sqa4life

Yes, I checked the service records on the "Lexus Drivers" website and it has been "dealer" serviced since 30k miles. It has over 4 pages of service records.
I don't really mind whether there is a mark (salvage) on the title. If I can drive this car for 5 yrs and trash it, I'll be very happy.

However, like Vroomin350 said, part it out could make more than 12.5k (my brother is a mechanic and he said the same).

Kurtz

iTrader: (1)

Drive it until you can't anymore, and you can probably still part it out for all/most of the 12.5 you paid for it.

Lexus parts are stupid expensive.

calvin2376

iTrader: (2)

Actually I've never heard of "10% of MSRP" being used as the calculation methodology for total loss. A total loss as far as auto insurance is concerned is when the cost to repair the car exceeds the actual cash value. It has nothing to do with a percent of MSRP. From Progressive's website:

How much will we pay you for a vehicle declared a total loss?

We will pay you what is known as the actual cash value (ACV) — this is the market value of the vehicle taking into consideration pre-loss condition, options and mileage.

To determine what we will pay you for a total loss, we do what many consumers do to find how much their car is worth. To some extent, this is governed by state regulations, but in general, this is our process:

First, we determine your vehicle's market value. We may look at guidebooks, get quotes from dealers and look at ads online and in the newspaper to gather information about the value of models similar to yours in your market. Adjustments may be made to account for differences in mileage and accessories. This gives us a starting point.

Then, we assess the condition your car was in prior to the accident. Cracked windows, dented, scraped or rusted parts, and other excessive wear and tear or damage, such as a badly stained interior, will decrease your car's value.

We subtract the value of prior damage and excessive wear and tear from your vehicle model's market value to calculate actual cash value of your vehicle. Then, we subtract the amount of your collision or comprehensive deductible (if you are insured with us, this is the deductible you selected when you purchased your auto insurance policy). The result is the amount we pay for a total loss.

With a 2 minute Google search I verified that this is the method used by Progressive, Geico, and Allstate, so I imagine it's used by most if not all auto insurance companies.

Reasonably assume the car's MSRP was $50,000. 10% of that, using your above rule of thumb, comes out to $5,000. You'd have a lot of total loss vehicles if you followed that rule of thumb.

Based on what mileage and condition the car was at when the accident occurred, the actual cash value of his car at the time could have been $20,000. $20k is a lot more damage than $5k.

All I'm pointing out is that at some point in this car's history, an accident occurred that resulted in damage that would have cost more than the actual value of the car to repair. That's anything but light. That would concern me.

I'm not saying $12,500 is a good price or a bad price. I literally have no idea what would be a good price for a car like this. That's because there's little to no market data available for salvage title 2006 IS350s. Whether $12.5k is a good price or not depends entirely on the OP and his assessment of the car's value to him. If he feels $12.5k is a good price for what he's getting, I encourage him to go for it. I can't begin to assess it, because I personally wouldn't consider a salvage title car, but that's only me.

Yes, it's great that the car's been maintained correctly. However, the point I was making about the recalls is that whether a car's gotten its recalls performed can be an indication of how well cared for the car has been. To get a recall done, you simply have to swing by a dealer, take 10 minutes to fill out paperwork, then drive off in a loaner. I would have strong misgivings if a previous owner didn't take these 10 minutes to ensure his car was fully taken care of. Sure some recalls might be minor (floor mats), but others can be very important, related to safety, and/or hugely affect the operation of the vehicle (valve spring, master cylinder, fuel pressure sensor). If the owner didn't take it in to get these very important free recalls addressed on his car, I wouldn't be holding my breath that he got things like the cam gear TSIB done, or the aux-in noise addressed, or the gauge needles replaced, etc.

My post was intended to bring to light things the OP should take into consideration, not to persuade or dissuade him either way. I hope the OP does what he feels is best and enjoys the car immensely and problem-free if he chooses to buy it.