Car Hit - Diminished Value Question
06-10-2009, 07:43 AM
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Originally Posted by wantmye90' post='905882' date='Jun 9 2009, 04:53 PM
Are there no attorneys among us all? This is a 5 series site, right? Maybe I should ask in the 7 series site....
Anyone?
Anyone?
1) She is a real estate atty
2) She willingly bought a friggin Kia (WTF?!?!?!) so what does she know ( I thought Kia was what you bought when your credit was declined for all the other brands)
06-10-2009, 10:20 AM
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Originally Posted by wantmye90' post='904796' date='Jun 8 2009, 09:31 PM
My PERFECT 535 was hit in the rear to the tune of $2250 in damages to paint and replace the rear bumper and to repack the anti-whiplash headrests.
This damage will show up on a CarFax when I resell the car and expect it will cost me in the end. The damages are minor, but a CarFax that shows a previous wreck and supplemental restraint system deployment can only make the car less valuable in a transaction, regardless of what I know the real extent of damages to be. I worry it could cost me thousands!
How much diminished value am I entitled to, how do I calculate that amount, and how do I go about getting a fair settlement from the other driver's insurance company? Hiring an attorney will cost me 1/3rd the settlement. The insurance companies have their "formulas" but I doubt it'll be very fair. Any advice is appreciated!
This damage will show up on a CarFax when I resell the car and expect it will cost me in the end. The damages are minor, but a CarFax that shows a previous wreck and supplemental restraint system deployment can only make the car less valuable in a transaction, regardless of what I know the real extent of damages to be. I worry it could cost me thousands!
How much diminished value am I entitled to, how do I calculate that amount, and how do I go about getting a fair settlement from the other driver's insurance company? Hiring an attorney will cost me 1/3rd the settlement. The insurance companies have their "formulas" but I doubt it'll be very fair. Any advice is appreciated!
I tried to sell my car private with out any luck so I had to do a trade with JMK BMW. they went to the Carfax and it didn't come up clean there fore the policy of the dealer was that they don't CPO cars that don't come up clean in Carfax because it can be to much of a hassel so they wholesale the cars out. Because of this I took a $4000.00 diminished value hit on the car even if it was a minor accident. I went back and forth with Carfax to try to get them to remove it from the report and they refused but they said if I provided them with the insurance estimate they would write it into the report. Need less to say that never happen. I tried to file a " Diminished Value Claim" come to find out you can't file one in either Pa. or NJ there is only 5 or 6 states that will let you file that kind of claim. That made me a $4000.00 loser because someone hit me in the rear that wasn't my fault. got the police involved and went through my insurance. I was told later some times it pays dollar wise not to get the police or insurance involved and Carfax would not get the report and you might be ahead if you paid the cost. Good luck. If you need any more information PM me.
cheers
vern
06-10-2009, 05:20 PM
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Originally Posted by vern' post='906934' date='Jun 10 2009, 01:20 PM
I had a simular problem. I was rear ended by a guy that had insurance in Pa. and I have mine in NJ
I tried to sell my car private with out any luck so I had to do a trade with JMK BMW. they went to the Carfax and it didn't come up clean there fore the policy of the dealer was that they don't CPO cars that don't come up clean in Carfax because it can be to much of a hassel so they wholesale the cars out. Because of this I took a $4000.00 diminished value hit on the car even if it was a minor accident. I went back and forth with Carfax to try to get them to remove it from the report and they refused but they said if I provided them with the insurance estimate they would write it into the report. Need less to say that never happen. I tried to file a " Diminished Value Claim" come to find out you can't file one in either Pa. or NJ there is only 5 or 6 states that will let you file that kind of claim. That made me a $4000.00 loser because someone hit me in the rear that wasn't my fault. got the police involved and went through my insurance. I was told later some times it pays dollar wise not to get the police or insurance involved and Carfax would not get the report and you might be ahead if you paid the cost. Good luck. If you need any more information PM me.
