Los Angeles Auto Diminished Value Appraiser: Lexus ES Case Study
The St. Lucie Appraisal Company provides independent diminished value appraisals for vehicle owners in Los Angeles and throughout California. Our licensed appraisers serve all ZIP Codes listed below. Each week we report on actual cases to help claimants understand how much market value their vehicles lose after an accident.
This case study details a diminished value appraisal of a Lexus ES Sedan with 42,822 miles that was involved in a rear-end collision that caused $16,729.75 in damage. The vehicle was not disabled or towed, but it sustained structural damage. The claimant hired an independent auto appraiser and made a third-party inherent auto diminished value claim for the vehicle’s loss in value.
Once a car is repaired after a collision, it is worth less, often much less depending on the severity of the damage. Regardless of how well the repairer did his job, nobody will pay as much for a previously wrecked car as they would for an identical one that was never in an accident. Presenting a diminished value claim and following it through to a satisfactory conclusion is a daunting task for the average person. Obtaining a comprehensive Diminished Value Report from a licensed California auto adjuster is key.
WE DON’T USE FORMULAS, ALGORITHMS, AD COMPARISONS OR OTHER SHORT CUTS
SIX UNBIASED DEALER QUOTES IN EVERY APPRAISAL TO VALIDATE OUR RESEARCH
TELEPHONE CONSULTATIONS ALWAYS FREE-OF-CHARGE
Southern California Lexus Dealer Market Intelligence
After querying dealers in Southern California, we learned how real-world sales managers view structural repairs on high-line luxury vehicles. Dealers emphasized that they could not sell a luxury sedan with structural repair history directly to retail buyers because it creates significant inventory liability. Instead, it would have to be sent to a wholesale auction, representing a huge potential loss in value. Sales managers noted that high-line luxury buyers are incredibly discerning, and even though the Lexus ES is a highly desirable and sought-after vehicle, typical buyers looking for premium luxury simply won’t purchase a vehicle with this specific repair history.
The opinions of unbiased experts form the basis for a comprehensive Auto Diminished Value Appraisal. We obtain six of them which puts an appraisal prepared by The St. Lucie Appraisal Company in the ballpark. This is what the car owner will experience in the real world.
Real-World Valuation & Appraisal Methodology
Dealers providing opinions regarding diminished value were given information specific to this vehicle including year, make, model, mileage, color, options, any other pertinent equipment, date of loss as well as the nature of the repaired damages and the manner in which the vehicle was repaired. Dealer opinions are based on personal knowledge and access to auction results. Dealers were advised that this vehicle was properly repaired.
We contacted several Lexus dealers in Southern California in order to establish how these repairs and the resultant repair history would impact this vehicle’s Fair Market Value (FMV.) Dealers were provided with an evaluation of the vehicle’s condition both prior and subsequent to repairs.
Description of damage: Non-disabling collision damages to the Right Rear including structural components. Repair cost $16,729.75. LKQ (used) and/or aftermarket parts were not utilized in the repair/not factored in to the diminished value.
The average of six (6) deductions was 32.08%. This is the percentage of Diminished Value to be taken from the FMV at the time of loss.
Final Settlement Breakdown: We have established that the above captioned vehicle had a Fair Market Value (Average Trade-In Value) of approximately $30,000.00 at the time of loss. Diminished Value = $9,624.00
California Auto Diminished Value Q&A
What is an inherent auto diminished value claim in California?
An inherent diminished value claim covers the automatic loss in a vehicle’s market value that occurs simply because it now has an accident history report (such as Carfax). Even if the repairs are completed perfectly according to factory standards, the vehicle is legally worth less on the open market than an identical car with no accident history.
Can I file a diminished value claim if I was at fault?
In California, you generally cannot file a diminished value claim against your own insurance policy if you were the at-fault driver. Diminished value is almost exclusively a third-party claim filed against the insurance provider of the at-fault driver who caused the damage to your vehicle.
Why do online formulas and algorithms fail for luxury vehicles like Lexus?
Online calculators and standard insurance company formulas (like Formula 17c) rely on arbitrary percentages and mileage caps that completely ignore actual market conditions. Premium luxury vehicles suffer much harsher penalties for structural or severe damage because the retail buyer pool demands pristine histories. Our methodology relies on real-world dealer interrogatories from actual brand sales managers to establish the true loss in equity.
