Just got done doing my Dealer's Licences in January, so the state of Colorado considers me a sleazy car dealer now! LOL I can only speak for Colorado, but....
The two things the CADA focuses on is how to properly tax a vehicle sale and how to submit a title with the state. When it comes to a salvage title, I will say with 100% confidence, it had serious damage to earn that title. States don't like those titles because it lowers the taxable value of the vehicle and the state is all about getting as much money as they can from you. The bigger issue with a salvage title and dealer licences is if the buyer is injured in a vehicle you sell with a salvage title. You will be sued, and you will pay. The kind of people that go to insurance auctions and buy a smashed 2010 van to rebuild are not the kind of people you want working on your vehicle. On the other hand, I would gladly by a salvage titled Porsche GT2 from 3R Racing, knowing they rebuilt it to track quality/safety and I could buy it for less than half the retail value.
Insurance companies hate making payouts, if they can save a dollar rebuilding a vehicle vs paying you the market value, they will rebuild and the title will remain clean. Don't let anybody bullsh!t you into buying a salvage titled vehicle claiming it only had a scratch in the hood, light hail damage or it was stolen but recovered in perfect condition.
