Diminished Value in North Carolina
What is Diminished Value?
After an accident, your car’s market value will decrease even if it goes through all of the necessary procedures to restore it back to its prior condition. Diminished value is the difference in your car’s market value before and after an accident. Even if you try to resell your vehicle, Carfax and similar reports will show that it has been involved in an accident, which will reduce its market value. A diminished value claim can help recover the costs to bring your vehicle back to its pre-accident market price.
North Carolina Diminished Value Law GS 20-279.21(d1)
Under GS 20-279.21(d1) a quote or letter of diminished value from a new/used car dealer IS NOT ACCEPTABLE. The ONLY person who can appraise your vehicle for diminished value is an appraiser who is licensed by the North Carolina Department of Insurance as a "motor vehicle damage appraiser."
Appraisal Fee and Services Provided
The appraisal fee is $300.00. You Appraisal includes CARFAX report, Monroney Window Sticker (when available) , JD Power Value at time of loss, appraiser's consultation via phone or email throughout claim process and negotiating with the auto insurer's dis-interested appraiser to reach an agreement of amount of loss.
Does the appraisal need be USPAP Compliant?
Many internet / out-of-state appraisers like stating their desk appraisal is USPAP Compliant. These appraisers may show an an example of their appraisal which is actually filled of pages of blah, blah blah B.S. hype! These appraisers are all about taking your money!
The Uniform Standards of Professional Appraisal Practice (USPAP) is the generally recognized ethical and performance standards for the appraisal profession in the United States. USPAP was adopted by Congress in 1989, and contains standards for all types of appraisal services, including real estate, personal property, business and mass appraisal. Compliance is required for state-licensed and state-certified appraisers involved in federally-related real estate transactions.