Selling Salvage. What is The Loss in Retail Value?

Salvaged vehicles in the UK typically sell for 10–50% less than equivalent cars without salvage history or insurance category markers. The exact percentage depends on several factors:

Category S (Structural Damage):

• Reduction: 30–50% less
• These vehicles often suffer a higher depreciation due to the nature of structural damage, even if repaired to a good standard.
• Buyers are typically more cautious because structural repairs can impact the car’s safety, and resale might be harder.

Category N (Non-Structural Damage):

• Reduction: 20–30% less
• Category N vehicles fare slightly better since the damage is non-structural (e.g., cosmetic or electrical).
• If repairs are visibly minor and well-executed, the value loss may be closer to the lower end of this range.

Category U (Unrecorded):

• Reduction: 10-30% less
• Category U vehicles may not have accident damage, but they remain problematic to car buyers due to the potential for unresolved mechanical issues.
• Sold by a reputable dealer with a warranty the value loss can be as little as 10%, however many such dealers prefer to avoid the associated risks

Category X (Stolen / Recovered):

• Reduction: 10-20% less
• Category X vehicles typically have minimal damage, although extra care should to be taken in relation to infotainment and navigation systems – as these can often be tampered with in an attempt to disable GPS location services.
• Buyers will typically expect a reduction in price, but with a lower value loss that other types of salvage.

Key Factors Affecting Reduction:

1. Repair Quality: Poor repairs can further reduce value.
2. Make/Model: Luxury or high-performance vehicles may lose more value as buyers are more particular about repair history.
3. Age: Older cars with these markers may lose a smaller percentage of value as their pre-damage value is already lower.
4. Buyer Trust: Many buyers avoid salvaged vehicles altogether, so sellers need to stimulate demand through lower prices.

How do you price and sell previously salvaged vehicles? Use the comments to let us know!