What Does A Blue Title Mean In Texas?

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It’s important to understand a car’s title before you buy it, and part of that is knowing what its color means. In Texas, there are pink titles, blue titles, and blue titles with brands. A pink title means that the vehicle isn’t drivable and can’t be licensed, usually due to a big accident or extreme conditions (like a fire). The first type of blue title is for a car deemed “clear,” meaning nothing was reported. The second kind of blue title has a stamp on it, called a title brand, which indicates there are things to note about the vehicle before purchasing.

The Texas Department of Motor Vehicles says some cars with title brands are safe to drive after proper repairs were made — and some aren’t. Branded blue titles deemed drivable include “custom vehicle,” meaning the body has been altered from the manufacturer’s design (like these cool customs by George Barris), and “rebuilt,” a car previously marked as salvaged but rebuilt to meet safety standards. This is also known as “prior salvage.”

A blue title with the “salvage” brand means the car was wrecked — but can be rebuilt. “Gray market” refers to a car manufactured outside the U.S. and not in compliance with American standards, meaning it can’t be registered. A blue title that says “junk” means the car is no longer safe to operate and has no resale value outside of getting scrapped for parts. A car labeled “junk” can never be registered.

Should you buy a car with a rebuilt title?

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A “rebuilt” car may sound a bit concerning — is it safe to drive a car that was once in a horrible accident or severely damaged, even if it now meets the state’s requirements? That will vary depending on the specifics, since the type of damage that makes a car “salvaged” can vary, and so can the inspections a car recieved once rebuilt.

If you’re contemplating buying a rebuilt car, ask for its vehicle identification number so you can run a vehicle history report. This will tell you the type of damage the car had. Some may have been considered salvaged due to physical damage, while others could have hidden internal issues, like electrical problems due to a flood. Ask the owner for any service records or receipts related to the accident so you can get a better idea of what you are dealing with.

Consumer Reports‘ program leader for auto data analytics, Steve Elek, is a bit wary of purchasing a rebuilt car, saying: “Generally, most car shoppers should stay away from rebuilt titles. That being said, it could come down to a case-by-case basis. For example, you could have a car that has a rebuilt title due to heavy hail damage. That car might be mechanically sound. On the other hand, a rebuilt title could also mean the car was in a serious accident that resulted in significant frame damage.”