Are insurance companies willing to insure a bike that had a salvage title but was repaired and given a clean title? and when selling a bike like that as a private seller are you required to tell the purchaser the bike previously had a salvage title? Just thinking about a side job repairing thrashed bikes and reselling them. Trying to figure out if its worth it or if anyone else here does that Gracias Beeb. Flame away
As far as I know, once it has a salvage title, it always has a salvage/restored title. Should be able to insure it with no problems, but only for liability coverage, not full coverage.
There are ways to 'wash' a title, although highly illegal. It should be a 'rebuild' title if it has been repaired to glory. You can sell a salvage titled bike no problem, but as TSAVO said, you can only get liability on it in 98% of the cases.
You'll have to get the bike inspected by the DMV. The title will turn from a salvage to a rebuilt title.
The 2% u speak of I must have experienced cuz I grew up in Michigan.....and u could get full coverage there. I've lived in KY 3 years now and have full coverage on a rebuilt title. Car. Haven't tried a bike yet though.
Depending on the state, some call it a "Reconstructed Vehicle" or some other wording. Call an agent for your insurance company that is in your state (big insurance companies have agents all over the place, and their customer service lines may not get you somebody who knows about your state.) Tell them that you are considering purchase of a vehicle with a reconstructed or rebuilt title, and ask if they will give full coverage on it. Some will send an appraiser free of charge to look the bike over and note any pre-existing damage. Progressive did that when I bought a Reconstructed-Title GSXR750. It had a dent in the frame, the guy photographed that and said that any future claim would not cover the replacement of the frame "for that specific damage." I thought that was pretty reasonable, the coverage was priced well, so I bought the coverage. I had already bought the bike.
rebuilt titles in FL have accompanying stickers placed by the vin #. I think the state limits you to rebuilding 3 a year or so as a private party. Honestly I think you'd make more money parting bikes out then rebuilding them. Or buying clean title bikes at distressed prices. Otherwise you have to steal to be profitable!
I bought a bike from a salvage yard in NJ (with a salvage title) and when I transferred it to DE I got a clean title. I'm pretty sure someone at the DMV just screwed up because I've purchased a few salvage title bikes over the years and have never seen that before, but it can happen! You're right though, once salvaged it should always be annotated as such.
It completely and totally depends on the state as to whether you can even do this and how it's done. Do your homework before you decide to mortgage the farm on this business.. Some states allow for salvage titles to be inspected and reissued as "prior salvage". Some have varying degrees of salvage/junk. And the states are NOT necessarily reciprocal of another state's title condition (other than a normal title). So effectively, you can have a salvage vehicle, rebuild it, get it inspected as prior salvage and a buyer tries to take it to another state where they won't title it. Suffice it to say that the biggest thing you need to know is that each state treats this differently and requires different licensing in order to buy/sell salvage vehicles. So start with your state first and figure it out from there...
Thanks for the info. Yeah im def. not dumping a buncha money into anything right off the bat. Im just looking eventually start some type of business I enjoy & I like bikes so I figure why not. seems like a great way to get a away from my desk job and make more money.
Fixed that for ya! Seriously, look closely into it and start jotting down all the 'gotchas' from fuel to go buy shit to licensing to tools to disposal of all the shit you don't use/need. If it was a pure goldmine you'd see more people doing it. The margins are VERY slim at best. People who know what they are doing and manage a large salvage business on top of it can profit decently. Everyone else? It's just a time killer.
If you counted every min/hour/mile... its slim pickins. All you need to do is show up at an auction and see the characters bidding. $2k for a burned up bike on a pallet that has a clean title/visible vin. $4k for clean title HD frame w/ visible #s. Anything with clean paper work brings the $$$
EXACTLY... And when you're in business, well, you kinda have to count every min/hour/mile. 2 kinds of people make money doing this. Auction houses and MAJOR salvage players. Everyone else is simply a part of the learning curve..
