Hi Folks,
As a quick introduction, while talking to one of my oh-so helpful local Lexus Mechanics of Boston while researching LC500s to purchase, he led me here. In his very endearing words: "clublexus is the most knowledgable group of ***** on the internet for anything Lexus". I've been searching for about a month for a new ride and would like to make the jump from my current BMW to a (preferably used) LC500. In my search yesterday, I found a 48,000 mile 2018 Lexus LC500 for $51k. The only issue is that it has a salvage title for being stolen and recovered. I will get it inspected pre-purchase for any damage, and to ensure I'm not getting screwed. But the exterior and engine otherwise, from what I'm told, seems to be in good condition.

My questions than are this:
1. Assuming the car is in the condition they claim it is, would a salvage title only effect the resale value? I plan to drive this car into the ground. Are there are pitfalls/implications of a Salvage Title I am not aware of?
2. Does the purchase price seem fair given its title?
3. Is the LC500 comparable in repair pricing (within a 30% difference) to any other Lexus, and by extension, Toyota? It seems from the neutral parties I have spoken to that the reliability is almost the same.
4. Anyone know any pre-purchase inspection companies/individuals around Houston who you'd trust?

I would also be open to give $100 to someone knowledgeable on this forum or to a charity of their choice for a 15 minute phone conversation on the topic. Replies to the thread are also worth a ton.

Thanks in advance for any and all help given.
- Cal

 

I'd spend $10k more and find a clean title car. There are clean title cars in the low $60s and maybe you can find one in the upper $50s, doesnt seem worth the trouble buying a salvage or rebuilt title unless you're paying 35-40k for it.

 

$51k for a 48k mile ‘18 with 0 title issues would sound pricey to me. Best of luck in your quest.

 

I saw one with a rebuilt title and low mileage on the Facebook marketplace today for $46k. I’d be worried about a rebuilt title LC. Salvage title due to theft doesn’t seem as bad but it would certainly hurt its resale value if you ever needed to sell it later on.

It could be a solid deal if it were $45k or less in my opinion.

 

The question you ask of - "if the car is in the condition they claim it is, would a salvage title only effect the resale value"? The answer is mostly Yes.

With that car, I would only want a Inspection at a Lexus Dealership only, and also ask that someone review it for body work or damage also. If you are interested I would talk with a Sales Manager or Owner of the dealership and ask.... so what if questions? Like, if you let me get the car checked out, and it checks out ok, what is your best price if, I would buy it right then now? That's kind of really the main deal, of go or no go. If like you say you plan to never sell it, a deal on it would make the title situation your personal choice. You won't be riding around with a salvaged title sign on it. lol! What others are paying for them right now as a 2018 model with equal equipment, and NON salvaged titles, with equal miles is also a guide.

The other thing in getting answers about the pricing value are? What option packages added does it have??? For one to say any answer about the worth and, or value, that is something that should be asked 1st. Good luck with what you find!

 

If this is the same car on Trucar it has a Theft Recovery title and a Salvage title.

 

1. The entire industry hates salvage title cars: harder to finance, harder to insure, harder to auction. Understood that you're going to "drive it into the ground", but life happens and you may not always have that option.

2. The purchase price doesn't seem discounted enough given the higher miles.

3. Anything unique to the LC -- body panels, glass etc -- is a bit more expensive than your average Lexus. The engine is only in the LC, RC-F, IS500 and GS-F (which is also discontinued). The transmission is only in the LC, unless it's the same one from the newer 10-speed trucks (Tundra / Lexus GX). I've never found my Lexus cars cheap to fix, the main benefit is that they don't require fixing as often.

4. Take it to the dealer. They'll charge you an hour of labor but they'll do a better job than anybody who doesn't have a lift will do.

My advice: if you can afford $51K for a salvage title car, you can afford $60K for a non-salvage one. Or, you can afford to wait until the non-salvage cars depreciate down to $50K. LCs will still be sold new for at least 2-3 more years, so there's no risk in the near term of them being discontinued and setting a price floor. Once they are discontinued that could set a price floor, you see this with the -F cars where they usually take a ton of miles to go under ~$35-40K. But we've got a few years if/until that happens.

 

Prices are dropping pretty fast on the LC500 from what I've seen over the past 5-6 months (I was searching multiple used car sites daily during that time so know the market fairly well). If you can wait another few months, prices should continue to drop.

If you need to purchase sooner than that, I agree with the consensus above that $51k for a salvaged AND theft recovered vehicle is way too much. I'd either delay your purchase until prices come down more, or if it's an option, increase your budget slightly and find a clean one.

I just purchased a 2018 with Perf package and 10k miles for $64k and a clean title and have seen one's with higher miles for quite a bit less. Last month the same vehicle was around $70k. So be patient if you can!

 

A hard pass on a salvage ( stolen ) titled car.

 

Is this the gray (maybe wrapped?) one in Houston that was originally black? (VIN JTHHP5AY9JA003814)
Stolen and recovered, but has altered VIN? Auction photos show minor front end damage on the bottom lip, so check for that.
If it's this one, I've been seeing it for a while now, almost 6 months it has sat on that lot.

Everyone here is going to likely say pass just because its a salvage.

But if you get a PPI and everything looks fine, locate where most of the "altered VIN" was changed, I think it should be good. If it's not the same vehicle I mentioned above, I would at least Google the VIN and see if you can find any auction history and maybe see what damage it may have incurred while it was stolen.

I think 50k is a good deal on it, IF AND ONLY IF it is running all good mechanically. Also if you don't plan on reselling. If not, I think pushing the extra 10k for a non-salvage LC is a much better option. I've seen some 60-68~k with 30~k miles.

 

^^^^Hmm, I was wondering the outside mirrors were all black

 

Deleted

 

U get what U pay for. Hard pass for me.

 

The price is too high for a salvage title vehicle. Keep looking and when you find one, simply grab it. Do not worry about resale value. You will not sell once you own one.

 

There's this...
Red

and

Black

and quite a few more in the low 60's $ here in Texas

Good Hunting
and
Happy New Year