Well…let’s see…there does seem to be a diversity of opinion here.
First we have the notion that there should be no discount at all on Katrina cars, since the bad ones were sent immediately to the crusher.
Then we have the opinion that all Katrina cars aren’t even worth 2 cents on the dollar (which by the way is a 98% discount which is actually an answer to my question).
I would disagree with the notion that I should expect no discount.
This site says, “These damaged cars, sometimes called “Katrina cars,” can occasionally be repaired, returned to “like new” condition, and sold to interested parties. Thousands of these damaged cars, trucks and other vehicles are sold at reasonable discounts at auctions all over the country.”
This site says,
"Serious natural weather events that damage and destroy cars also present an opportunity for people who want to pick up great bargains, especially with repairable and rebuildable vehicles that have been declared total losses by insurance companies. As long as the seller is honest and up-front with what is being sold, and the buyer is completely aware of what he is purchasing, some outstanding deals can be had. "
I know from experience that cars with salvage titles are sold at significant discounts - 20% was not unusal - even when they had been restored to “like new” condition. You can argue that if it is “like new” then there SHOULDN’T be a discount, but the reality is that with the stigma of salvage or storm damage these cars ARE sold at a discount.
May I revise my question? Does anyone have experience buying or selling a car that has a storm damage registration notation? If so, how much of a discount do you believe was due to this notation? If there was no discount, why didn’t the buyer receive one since this appears to be common practice?