Salvage Cars Significance in Automobile Industry

The business of salvage cars and the parts of such cars contribute to a major part of automotive/automobile industry in the US economy. It has provided jobs for thousands of people not only in US but elsewhere in the world. There are uncountable companies today which make their livelihood out of this business. In this article we will see the practical aspects of salvage car business, precautions to be taken while buying such cars and factors that affect the resale value of such cars.

The salvage titled car is one which faces damage in many ways like a natural calamity like flood or earthquake and mainly by a road accident. Such cars are usually rated with a very less value or even of no value by the insurance companies in the US. The factors that affect this value are the current value of the same car in the market. If the expenditure to repair the damaged car is more than half of its current price, it will be declared as salvage motor.

Then how do such cars get buyers? And how did this salvage business flourish?

Over the period of a decade these cars managed to get a good number of buyers, so much so that the business expanded its reign into the internet world. Not only the auto auctions are held in different parts of the country but also conducted in many websites. The resale value of such cars is individually decided by the buyers but generally, the buyers get carried away with the value declared by the insurance companies.

The reason for this is the extent of damage done to the car. Even after the car is repaired and is ready for use, it is viewed with high suspicions regarding the healthy working of the engine. The buyers generally used to prefer used cars over salvage title cars. Overcoming these hurdles, the automobile auctions performed considerably well in terms of specific salvage cars like Ford and Chevrolet. Sometimes the auto auctions even conduct exclusive ford salvage car auctions and Chevrolet salvage car auctions.

The buyers mainly look at the brand names of automobiles in such cases.

The online presence of this business is through certain websites which allow viewers to actively participate in online auctions and online sale and purchase of repaired cars, damaged cars and salvage title cars. There are two ways of doing this business; one is to buy them and have them in the junkyard. They are also called as Salvage Yards. Owners preserve them in a junkyard and buyers just choose a car of their wish and purchase it. Or even take a few parts from salvage cars and pay only for the parts. This type of business is usually termed as You-Pull-It-Yard. The other way of doing is to buy such cars, repair and sell them or even auction them. There are many companies and individual owners doing this work in their websites.

There are websites which sell reasonably cheap and good salvage cars online; which are mostly privately owned. There are also the US government websites which give information of different used cars like http://www.bar.ca.gov and http://www.vehiclehistory.gov. These are maintained by the government so you need not worry about the duplicate content issues.

As much as it is advantageous and profitable business, certain precautions should be taken while purchasing these cars from dealers. Be careful of fraud dealers who fake the authenticity of the repaired cars. Some tips to value the rates are: find out the exact value assigned by the insurance company of that car before purchasing it, compare the value of salvage car with that of a new car of the same model. By doing this, one will clearly know the genuineness of the proposed rates. Some dealers also include the repair cost into the resale cost. Exclude any such repair costs when you buy salvage cars or salvage auto parts; make sure you clearly have an idea of the market rates of all automobiles.

Find out about more dealers and junkyard from the store locator provided in various websites including the two sites mentioned above.

Visit Auto Salvage Yard to Get Used Car Parts

When it comes to auto salvage yard, people tend to think of automobile graveyard with piles of unused auto parts. But when you get into more details, you will notice that it is a goldmine of auto parts where many viable parts from inoperable vehicles can be collected and reused. Auto salvage is an activity of removing, reusing auto parts from broken down vehicles and disposing of the remaining portions of the vehicle that is not to be salvaged. All this work is done at auto salvage yard, also called as auto recycler. Its entire process will prevent any possible waste of usable auto parts and materials from non-operable cars, and contributes to environmental effort by recycling as many parts as possible.

As automobile industry is one of the largest throughout the world, it is causing environmental issue at the same time. By reusing as many parts as possible, the auto salvage industry is trying to lessen the problem on a daily basis. From a business viewpoint, the auto salvage industry is on the growth trend as there are many foreign vehicles that keep being added to the inventory and sometimes those vehicle parts are not easy to find from regular part store. Some part are old and rare, therefore the price is expensive regardless of its size and age.

The advantage

Almost every state has at least one salvage yard where people easily get access to and collect what they are looking for. If you are looking for any specific parts from a certain model and year, then it is worth to pay the visit to the salvage yard first. There are many parts available ranging from entire body frames, tires, bumpers, motors, transmissions, all the electronics, etc. You might be surprised how easy it is to acquire what you need and the significant difference of prices tags as well. You can also lower the cost of repair and the insurance rates if there is a repair questions included in the insurance claim.

Usually they keep a good inventory list of parts which are well categorized, it is best for you to call them for specific parts that you are looking for, so you might be able to save time. Nowadays, they began to use a database system on the computer to manage all their parts and vehicles lists, so it is easy for them to locate any particular parts either by name, description or even part number. Once you arrive to the place, you will have a choice of picking a particular part among several different ones.

Besides all the advantage you can take out of as mentioned above, Auto Salvage Yard is an interesting place to visit, and you can get a good deal of getting hard to find parts yourself with great price.

Wholesale Salvage Merchandise: A Definition

Wholesale salvage merchandise is a product category used in the wholesale and closeout business to refer to merchandise that has either been damaged, or has been exposed to a situation in which the potential for damage is high. Salvage is a term that was first used to refer to products that were transported on trains that derailed. For instance, if a train was transporting a container of electronics, and a derailment took place, the insurance company would pay the owner of the load for the damaged electronics. The insurance company would then take possession of the damaged merchandise and dispose of it through wholesale channels. A salvage buyer primarily purchases inventory that could have become distressed due to an accident, fire, or flood. While the salvage buyer can purchase this type of inventory for literally pennies of the original wholesale cost, he must sort the products out and try to repair any damaged merchandise.

The salvage category is appropriate for a retailer that has access to consumers that can tolerate slightly damaged merchandise in exchange for the implicit savings. A salvage reseller should consider purchasing items where the potential for damages is diminished. For example, a television has a much greater change of being damaged if a truck transporting it crashes, than a pair of jeans would. And because it is much easier to sew clothing than it is to repair general merchandise, most experienced salvage buyers will prefer to focus on apparel, and soft goods for that matter. Because of the nature of this wholesale category, it is imperative that buyers inspect the goods in person, so that they can ascertain what percentage of the inventory can be sold as is, and the cost involved in repairing any damaged items. If an inspection is not possible, the buyer would want to obtain a low enough price that will mitigate his risk in making a purchase sight unseen.