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SPECIAL INTEREST VEHICLE PRICES FROM DEALER INDUSTRY LEADER MANHEIM
MANY DEALERS SWEAR BY THIS BOOK AND YOU WILL FREQUENTLY SEE THIS BOOK IN USE AT DEALER AUCTIONS.DEALERS WHO FEEL THE NADA PRICES ARE TOO HIGH IN THE REAL WORLD USE THIS.The company has now made this book available to the public
SOME OF THESE BOOKS HAVE UNREASONABLY HIGH OR LOW VALUES,AND SEEM TO EXIST FOR THE PURPOSE OF PUSHING THE DEAL ONE WAY OR THE OTHER IN A NEGOTIATION
LOOK-UP TOOL IS AT PAGE BOTTEM!!!
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WITH THE EXCEPTION OF SPECIAL INTEREST/EXOTIC CARS,since there may be no other guide available;THESE BOOKS SHOULD BE GIVEN LITTLE WEIGHT!,AND PERSONS INSISTING ON USING THEM..taken with a grain of salt...to be polite!
THE MAINSTREAM "BOOKS" ARE,in no particular order;kelley blue book,nada,and edmunds,
TERMS;what makes it confusing is there are only really three values to remember,but endless phrases that actually mean the same thing!....
RETAIL;also "list","full","manufacturers" ,This is what a dealer is supposed to be able to sell the car for off a traditional car lot.Some (okay everyone)thinks this price is too high,but keep in mind all of the extras (like warantees,state regulations,business expenses,sales commisions,advertising,preparation,etc.that must go into the price.Naturally most private individuals think they should get this value also when they sell there car.The truth is many dealers don't get this price and most private sellers don't either.
However this value is key because all auto finance is based on this number,Since the loan on a used car is only allowed on a percentage of the cars"book value"(70,60% etc.),if the value is low,the loan would be low..and ..who could buy a car if the down payment was half the cars price?
LOAN:This is simply retail (-) the percentage of the value the finance company deducts in deciding the maximum it will lend on this specific car(year,model,miles,condition)."what will the finance company loan on this car"...Nada calculates and publishes this figure in it's dealer guides.The  price diff. must be made up by either a down payment,trade in,cash,or someone coming up or down on the final price payed!.Obviously the fact that the finance co. will only lend this amount has implications as to the "true" value of the vehicle.Some people like this figure and  feel it has more real world utility.But the takeaway is;Loans sell cars,and "retail book" runs the loan calculation for the customer
TRADE IN;also "WHOLESALE","dealer cost","auction".This figure,hated by consumers everywhere,is the value the auto dealer is supposed to give you on a trade in."That's All?!!!"is frequently heard after this number is spoken!.However It cuts two ways!:this number is also "wholesale",or all the car can be expected to be sold for, wholesale, at either a dealer car auction or directly to another dealer.The fact is; most vehicles traded in have"issues" and the dealer can't easily sell the car for the retail figure to another consumer without investing money in the car.If the dealer had to fix every car just to get his money back he would either go broke or stop taking trades.Do some cars sell for more or less than this figure on a wholesale basis? yes,because pure supply and demand for this specific car take over,since no finance considerations distort the value.This figure is also favored by many since it more closely approximates a marketplace set value.Since demand for the specific make/model set value many vehicles are not even selling for the "book" wholesale(or trade in..the same).Many American cars are presently in this category.Some cars bring more at wholesale(Honda Toyota etc.).In recent times the increase of Internet sales of cars has driven the price of cars sold at retail closer to the wholesale (remember "trade in"..the same)figure,so it has taken more significance.RETAIL;highest.LOAN;middle.TRADE IN:lowest
Setting this figure  is an art since so many variables affect it.The guide book publishers monitor figures from new/used car dealers,survey dealers,as well as  attending car auctions to establish wholesale prices,The figures are adjusted for regional differences....car prices are lower on the coasts and higher in the mid west.YOUR TAKEAWAY? if your trade in is a popular model be firmer on your trade in/sale minimum.If it isn't a popular model,maybe let it go cheaper,and consider resale when you buy your next vehicle
PRIVATE PARTY This is the term used by kelley blue book,but the others have variations of it.This figure is somewhat lower than "retail' but somewhat higher than "trade in" and is supposed to represent what the consumer can sell a car for, to his neighbor.I am not sure what research the guides do to come up with this figure.As stated above it is unrealistic for the consumer to expect "retail" when selling his vehicle,and this figure seems to be a way to come up with a value guide that the average person can use when not selling his car to a dealer.This figure comes in somewhere near"LOAN"usually.Many cars sold on Internet auction sites mention,and try to get this figure,however many do not sell for as much as it.Supply and demand rule on Ebay!
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Industry Leader;wholesale values similar to NADA,retail values run higher than NADA...why many sellers quote" Lower Than Blue Book".Helps get financing done!
MANY RESOURCES FOR THE CAR BUYER
The largest;and has many guides to non traditional vehicles not covered by other publishers such as motor homes
Interesting new guide from the "old car bible";Hemmings Motor News.Apparently compiles comps from autos sold in there magazine/web site.Minght be the only place to find a value for a rare vehicle!!
