Watch out for flood-damaged vehicles being sold across the United States. Here’s how to safeguard yourself.
If you’re considering purchasing a used car, be cautious of vehicles that may have been damaged by floods or water. These cars might have been cleaned up and sold to unsuspecting buyers.
Estimates suggest that around 347,000 vehicles were affected by flood damage this year due to the hurricane season, according to CARFAX. Hurricane Milton alone is said to have caused damage to approximately 120,000 cars in Florida, while Hurricane Helene impacted about 138,000 across multiple states. Additionally, up to 89,000 vehicles suffered damage from minor storms over the summer.
“The pictures of cars floating in the streets or sitting in floodwaters are generally the types that get sold cheaply to potential con artists,” stated Em Nguyen, CARFAX’s public relations director, in an interview with YSL News. “They might clean them up and try to resell them either locally or in different states.”
“Even slight water damage can lead to serious issues,” Nguyen warned. “It can cause electrical failures, and repairs can be very expensive. Water in the engine or oil system can destroy the engine.”
“Despite looking like new, the vehicle could be deteriorating from within,” she added.
The Dangers of Water-Damaged Cars
According to Michael Crossen, lead automotive technician at Consumer Reports, water can be harmful to all components of a car.
Various forms of water exposure—such as vehicles submerged during floods, cars driving through flooded intersections, or even convertibles caught in heavy storms—can result in damage, Crossen explained to YSL News. Furthermore, mold or mildew can develop in flood-affected cars, potentially leading to health issues for future occupants.
“Rainwater, freshwater, or seawater can all be problematic. However, saltwater is particularly damaging,” he stated.
If your vehicle has been submerged in water, do not attempt to start it. Instead, have it towed for inspection, advised Crossen.
While some minor water damage might be manageable, a car extensively affected by flooding will likely be deemed a total loss by insurance companies, he noted.
Crossen does not recommend buying a vehicle with known water damage.
What Occurs to Vehicles Post-Flood?
After an insurance company assesses that a vehicle is beyond repair, it may be sent to auction because its parts still hold value, according to Crossen. Some vehicles end up in junkyards, where components like wheels, tires, or body parts are salvaged.
Some might even be exported to other countries, he added.
However, a number of flood-damaged cars could be bought by repair shops or individuals who claim to “dry them out, replace the seats and carpets, and perform any necessary repairs to make the car operational for resale.”
This approach is legitimate if the repairs are conducted properly, and it’s legal in many states, said Crossen.
“Ultimately, it relies on the quality of the repair work, though corners are occasionally cut,” he cautioned.
Some dishonest sellers may attempt to sell cars without revealing their flood-damaged history, he warned.
“In general, I advise against buying any car known to have been flooded, unless you are thoroughly familiar with its history, like knowing it belonged to your neighbor and was only exposed to brief rain,” Crossen advised. “But even in such cases, hidden problems can arise later.”
How to Identify Water Damage in a Vehicle
“We want to ensure that potential buyers are informed that there are currently thousands of cars on the market that may carry significant issues,” Nguyen from CARFAX stated.
Car shoppers can visit www.carfax.com/flood to enter a vehicle’s identification number (VIN) and obtain a free report detailing any reported water damage. While this report cannot guarantee all damage will be noted—especially in private sales—it may provide useful information, Nguyen noted. The report will highlight any flood or water damage if present and although flood damage is more critical, water damage should also raise concerns, even if it doesn’t always result in a flood-branded title.
Nguyen and Crossen recommend having a trusted mechanic conduct a third-party inspection of the vehicle.
Look for any signs indicating the vehicle has been cleaned or repaired, such as damp or mismatched upholstery or carpeting. Check for rust on the gas or brake pedals, inspect the area under the dashboard for brittle wiring, and look for signs of mud or silt in unexpected areas. Ensure there is no water pooling inside the headlights or tail lights.
Also, fully extend the seat belt to check for a water line marking, indicative of submersion. Additionally, examine the pockets behind the seats or door compartments for any presence of sand or dirt.
In some rare situations, electric vehicles that have been exposed to water damage may also face a risk of catching fire.
Vehicles Damaged by Floods Aren’t Just Sold Locally
Consumers, even those living far away from regions affected by floods or hurricanes, may still encounter flood-damaged cars available for purchase, according to Crossen.
It’s not just individual vehicles that suffer from flooding; car dealerships often face flooding on their lots too, leading to damaged inventory, he explained.
“It’s a domino effect, and that’s why you see flooded cars showing up in other locations,” he said.
Some of these vehicles might be transported across the nation, where potential buyers wouldn’t suspect they were previously flooded, even though they were, Crossen added.
He also mentioned that it might take several months post-hurricane or flood for these damaged cars to surface in other regions of the country.
Crossen recommends obtaining a CARFAX or a similar history report for the vehicle in question. Additionally, Consumer Reports suggests using the National Motor Vehicle Title Information System, which links to government-certified providers of vehicle history reports. This system aims to combat “title washing,” a process where totaled (or stolen) vehicles receive clean titles in states with fewer regulations.
Title regulations differ by state. However, when a flood-damaged car is declared totaled, it should receive a new “salvage title.” These titles are typically marked clearly (also referred to as being “branded”) with the terms “salvage” or “flood,” as noted by Consumer Reports. In some jurisdictions, this warning may appear as a subtle letter or number code on the title.
Vehicles with salvage titles cannot be registered until necessary repairs are completed and the vehicle is re-evaluated by officials to receive a “rebuilt” title, allowing for resale.
Nevertheless, some flood-damaged vehicles might reappear with clean titles due to lenient regulations in certain states or sellers attempting to shift cars from state to state to obtain a clean title, he noted.
As a precaution, Crossen advised against purchasing any vehicle with a salvage title.
“There are just too many uncertainties,” he cautioned.