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How can I avoid buying a lemon?

How to Avoid Buying a Previously Damaged Car

In 2004 alone, more than 75,000 cars sustained flood damage (many as the result of hurricanes in the Southeast). According to Bankrate.com, more than half of those cars will end up back on the road. How can you be sure you don't end up buying a used car that has flood damage? Jot down the car's vehicle identification number (VIN) and pull a free car history report at Carfax.com.

You can check a list of VINs that have been associated with flood damage, odometer fraud, and other problems. If you want to get the full report, you'll have to pay a fee of around $20 or so.

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