cheers
vern
I tried to sell my car private with out any luck so I had to do a trade with JMK BMW. they went to the Carfax and it didn't come up clean there fore the policy of the dealer was that they don't CPO cars that don't come up clean in Carfax because it can be to much of a hassel so they wholesale the cars out. Because of this I took a $4000.00 diminished value hit on the car even if it was a minor accident. I went back and forth with Carfax to try to get them to remove it from the report and they refused but they said if I provided them with the insurance estimate they would write it into the report. Need less to say that never happen. I tried to file a " Diminished Value Claim" come to find out you can't file one in either Pa. or NJ there is only 5 or 6 states that will let you file that kind of claim. That made me a $4000.00 loser because someone hit me in the rear that wasn't my fault. got the police involved and went through my insurance. I was told later some times it pays dollar wise not to get the police or insurance involved and Carfax would not get the report and you might be ahead if you paid the cost. Good luck. If you need any more information PM me.
cheers
vern
06-10-2009, 05:22 PM
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Originally Posted by AP Sales' post='906807' date='Jun 10 2009, 10:36 AM
I doubt many people are going to be concerned about rear bumper replacement. Front end collision - different story . . .
I'd likely keep looking too.
06-11-2009, 02:16 AM
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Well I'm going to find out in a couple of months. This is my 335i vert after a girl turned in front of my wife while she was going 55 mph. Good news : nobody hurt other than bruises. Bad news: they won't total it with $33,000 in damage. The entire front end has been removed to the firewall for new frame rails and complete rebuild.
From what I found, the typical offer for DV will be 10% of the repair. The actual DV will be the difference you get between NADA and trade/sales price AT THE TIME you sell/trade. In other words they will do a "present value" reduction if you do not sell it immediately since the depreciated value will overtake the DV if that makes sense. There are a bunch of DV companies if you Google that want $ to do a DV appraisal. I'm probably going to trade immediately but since this was a CPO with exactly what I wanted it will be tough to find. Anybody interested in buying a slightly damaged vert around the middle of July?
From what I found, the typical offer for DV will be 10% of the repair. The actual DV will be the difference you get between NADA and trade/sales price AT THE TIME you sell/trade. In other words they will do a "present value" reduction if you do not sell it immediately since the depreciated value will overtake the DV if that makes sense. There are a bunch of DV companies if you Google that want $ to do a DV appraisal. I'm probably going to trade immediately but since this was a CPO with exactly what I wanted it will be tough to find. Anybody interested in buying a slightly damaged vert around the middle of July?
06-11-2009, 03:20 AM
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Originally Posted by lcotts' post='907631' date='Jun 11 2009, 05:16 AM
In other words they will do a "present value" reduction if you do not sell it immediately since the depreciated value will overtake the DV if that makes sense.
I couldn't follow your post. this is all new to me. Can you please refrase it?
If the "standard" DV paid is 10% of the repairs, then you'd only get $3000 on your car. That's completely insufficient! You can bet you'll take a much larger hit than that, even if you waited to sell it 5 years from now.
06-11-2009, 04:24 AM
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Originally Posted by wantmye90' post='907646' date='Jun 11 2009, 07:20 AM
So sorry to read about your wrecked vehicle, but glad no-one was seriously hurt.
I couldn't follow your post. this is all new to me. Can you please refrase it?
If the "standard" DV paid is 10% of the repairs, then you'd only get $3000 on your car. That's completely insufficient! You can bet you'll take a much larger hit than that, even if you waited to sell it 5 years from now.
I couldn't follow your post. this is all new to me. Can you please refrase it?
If the "standard" DV paid is 10% of the repairs, then you'd only get $3000 on your car. That's completely insufficient! You can bet you'll take a much larger hit than that, even if you waited to sell it 5 years from now.
The 10% is what insurance companies will try to offer as a settlement on diminished value and yes that is totally inadequate in my opinion. I am a commercial insurance broker and have some insight on how adjusters approach claims. BTW, typically you can only collect DV if you are not at fault in the accident. Most states allow insurance companies to put a DV exclusion on your personal policy. Georgia is the most notable exception although others may allow it based on circumstance, but bottom line is it is usually collectable against the other at fault party. Here's what it looks like today.
