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Jan 01, 2024

CARFAX Reports Uncovered: What You Need To Know

If you’re thinking about buying a used car, you need to know its history. One way to find out all of the information that’s available for a vehicle is through a CARFAX report. CARFAX reports can reveal everything from previous owners to service records. Keep reading to learn how to read a CARFAX report and what to look for.

CARFAX offers several pricing options to fit your needs. For example, you might only need one report if you’re just considering buying one vehicle, or you might want multiple reports if you’re trying to decide between several different vehicles. Here’s a look at the pricing for CARFAX reports:

A CARFAX report provides an extensive look at a vehicle’s past, which can help you evaluate its overall condition. Here are some of the things the report covers:

CARFAX reports do not give the names of previous owners — only the number of owners and whether it was used for personal or commercial purposes.

The report also states when each specific owner purchased the car, how long it was owned, where it was registered and the estimated number of miles driven each year.

When you order a Carfax Vehicle History Report, you’ll be able to view a detailed history of the car’s condition and value. The report takes into account more than 20 different factors.

This is the first section of a CARFAX history report. It evaluates a vehicle’s trade-in value or retail value — if you’re looking to purchase a vehicle. This value is based on the following data points that go beyond general condition and mileage:

The next section is a vehicle overview that provides the following information:

This section shows the following details about the ownership history of the vehicle:

This section contains information about fire, flood or other damages that might have resulted in a salvage title and whether the odometer reading is accurate.

This area reports things like accidents and recalls.

This is the final section of a CARFAX report. It lists the following:

You want to avoid buying a vehicle that has had issues in the past or might have future issues due to past treatment. Here are nine red flags to look for on a CARFAX report.

A history of major repairs — especially ones that take place right before a change in ownership — can be a red flag.

Multiple short-term ownership changes may signal that previous owners encountered problems with the vehicle.

Open recalls that have not been addressed can lead to safety concerns. It’s essential to verify that all recalls have been resolved by the manufacturer or previous owners.

Regular maintenance is key to a vehicle’s longevity. If the CARFAX report shows long intervals without maintenance or missing service records, it could mean the car was neglected.

Look for any special titles such as salvage, flood or lemon. These labels can indicate that the car has had significant issues in the past and may impact its roadworthiness. Also, if you’re considering purchasing the vehicle, see if the seller’s name and the name on the title match. If not, it could be a stolen vehicle.

A history of use as a rental, taxi or other commercial purposes can mean more wear and tear than personal use.

Cars registered in flood-prone or snowy areas may have hidden rust or water damage. Consider the environmental factors where the car was previously located.

A history of failed emissions tests might hint at underlying engine problems that could require expensive repairs.

Ordering a CARFAX report can make things more transparent when buying a used car. By understanding the report’s various sections and knowing what red flags to look for, you can arm yourself with the knowledge you need to make a wise purchasing decision.

Information is accurate as of Aug. 25, 2023.

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