The Appraisal Lane: Flood Damaged Car Buyers Beware

AUSTIN, Texas, Sept. 28, 2018 /PRNewswire-PRWeb/ -- With hurricane season in full swing and evacuations orders still in place around the Carolinas following Hurricane Florence, The Appraisal Lane™ urges car dealers and private buyers to be extra vigilant when spotting flood damaged vehicles. To help, the company is revisiting important tips it published last year in the aftermath of Hurricane Irma.

"There are a number of signs that indicate a vehicle has been damaged in a hurricane," said Chris Tomchay, Co-founder and COO of The Appraisal Lane and a seasoned auto auction expert. "Knowing what these signs are could save you hundreds of dollars – if not thousands – in lost profit margins and repair costs, not to mention plenty of headaches down the road."

Following is The Appraisal Lane's complete list of tips to spot a flood damaged vehicle.

(Use the acronym SMART to start)

S – Smell

Be on the lookout for musty, moldy smells in the interior of the vehicle which could indicate prior water damage.

M – Moisture

Pay attention to signs of moisture, such as damp carpets, upholstery, sun visors, and headliners. Examine the headlights and taillights for water, too.

A – Accumulation of Debris

Accumulation of mud, silt, grass, and debris under the bumper covers, in the wheel wells, in the engine compartment, and in air conditioning and heating vents could be signs of flood damage. Check the door panels for debris as well.

R – Rust and Corrosion

Check for rust on seat brackets attached to the floor, under the dash, and on the frame, springs, brake rotors, and drums. Look under the hood for corrosion on engine components and connection points. Pay particular attention to significant corrosion in the wiring and fuses.

T – Trunk Check

Check the trunk for remnant water lines which could indicate the car was submerged. When water reaches the depth of the trunk, it usually reaches the engine compartment and a substantial portion of the interior. Trunks also tend to be repositories for standing water and debris that receding water carries, including twigs, sand, and sludge.

A clean history report doesn't always mean a clean vehicle.

Don't always trust a clean vehicle history report since there can be lag time in the reporting of flood damaged cars to vehicle history reporting organizations. Even 60 or 90 days is enough time for a vehicle that would otherwise been deemed as 'salvage' or 'totaled' to be sold to an unsuspecting buyer.

There's a BIG difference between salt water and fresh water damage.

While fresh water submersion means damp upholstery or wet engine components that could ultimately be restored, salt water damage is altogether different. It can cause major corrosion to important vehicle components, including steering and electrical systems, transmissions, undercarriages, fuel systems, and body panels.

Beware of out-of-state registrations.

If a car that is registered in a known hurricane-impacted region suddenly shows up for sale in your market, be extra diligent, particularly now. "The major vehicle history reporting services highlight where a vehicle is registered which can be specifically tied to flood zones," said Tomchay. "However, if you're still uncertain, it's best to spend some additional time inspecting the vehicle using our SMART tips."

Flood damage isn't the only hurricane damage.

Small sized hail on a light colored exterior could go unnoticed, as could sand blasting from high winds. Be sure to closely inspect a car's exterior in proper lighting, preferably in sunlight and from various angles. If you're still unsure, solicit an inspection from a qualified body repair shop.

Tomchay concludes that not ALL flood damaged vehicles are bad news and says that some represent a value depending on the extent and type of damage.

"I'm all for buying a car at 0.50 cents on the dollar if it was submerged to the floor in fresh water, or purchasing a vehicle for 0.75 cents on the dollar if it was stranded on a ship in a salt water port and the manufacturer merely voided the exterior paint warranty," he said. "It really depends on the situation."

Simply put, make an informed decision when evaluating a vehicle purchase. Gather as much information as possible and do your homework. It could wind up saving you money and headaches in the long run.

About The Appraisal Lane™

The Appraisal Lane is a mobile app-based community connecting dealers with valuation experts and buyers to receive cash offers on used inventory. Fully optimized for mobile, the platform manages appraisal submissions, purchase offers, and dealer, appraiser, and buyer communications, as well as sales and fulfillment channel information. Among many other benefits, The Appraisal Lane gives dealers the ability to move used car inventory by providing accurate valuations; provide consistent consumer trade-in offers; the opportunity to white label the technology suite to power their own private networks; and the confidence to take used cars on trade without any risk, ultimately improving their business in the process.

SOURCE Appraisal Lane