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Click on the payment button above to pay by Credit Card or Paypal. The fee for an Automobile Diminished Value Report is $275.00. You may also make your Credit Card Payment by telephone, call 772-359-4300.
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Los Angeles Service Areas & ZIP Codes We Serve
90011, 90650, 91331, 90044, 90250, 90805, 90201, 91342, 90280, 93535, 93550, 91744, 90706, 91335, 93536, 90003, 91706, 90255, 90037, 91402, 90262, 90026, 90731, 91702, 90022, 90640, 91343, 90660, 90019, 91770, 90004, 90042, 91732, 90745, 90001, 90006, 90034, 91745, 90066, 93551, 91405, 91801, 90744, 91344, 90002, 91406, 90723, 91605, 90813, 90047, 90024, 90221, 90063, 91767, 90210
Comprehensive California Regional Coverage
Service in Los Angeles, San Diego, San Jose, San Francisco, Fresno, Sacramento, Long Beach, Oakland, Bakersfield, Anaheim, Santa Ana, Riverside, Stockton, Chula Vista, Irvine, Fremont, San Bernardino, Modesto, Oxnard, Fontana, Moreno Valley, Huntington Beach, Glendale, Santa Clarita, Garden Grove, Oceanside, Santa Rosa, Rancho Cucamonga, Ontario, Elk Grove, Lancaster, Corona, Palmdale, Salinas, Hayward, Pomona, Escondido, Sunnyvale, Torrance, Orange, Pasadena, Fullerton, Thousand Oaks, Visalia, Roseville, Simi Valley, Concord, Victorville, Santa Clara, Vallejo, Berkeley, El Monte, Downey, Costa Mesa, Inglewood, Carlsbad, Fairfield, Ventura, Richmond, Murrieta, Antioch, Temecula, Norwalk, Daly City, Burbank, Santa Maria, El Cajon, Rialto, San Mateo, Clovis, Jurupa Valley, Compton, Vista, Mission Viejo, South Gate, Vacaville, Carson, Santa Monica, Arden-Arcade, Hesperia, Westminster, Redding, Santa Barbara, San Marcos, Chico, San Leandro, Newport Beach, Whittier, Hawthorne, Citrus Heights, Livermore, Tracy, Alhambra, Indio, Menifee, Buena Park, Hemet, Lakewood, Merced, Chino, Redwood City, Lake Forest, Napa, Tustin, Mountain View, Bellflower, Baldwin Park, Alameda, Upland, San Ramon, Pleasanton and throughout California. Independent auto appraiser near 90011, auto appraiser near 90650, auto appraiser near 91331, auto appraiser near 90044, auto appraiser near 90250, auto appraiser near 90805, auto appraiser near 90201, auto appraiser near 91342, auto appraiser near 90280, auto appraiser near 93535, auto appraiser near 93550, auto appraiser near 91744, auto appraiser near 90706, auto appraiser near 91335, auto appraiser near 93536, auto appraiser near 90003, auto appraiser near 91706, auto appraiser near 90255, auto appraiser near 90037, auto appraiser near 91402, auto appraiser near 90262, auto appraiser near 90026, auto appraiser near 90731, auto appraiser near 91702, auto appraiser near 90022, auto appraiser near 90640, auto appraiser near 91343, auto appraiser near 90660, auto appraiser near 90019, auto appraiser near 91770, auto appraiser near 90004, auto appraiser near 90042, auto appraiser near 91732, auto appraiser near 90745, auto appraiser near 90001, auto appraiser near 90006, auto appraiser near 90034, auto appraiser near 91745, auto appraiser near 90066, auto appraiser near 93551, auto appraiser near 91405, auto appraiser near 91801, auto appraiser near 90744, auto appraiser near 91344, auto appraiser near 90002, auto appraiser near 91406, auto appraiser near 90723, auto appraiser near 91605, auto appraiser near 90813, auto appraiser near 90047, auto appraiser near 90024, auto appraiser near 90221, auto appraiser near 90063, auto appraiser near 91767, auto appraiser near 90210.
