.