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New vehicles with hail damage repaired by dealership

Posted on 5/21/20 at 3:33 pm
Posted by TigerLord2020
Member since May 2020
1174 posts
Posted on 5/21/20 at 3:33 pm
If a dealership repairs hail damage on their new vehicle inventory and sells it should there be a big discount?
Posted by Ed Osteen
Member since Oct 2007
59355 posts
Posted on 5/21/20 at 3:34 pm to
why would there be a big discount if the damage is fixed?
Posted by SelaTiger
Member since Aug 2016
21961 posts
Posted on 5/21/20 at 3:38 pm to
I don’t know, but it should be disclosed at least. Then you can bargain for a discount.
Posted by LSU316
Rice and Easy Baby!!!
Member since Nov 2007
30308 posts
Posted on 5/21/20 at 3:39 pm to
quote:

If a dealership repairs hail damage on their new vehicle inventory and sells it should there be a big discount?


To many variable to really know.

If the hail damage was widespread to a lot of areas which probably means a lot of replaced panels....are the replacements OEM? There are factors in this case that could lead the answer to your question to go either way.

Or if the hail damage was relatively minor and the repairs can be done via PDR where there is no structural or paint integrity loss...then the value loss would be minimal.

ETA

quote:

but it should be disclosed at least


This is absolutely true regardless of the extent of the damage.
This post was edited on 5/21/20 at 3:40 pm
Posted by TheCaterpillar
Member since Jan 2004
76774 posts
Posted on 5/21/20 at 3:39 pm to
Dealerships make out like bandits from insurance after hail storms if they play it right.

Posted by LSU316
Rice and Easy Baby!!!
Member since Nov 2007
30308 posts
Posted on 5/21/20 at 3:40 pm to
quote:

Dealerships make out like bandits from insurance after hail storms if they play it right.


Are you saying the commit insurance fraud?
Posted by LNCHBOX
70448
Member since Jun 2009
89437 posts
Posted on 5/21/20 at 3:40 pm to
quote:

If a dealership repairs hail damage on their new vehicle inventory and sells it should there be a big discount?



It's repaired, why would there be?

ETA: Like other said, it should absolutely be disclosed, and you should be extra thorough in your pre purchase inspection.
This post was edited on 5/21/20 at 3:44 pm
Posted by S1C EM
Athens, GA
Member since Nov 2007
11594 posts
Posted on 5/21/20 at 3:43 pm to
quote:

why would there be a big discount if the damage is fixed?


Same reason that a fully repaired car with an accident history usually has a significant markdown. Repaired or not, it has damage history.
Posted by Beessnax
Member since Nov 2015
11484 posts
Posted on 5/21/20 at 3:43 pm to
quote:

Are you saying the commit insurance fraud?


They are fraudulent to anyone who does business with them, rain or sunshine
Posted by LSU316
Rice and Easy Baby!!!
Member since Nov 2007
30308 posts
Posted on 5/21/20 at 3:45 pm to
quote:

They are fraudulent to anyone who does business with them, rain or sunshine


Meh....getting roped into shady sales deals and even shadier finance deals isn't really fraud....it's just the effect of the fact that most people buying cars are plum dumb when it comes to actually doing that task.
Posted by BuckyCheese
Member since Jan 2015
57778 posts
Posted on 5/21/20 at 3:48 pm to
Hail damage, rock chips, etc do not have to be disclosed if repaired.

Why would you think something like paintless dent removal have to be disclosed? I've seen hoods repainted due to rock chips without disclosure as it's not necessary.


On the flip side, I saw a new Camaro SS come in with a smashed quarter panel due to some hotdog spinning donuts at the loadout. That went back to GM. Those will often go to a tech school for repair training and then are crushed.
Posted by Ed Osteen
Member since Oct 2007
59355 posts
Posted on 5/21/20 at 3:48 pm to
quote:

Same reason that a fully repaired car with an accident history usually has a significant markdown. Repaired or not, it has damage history.



I get what you are saying but repaired hail damage isn't the same to me as an actual moving accident with repairs. It should be disclosed but I don't see why a buyer should expect a big discount for a vehicle with repaired hail damage. If a window on a lot vehicle is broken and replaced, would you expect a discount?
This post was edited on 5/21/20 at 3:50 pm
Posted by RichJ
The Land of the CoonAss
Member since Nov 2016
6175 posts
Posted on 5/21/20 at 3:54 pm to
quote:

Dealerships make out like bandits from insurance after hail storms if they play it right.


