If you’re planning on selling or trading in a used car, or buying one, either privately or at a car dealer, you should know the basic process that is involved when determining the true ‘market value’ worth of a car. Taking these steps would ensure that you would not be scammed or cheated and taken advantage of by these at time unscrupulous car salesmen and dealers.
What is the Blue Book value of used cars?
The Blue Book used car value is a basic industry term used in the automobile buying and selling market. What it does is it accurately appraises the worth or true cost of an used vehicle. This book determines the prices of what most dealers are willing to pay for a used car, based on year, shape, options, mileage and location.
Where or how can you find the Blue Book value?
There are several resources available and responsible for determining the market value of any vehicle. The two popular publications that are considered the most reliable are: the N.A.D.A. Appraisal Guide and the Kelley Blue Book.
The Kelley Blue Book, is considered as a car industry bible, and is responsible for the term ‘Blue Book.’ It is the principal guide and resource for determining the appraisal loan value of used cars. This source has been providing information now for over 75 years.
The N.A.D.A. Appraisal Guide, established way back in 1933, is another excellent and helpful Blue Book guide that provides automotive car buyers to review any used car’s trade-in worth.
How exactly then does the ‘Blue Book’ determine the market-value of a used car?
The Blue Book will calculate the true market value of any car based on: the make of a vehicle and the model, as well as the year. The blue book also considers other factors such as: the condition of the used car, the mileage, and the options the car is equipped with. Most of these popular ‘Blue Books’ are usually free for public use, but may not always be current. They all provide user-friendly resources to help you in determining the appropriate appraisal value of any used car. Knowing the true Blue Book value of a used car will obviously help you in searching for a fair trade-in deal.
How you can determine how much you want to pay when buying a used car?
If you are planning on buying a used car, you should know beforehand how much you are willing to pay. Also, make sure you consider the additional expenses associated buying a car. Costs such as: car loan interest charges, automobile taxes, and ‘car title’ expenses.
How does these Blue Books determine the final value of a used car?
Almost all of the car dealers, as well as individuals use the Blue Book in determining car prices. Private owners, car auction houses, rental and fleet sales, franchised and independent car dealers all use the Blue Book in determining the final value.
These used car market values are determined by an industry standard and respectable editorial process. The process begins with a complete analysis of the collected data which includes: current local and national economic conditions, historic trends, seasonality, location of vehicle and industry developments. The final market value of any used car reflects the most current representation of the ever changing automotive marketplace.
So be a smart used-car buyer and avoid bad deals or investments, when buying or selling. Check with the Blue Book or the following site to find helpful guidelines in your used-car transaction.