Used cars retail value

There are different prices for different types oftrends. Click and voila: a precise value that reflects
transactionsrecent sale data.
Dealer or Retail price: This is what customers pay forContinue researching using web tool No. 2: Kelley Blue
a used car at a franchised dealer. This is almostBook. Kelley has a number of different features,
always higher than the price charged by an individual.including the ability to compare several cars
Dealers mark up for inspecting, reconditioning and forside-by-side. But you still get a specific value for the
the privilege of having you come to their used car lot.exact model and equipment level you want to buy.
Private party: This is what customers pay for a usedNow, let's compare the numbers to the real world.
car when they're buying from an individual. There isGo to a used car lot and check some prices. Choose
the most variation in private party sale prices,either a new car dealer or a general lot that has lots
because each seller's situation is unique.of used cars. Also, a high-end dealer like Lexus will
Trade-in: This is what you can expect a local dealerhave other high-end used cars that came in as
to give you for your used car. Conversely, this istrade-ins. Try to get a sense of how much a dealer
what dealers pay for the used cars on their lot thatwill take off the price. Sometimes, the prices are firm.
are traded-in by customers. It is almost always lowerThis is a good time to also drive the car you're
than what you can get by selling your car yourself tointerested in.
a retail buyer.Finally, go back to the classifieds. Notice the
How much is a car really worth? It used to be adifferences in prices between dealers and private
tough question to answer. Now, there's a variety ofindividuals. Try to adjust both sets of prices based on
web tools and other resources to help you pinpointwhat you've learned. Private sellers and dealers
the precise value of a car you're interested in. Here'susually ask more than they're willing to accept.
how.Put on your steel-toed work boots: you're ready to
Difficulty: Averagestart negotiating!
Time Required: 30 minutesTips:
Here's How:During your first visit to a dealer lot, do not buy a
Let's start the old-fashioned way. Pick up your localcar, no matter how tempting! Be sure you are
newspaper or for-sale magazine and start circling carsprepared -- intellectually and psychologically -- for
that interest you. This gives you a general idea offull-bore negotiating before you sit down with a
what's available and how much people are asking.salesman.
Remember to focus on a single make and model atIt's always a good idea to take a trusted assistant
one time (e.g., '99-'02 Toyota Camry).(friend, spouse, kid) when you're on the dealer lot.
Research real values using web tool No. 1:Kelley Blue Books are available at many bookstores
Edmunds.com. Enter as much precise informationand newsstands. They come out monthly. You might
about the car you want to buy, including color,want to buy a copy and take it with you when you
mileage, equipment, condition. The zip code featureshop, as you won't have your laptop to rely on.
customizes the results to reflect geographic pricing