It is astonishing what dealerships pay for insurance to cover "Acts of Nature"...
Posted by S1C EM
Athens, GA
Member since Nov 2007
11594 posts
Posted on 5/21/20 at 4:00 pm to
quote:

Hail damage, rock chips, etc do not have to be disclosed if repaired.


Rock chips, sure. Hail damage is generally reported. SHows up on a carfax as "other damage".

quote:

Why would you think something like paintless dent removal have to be disclosed? I've seen hoods repainted due to rock chips without disclosure as it's not necessary.


It depends on the extent of the damage. One or two dents, I could see getting away with it. A car that's had the entire top-side pelted with dings? All of those can't be removed to like-new condition. That's another matter. I can see your side of it, too, don't get me wrong.
Posted by S1C EM
Athens, GA
Member since Nov 2007
11594 posts
Posted on 5/21/20 at 4:03 pm to
quote:

I get what you are saying but repaired hail damage isn't the same to me as an actual moving accident with repairs. It should be disclosed but I don't see why a buyer should expect a big discount for a vehicle with repaired hail damage.


I guess it just depends. Many dealers have "Hail Sales", so you might want to ask them why they go out of their way to imply that they are discounting cars with hail damage. Seems like a risky precedent to set if you want to take the angle that those vehicles have no diminished value.

quote:

If a window on a lot vehicle is broken and replaced, would you expect a discount?


No, but a window isn't really the same. Body panels that have been in bad hail storms can never be perfectly made new again. There will always be evidence of the damage somewhere on a less pliable area of the frame.
Posted by BuckyCheese
Member since Jan 2015
57778 posts
Posted on 5/21/20 at 4:15 pm to
quote:

Rock chips, sure. Hail damage is generally reported. SHows up on a carfax as "other damage".



Hail damage that is reported is pretty heavy hail damage. Not just a few dings.

Fixing a rock chip takes a lot more than fixing a few hail dings. You're generally repainting an entire panel depending on where it is. Hood for instance.
Posted by LSU316
Rice and Easy Baby!!!
Member since Nov 2007
30308 posts
Posted on 5/21/20 at 4:29 pm to
I'd wager a bet to say that more hoods are replaced due to hail damage than probably any other type claim....I don't know that for sure but I know that hail does a number on a hood and most hoods these days have lines in them that just aren't gonna take PDR.

ETA Years back I worked a storm out in Mineral Wells, TX .......we replaced the hood on probably 90% of the cars that came through that drive through.....hell we replaced half the dashes (it was softball size hail over a period of hours)
This post was edited on 5/21/20 at 4:31 pm
Posted by baldona
Florida
Member since Feb 2016
24485 posts
Posted on 5/21/20 at 4:29 pm to
Honestly it has a lot to do with what car you are buying. A lower end car it’s not as big of a deal, higher end cars with tons of sensors and high end electronics there’s likely no way in buying that even discounted. The risk is just too high imo to get a bad sensor that becomes a pita to deal with.
Posted by BuckyCheese
Member since Jan 2015
57778 posts
Posted on 5/21/20 at 6:41 pm to
I'm talking the more typical hail damage from golfball or smaller size hail.

Softball size you're likely totaling a number of cars.

I was in Knoxville back around 2011 just after a helluva hail storm came through and they in fact did total a lot of cars. Windows smashed, deep dents, trim/headlights/taillights broken. Worst hail damage I have ever seen.

eta-Now that the factories are competing with the repop market one can actually get things like hoods fairly reasonable. Had to get a hood for a truck a while back and was surprised it was under $300 for genuine GM.
This post was edited on 5/21/20 at 6:43 pm
Posted by Tiger Prawn
Member since Dec 2016
26364 posts
Posted on 5/21/20 at 7:42 pm to
quote:

It's repaired, why would there be?
Would you pay the same price for a factory refurbished laptop if you could get the exact same model in a box that was never opened for the same price?

The dealership can either make me a good deal on the hail damage repaired vehicle or I'll go buy one somewhere else that was never damaged to begin with. The dealer should be recouping the loss of value on those vehicles with their insurance company
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