Vehicle damage reports like CarFax are widely available on the Internet and make it easy to spot cars that have been suffered heavy flood damage, said Ricky Beggs, vice president and managing editor of Black Book, a guide to the wholesale market for used car dealers.

WSJ: What Happens to All Those Swamped Cars?

October used to be a special time for car dealers, the start of a new model year, when the latest vehicles would start arriving in showrooms drawing curious buyers looking for the newest styles and latest technologies.

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Besides, dealers can still make decent money on service and used car sales, so they aren't terribly motivated to shutter a family business built over generations.

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