AUTO VALUE GUIDE ..BEFORE WE LOOK UP!!
CLEARING UP SOME CONFUSION AND SOME DEFINITION OF TERMS!
THERE ARE MANY DIFFERENT "VALUES" BANDIED ABOUT WHEN  TALKING ABOUT A CAR'S VALUE!.WE'VE ALL HEARD THE PHRASE;"IT'S WORTH WHATEVER SOMEONE WILL GIVE YOU FOR IT".NO WHERE IS THAT MORE TRUE THAN IN THE AUTOMOTIVE WORLD !.CARS FREQUENTLY SELL FOR MORE OR LESS THAN"THE BOOK VALUE" DUE TO SUPPLY AND DEMAND REASONS,LIKE ANY MERCHANDISE IN THE FREE MARKET;INDEED IN SOME COUNTRIES THE AUTOMOBILE MARKET IS MANIPULATED BY GOVERNMENT REGULATION AND PRICES ARE NOT OPEN TO MARKET FORCES.ONE ISLAND NATIONS PRESIDENT DECIDED  ONLY  CHEVY CAPRICES COULD BE IMPORTED."LESS SPARE PARTS TO WORRY ABOUT".DO YOU THINK THESE SOLD FOR FAIR MARKET VALUE?!!....
BUT ONE OF THE MAIN SOURCES OF CONFUSION IS PEOPLE DON'T DISTINGUISH BETWEEN WHICH BOOK VALUE.LET ME TELL YOU THE DEALERS DO!.IS THERE CONFUSION ? YOU BET.DOES THAT BENEFIT THE PROS?,AND THE AUTO FINANCE INDUSTRY?.YUP......................
BUT ONLY IF YOU DON'T BOTHER TO KNOW THE TERMS!!!
WAIT?
CAN"T
 THERE ARE A NUMBER OF DIFFERENT"BOOKS"
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BUT ONE OF THE MAIN SOURCES OF CONFUSION IS PEOPLE DON'T DISTINGUISH BETWEEN WHICH BOOK VALUE.LET ME TELL YOU THE DEALERS DO!.IS THERE CONFUSION ? YOU BET.DOES THAT BENEFIT THE PROS?,AND THE AUTO FINANCE INDUSTRY?.YUP......................
THERE ARE MANY DIFFERENT "VALUES" BANDIED ABOUT WHEN  TALKING ABOUT A CAR'S VALUE!.WE'VE ALL HEARD THE PHRASE;"IT'S WORTH WHATEVER SOMEONE WILL GIVE YOU FOR IT".NO WHERE IS THAT MORE TRUE THAN IN THE AUTOMOTIVE WORLD !.CARS FREQUENTLY SELL FOR MORE OR LESS THAN"THE BOOK VALUE" DUE TO SUPPLY AND DEMAND REASONS,LIKE ANY MERCHANDISE IN THE FREE MARKET;INDEED IN SOME COUNTRIES THE AUTOMOBILE MARKET IS MANIPULATED BY GOVERNMENT REGULATION AND PRICES ARE NOT OPEN TO MARKET FORCES.ONE ISLAND NATIONS PRESIDENT DECIDED  ONLY  CHEVY CAPRICES COULD BE IMPORTED."LESS SPARE PARTS TO WORRY ABOUT".DO YOU THINK THESE SOLD FOR FAIR MARKET VALUE?!!....
CLEARING UP SOME CONFUSION AND SOME DEFINITION OF TERMS!
AUTO VALUE GUIDE ..BEFORE WE LOOK UP!!
BUT ONE OF THE MAIN SOURCES OF CONFUSION IS PEOPLE DON'T DISTINGUISH BETWEEN WHICH BOOK VALUE.LET ME TELL YOU THE DEALERS DO!.IS THERE CONFUSION ? YOU BET.DOES THAT BENEFIT THE PROS?,AND THE AUTO FINANCE INDUSTRY?.YUP......................
THERE ARE MANY DIFFERENT "VALUES" BANDIED ABOUT WHEN  TALKING ABOUT A CAR'S VALUE!.WE'VE ALL HEARD THE PHRASE;"IT'S WORTH WHATEVER SOMEONE WILL GIVE YOU FOR IT".NO WHERE IS THAT MORE TRUE THAN IN THE AUTOMOTIVE WORLD !.CARS FREQUENTLY SELL FOR MORE OR LESS THAN"THE BOOK VALUE" DUE TO SUPPLY AND DEMAND REASONS,LIKE ANY MERCHANDISE IN THE FREE MARKET;INDEED IN SOME COUNTRIES THE AUTOMOBILE MARKET IS MANIPULATED BY GOVERNMENT REGULATION AND PRICES ARE NOT OPEN TO MARKET FORCES.ONE ISLAND NATIONS PRESIDENT DECIDED  ONLY  CHEVY CAPRICES COULD BE IMPORTED."LESS SPARE PARTS TO WORRY ABOUT".DO YOU THINK THESE SOLD FOR FAIR MARKET VALUE?!!....
NADA Official Used Car Guide
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