Diminished Value Evaluation

Depending on its age and condition, an item that has been damaged and repaired generally has less resale value than the same items in pre-damage condition. Even if the item meets the highest repair quality standards, potential buyers are unwilling to pay as much for an item they know has been previously damaged.

This difference between what the pre-damage was worth and the market value of the post-repair item is known as diminished value. This can be applied to vehicles, homes, commercial buildings, equipment and many other items.