If you are one of those people who assume that remanufactured and rebuilt engines are the same thing, then you are incredibly wrong. The fact is, there is a huge difference between the two with not much similarity apart from the fact that they both are engines and are not brand new. A remanufactured engine is scientifically precise and exact whereas a rebuilt engine is literally rebuilt which means that it is not precise and has a shorter life than manufactured engines.
Remanufactured engines are made inside the boundaries of a factory where all the parts of the engines are disassembled and cleaned thoroughly. You may think that this service is only provided to the larger engine parts; the fact is that all parts of the engine are cleaned; small or large including starters, clutches, wiper motors and alternators. All the parts are repaired, cleaned, replaced and retested so that a certain standard of quality is met. The last step is to reassemble all the engine parts and the performance tested which will show that all the performance requirements are met. Reconditioned engines for sale go through a similar process.
The process of rebuilding an engine is performed inside an automotive body shop where an individual mechanic uses his/her skills, judgment and experience to perform the task. Rebuilt engine shave a much shorter life as they are not followed through a proper system or standard of disassembling, cleaning and reassembling the engine parts; it is done in a more informal setting. The fee charged for this is much lower than that of remanufactured engines due to the facilities used. A remanufactured engine is the second closest form of getting a new engine. On the other hand, you can opt for rebuilt engines if you are on a budget.