Determine a Car's Retail Value
When it comes to figuring out a resale or retail price for a used car, potential sellers realize that the general idea of nebulous value is true for vehicles: the true price of a vehicle is the price that a buyer is willing to pay for it. Some basic guidelines can help a vehicle owner or dealer figure out an estimate, but the concrete value of the vehicle gets established through negotiation. Here are some ways to determine a car's retail value for a sale offer.
Contents
Steps
- Do a blue book check. Different blue book companies operate websites that can help you get an accurate value estimate for a used car.
- Input the vehicle's year, make and model.
- Input the zip code where the vehicle is kept. This local information helps to establish a resale price.
- Input the mileage for the vehicle. Used car value changes according to mileage, something that sellers will realize when they go to make a sales offer to a buyer.
- Identify all of the features on the vehicle. After the features, mileage and condition of the vehicle are established, the blue book site or print volume will give a set of retail prices.
- Evaluate the condition of the car. The price of a car will also be different depending on whether there are any interior or exterior visual damages and whether the vehicle is drivable or in good running condition.
- Use the condition in the blue book search. Some blue book tools will ask you to rank the vehicle's condition from a set of criteria. If that was not applied, go back through the search and input the accurate condition of the car.
- Provide for any major mechanical problems. If the car has trouble with major systems, including emissions systems, cooling systems, engine and transmission, or any other damage, this will need to be factored into the sale price. The seller can assume a portion of the cost and pass some of the rest along to the buyer, depending on how badly the buyer wants the vehicle.
- Advertise and show the vehicle. This is where the true price will be established. It isn't always easy, but if you want to sell at a fair price, keep showing the vehicle until you reach a comfortable arrangement with the buyer.
- To make your resale or retail value precise, start at a higher price than the blue book or estimate. Lower the price in increments until you find a buyer who likes the deal. You'll be able to establish a functional retail price that will actually translate into a dollar amount in your bank account.
Tips
- There is more than one blue book value available for a vehicle. Look at the kinds of blue book tools that notaries and state vehicle agencies use and come to a general idea of what your car should be worth as a trade-in.
Warnings
- Always provide for accurate documentation. Do not give away the title of the vehicle and keys without payment. Look into all the rules for sale and surrender of a vehicle at your state DMV. Without good record keeping and an official statement of surrender, the seller can get in trouble if the buyer does not promptly re-title the vehicle.
