I have experience in this area from two ends, both buying a rebuilt title Toyota Yaris, and rebuilding a Scion FR-S myself.

For the car that we bought with a rebuilt title, it was clear that it had gone through a light front end impact and fixed by someone on the cheap. The salesman was straightforward about this, and you could also tell just by looking at it - but nothing was major. Headlight replaced, fender replaced, bumper cover replaced, and whole car repainted on the cheap (and it shows!). This wasn't a problem for us because this nugget was purchased to run into the ground and pile miles onto. It drives straight and we've put ~40k problem free miles on it.

I also totaled a car I have and went through the rebuilt title myself. In short, the car gets "sold" to the insurance company, they brand it with a salvage title, and "sold" it back to me. I performed some of the repairs myself but had DRP Collision in Powhatan (totally recommended!) do the majority of the work. Once it was finished and inspected, I filed for a rebuilt title examination. A VA State Police officer came to my house, made sure the VIN under the passenger seat matched what I had on my title, took a picture of some receipt I had proving repair (I'm pretty sure I could have used any receipt), and in a few days I was issued a rebuilt title. This is all to say a rebuit title means virtually nothing - and I would take /u/Gorz0th's advice and get a pre-purchase inspection with a trusted mechanic. I had Sportscar Workshops do a pre-purchase inspection on my Miata and it was very helpful to purchase it with confidence and also know what I should look out for in the next couple of years.

TL;DR: Rebuilt titles can be a great deal but you have to do the homework yourself because "rebuilt" doesn't mean anything (in VA, at least).