A drunk driver recently hit my car while it was parked. They caught the guy. My insurance is paying for damages but I'm planning on suing him for lost in car value.

How do I determine loss of re-sale value after a car accident??

The damage was to the left rear of my car. There was rail damage so the engine has to be removed to replace the entire rail. Other replaces included exhaust system, bumper,etc. Total cost came out to be $16,000 at a Porsche certified mechanic.

 

I hope you are not in Pennsylvania. For personal property if property can be repaired the the cost to restore is the only measure of damages.

 

The guy was uninsured? Is that why your insurance is paying for repair and not his insurance?

I'm guessing you can hire some type of appraiser that will estimate the diminished value.

A lot will depend on what state you live in. Apparently Georgia has the best protection for lost value...

 

I think it's similar in Texas. An old guy backed out of his driveway and instead of putting his foot on the break, he hit the gas and went crashing over the front lawn of my son's house and into the living room. The damage was so extensive, they had to move out. Half way through the repairs (about 2 months later) he did the same thing. No one in the house was injured but we couldn't even sue him for the anxiety it caused my son's family while his house was being repaired over the 5 month period or the fact that they couldn't match the brick. Nor were we able to get his license pulled! Hope CA has better laws on the subject.

ChuckJ

 

Sadly there's no good news.
Just the existence of the Carfax report will knock the snot out of your value.
Most dealers (on a trade-in) will simply walk on a crash report, or super low-ball you and send it straight to auction.

Regarding the value, it's very difficult to say because it's somewhat subjective.
If you keep the car for 10 years and sell it, you'll take much less of a hit for all the obvious reasons.

An independent loss adjuster would be my first port of call.

 

talk to the used car mgr at your P dealership, ask him what he would bid for your repaired car vs a similar no accident car. Ask other dealers in your area too. soon you will get some kind of avg.


this is totally subjective but if i were to buy your car, i would bid 15-20% less.

 

I totally agree^

 

OP: Consider trading it in before the repair hits the Carfax, which will take at least a few months. Most dealers don't use paint meters, especially on a car this new.

 

Here's the deal: if you desire to maximize the damages attributable to the accident you should consult an attorney licensed in your state. With reference to the law in your jurisdiction, you may consider trading in the damaged vehicle. The amount of value pre collision less the fair market value of the vehicle post collision may be the best indicia of the cost of the damage.

Skunking a dealer or other buyer by not disclosing the damage may open you up to liability.

 

Yep !!!

 

Very thoughtful!

ChuckJ

 

Many states do not recognize diminished value claims. If you live in one, that's another good reason to lease your vehicle.

 

I would strongly advise against taking this approach.

Good luck and keep us posted..

 

Good advice. Depending on state laws, the attorney can also get an expert to testify on diminished value - the guy I bought my Porsche from works with a couple of attorneys and has been quite successful.

 

I'm curious as to why you think this is such a bad idea? If his car had not been in an accident, it would be worth X today. X represents the value it has retained after whatever depreciation has accrued up to this date. If he waits a year - and again, assuming his car had NOT been in an accident - his car's value would be Y, representing the normal devaluation all our cars accrue in a defined period of time.

He will eventually trade or sell his car. When he does, the value will be X or Y minus a certain amount of extra depreciation due to the low CarFax score. The whole purpose of trading now is to avoid that extra depreciation.

Waiting won't lessen depreciation; it only amortizes it over a longer period of time so that it hurts less. The biggest hit is the first day you drive it off the lot. It flattens out the longer you own the car, but for depreciation to not become an issue he'd have to hold onto the car for maybe 10 years and maybe by then it would all even out.