Hurricanes and flooding aftermath means flood-damaged cars flooding market. According to estimates from CARFAX, an additional 45,000 vehicles have already sustained flood damage from severe storms and flash flooding between April and July, compounding the nearly half a million such vehicles already circulating in the U.S. at the start of 2025.
The torrential rains that battered parts of Texas, Kentucky, and West Virginia left behind not only physical destruction but a growing threat to used car buyers nationwide. Many of these submerged vehicles, after being cosmetically restored, are expected to reappear on used car lots—often far from the areas where the flooding occurred.
“Flood-damaged cars don’t just stay in storm-hit areas; they show up all over the country, putting unsuspecting buyers at serious risk,” said Faisal Hasan, Vice President of Data Acquisition at CARFAX. “The same vehicles you saw floating in floodwaters can be cleaned up and shipped across the country. They may look pristine, but beneath the surface, they’re literally rotting from the inside out.”
These refurbished vehicles often end up in states where flood risks—and buyer awareness—are low. CARFAX data shows that while Texas and Florida continue to top the list of states with the most water-damaged cars, many of these vehicles migrate to markets like Pennsylvania and Illinois, where flooding isn’t a primary concern for shoppers.
The growing threat coincides with an ominous forecast from the National Oceanic and Atmospheric Administration (NOAA), which is predicting above-average hurricane activity in the Atlantic this year—a warning that suggests the problem may get worse before it gets better.
To help consumers avoid purchasing a flood-damaged car, CARFAX offers a free “Flood Check” tool at carfax.com/flood, along with free vehicle history reports for cars listed on its site. Even so, experts advise vigilance. Signs of flood exposure can be subtle—but telling.
Among the red flags:
- Mismatched or damp carpeting
- Rust in door frames, under the dashboard, or on the pedals
- A persistent musty smell
- Mud or silt in hidden compartments
- Brittle or fraying wiring
- Moisture trapped inside lights or the instrument panel
With the used car market already tight and prices high, consumers may be tempted to overlook these clues. But as Hasan warns, the cost of overlooking flood damage can be steep: “The damage isn’t always visible until it’s too late—electrical systems fail, mold sets in, and repairs become endless.”