In North America, a salvage title is a form of vehicle title branding, which notes that the vehicle has been damaged and/or deemed a total loss by an insurance company that paid a claim on it. The criteria for determining when a salvage title is issued differ considerably by each state, province or territory.

Are reconstructed titles bad?

How does a rebuilt title affect the value of a car? A vehicle having a rebuilt title will likely have a lower market value because it underwent significant damage. Compared to similar models with clean titles, a car with a rebuilt title could have 20% to 40% less value, amounting to potentially thousands of dollars.

Why are reconstructed titles bad?

You may have trouble selling your rebuilt car

Owners of cars with rebuilt titles need to maintain them carefully. Because these types of vehicles can be problematic, they're often difficult to resell. And if you do end up selling yours, chances are you won't make much of a profit.