What is Salvage title? How to articles US States Rebuilt Title Rules

How To Register and Insure Salvage Auction Cars in Oregon?

By Mike Richards Updated: 05/22/2019 Posted: 10/17/2015

Many buyers in Oregon have discovered that buying used cheap cars from auction can be a great way to get a vehicle without spending a lot of money. While it is certainly a good way to get a car, it’s important to understand the rules and regulations for titling some of these vehicles in the state. If the vehicle has a normal, clear title, there will be no problem registering it in the same manner as any other vehicle you might buy. However, many of the used cheap cars have salvage titles. This doesn’t mean that you can’t get them back on the road though. You merely need to follow the state’s regulations to do so.

 Getting a Reconstructed Title

You can receive a reconstructed title in Oregon if the vehicle meets certain conditions. First, it needs to have a body that is close to the make and model of the original vehicle. It can’t have been rebuilt by the manufacturer, nor can it have been built in a factory where the make and model are assigned by the factory. In addition, you can’t get a reconstructed title for a replica car. When the car is properly rebuilt, you will then be able to fill out your application for the title and registration. At that time, you have to provide them with the salvage title for the vehicle, as well as a bill of sale, or a release of the title from the previous owner. You also need to provide a bill of sale for all of the major components that went into building the vehicle. This is to ensure that you or the garage did not use stolen parts for the vehicle’s reconstruction.

The vehicle will need to pass an emissions test, get a VIN inspection, and you will need to provide proof of insurance, which we will discuss in the next section. You also have to pay the title, registration, and plate fees for the vehicle. The fees vary based on the type of vehicle you have, and they are subject to change.

Once you’ve gathered all of the paperwork for the cheap used cars, you will provide it to the DMV and they will then issue you the reconstructed title, and you will be registered so you can take the vehicle out onto the road. So long as you have everything in order, you will be able to get the plates and stickers while you are at the DMV.

 Getting Insurance for the Cheap Used Cars

When you initially buy the vehicles that have salvage titles, you can’t get immediate insurance on them. You first need to rebuild them, and then you can find insurance companies that will offer coverage. However, most of the companies will only be willing to offer liability coverage for the vehicle. This type of coverage will take care of damages to other people resulting from an accident in which you are the cause.

If you want to have greater amounts of coverage for your vehicle, you will find that it tends to be a bit more difficult. Many of the insurance companies do not like to offer comprehensive or collision coverage for reconstructed vehicles because they don’t have a good method of evaluating the actual value of the vehicle. That’s not to say that all insurance companies will decline you though. Some companies may be willing to provide you with coverage, and it is a good idea to speak with your current insurance company, as well as others, to see what they might be able to offer.

If you find some wonderful cheap used cars through an online auction or an in person auction, make sure you understand whether they have salvage titles or not. Consider how much it will cost to repair those vehicles, and then determine whether it is worth buying or not. The process of getting a reconstructed title for these vehicles in Oregon is not very difficult, but it will take a couple of additional steps on your part. If you can find a nice vehicle for cheap though, it could be a good decision to buy.

Read more on the official Procedures in This State, or on Rebuilt Title Laws for Other US States. Explore our Vehicle Auctions and find info on Buying With Us.