What Are Nada Values
The National Automobile Dealers Association is the premier trade organization for over 16,500 automobile dealers across the country. Owned by its parent company, JD Power, the NADA organization is responsible for initiating and passing governmental legislation friendly to the car industry. In addition, NADA puts out forecasts about industry trends and has been the definitive go-to resource for car values for nearly a century.
What Do Nada Values Mean
NADA stands for National Automobile Dealers Association a trade organization representing all foreign and domestic franchised car dealers before the media, public, federal agencies, and Congress.
The first NADA Official Used Car Guide was published in 1933. It was available only for the dealership subscribers. Later, the company launched the NADAguide website for consumers. Today, the website is owned by J.D. Power, responsible for the valuation data.
They work with automotive experts and provide pricing information about all types of vehicles, including motorcycles, campers, RVs, trailers, and boats, calculating them by such sources as:
- Vehicle sales at dealerships
If You’re Trading In Your Vehicle
When filling out an appraisal form, you’ll often be asked if you want an instant cash offer. The offer lets you sell your vehicle at participating dealerships. Alternatively, you can simply take your car to the dealership and ask the staff to appraise it. Regardless of the route, you’ll want to have a reference point to see if the dealership’s trade-in offer is in the ballpark. This is where the Edmunds trade-in value comes into play.
The process is simple. Just compare your trade-in offer with the Edmunds trade-in value. If the offer is more than that value, you’re in the best-case scenario and should take the offer. If the offer is less than the trade-in value, it could be due to a number of factors. Sometimes the dealership has too many vehicles like yours on the lot. Perhaps you made an error in selecting optional equipment, or you were too optimistic about your car’s condition. Or perhaps market conditions have shifted, as they did at the beginning of the COVID-19 pandemic, and online tools haven’t caught on to the trend.
Ultimately, keep in mind that the appraisal is an educated guess. The more real-world offers you get on your car, the better feel you’ll have for its real-world value.
Don’t Miss: Why Does A Car Overheat
What Is Kelley Blue Book Value
There are two values. The Kelley Blue Book Trade Value will give you the price range you can expect to receive when trading your car to a dealer. The Kelley Blue Book Private Party Value provides a fair price when selling the car to an individual. KBB values come from extensive data like sales transactions and auction prices. The data is analyzed and adjusted to account for seasonality and market trends.
How To Compare Car Prices In Your Area
After getting a few car value estimates, its a good idea to compare your cars appraisal to what the vehicle is being sold for in your area.
Look at popular used car marketplaces like Craigslist, eBay Motors, Facebook Marketplace, and Autotrader that advertise local used vehicles for sale. Start by searching for your cars specific make and model, with a similar model year and mileage. It doesnt need to be an exact match.
This should give you a good idea of what your car is actually worth. For example, if KBB estimates your cars value at $10,000 but used models in your area are going for less than $7,000, its a good indicator of what your car will really be worth when you sell it.
Recommended Reading: Will Insurance Cover Unregistered Car
Which Is Most Accurate
Although there are several car pricing guides available, theyre not created equal. Thats because each car valuation site uses a different algorithm to calculate car value.
KBB seems to be one of the most accurate and reliable valuation sites out there, says Andrew King, director at Jamjar.com, a leading UK car-buying comparison site. KBB is able to use real-world used car prices, gathered on a daily basis from wholesale auctions, independent and franchised dealers, rental fleets, manufacturers, and other sources in order to give you as accurate a valuation as possible.
For run-of-the-mill mass-produced vehicles, KBB is still the go-to for most people, although Edmunds is quite good as well, adds Dorr.
How Much Is My Car Worth Kbb Vs Nada
Over the past year, more and more Americans have changed their work lives. Telecommuting has become more popular, and many multi-vehicle households are considering downsizing their vehicle fleets. At the same time, due to production shutdowns in Asia, a global microchip shortage has resulted in a record-high demand for used cars. For car owners looking to sell a used vehicle, it seems like there is a myriad of options. The internet, auctions, local dealerships specializing in used cars, local dealerships that sell new vehicles and will take used vehicles in trades, all are outlets for selling your car. But before you sell your vehicle, its important to know how much your vehicle is worth. For that, sellers will consult resources such as the Kelley Blue Book , NADA, and other trusted resources that measure car values. Even car dealerships such as Prieto Automotive in Fresno or Sanger Chevrolet in Sanger, have trade-in value tools. For the layperson, even with all these resources, there are still some unanswered questions. How do I sell my car? Where do these values come from? What do these numbers mean? Most important of all is how much is my vehicle worth?
Also Check: Can I Register My Car Online Florida
Don’t Miss: How To Install Rear Facing Car Seat
Information Youll Need To Estimate Your Cars Value
Regardless of which car value estimator you use, youll need to input some information about your vehicle. Usually, the more questions youre asked, the more accurate your valuation will be, which means that you need to be as truthful and accurate as you can when answering them, says King.
Here is the information you will need to provide to get your cars estimated value:
What Is The Value Of Your Collector Car
Classic car value and antique car values are determined by a multitude of factors both in and out of the owners control. A collector cars market value is best determined by understanding supply and demand, using historical sale prices, and reviewing current asking prices on available inventory. For collector cars, 70% of classic and antique cars are sold through private sales, 20% through auctions and 10% through dealerships. With all of these various channels in play, no single valuation or appraisal tool can definitively tell you precisely how much your vehicle is worth. However, using multiple valuation sources will provide you a better starting point in determining market value for the vehicle value.
Fortunately, there are several free collector car value guides and tools that, collectively, allow you to research the range of values for your car and help determine the price you should ask on a collector car. Below you will find a list of reputable sources to refine your estimate of your vehicles value.
Don’t Miss: Where Can I Get My Car Inspected
What Are Nada Guides Values
Whether youre selling your car privately or trading it in to a dealership, you absolutely need to understand the value of your vehicle. The last thing that you want to do is get taken advantage of because you dont understand your vehicles worth. Thats where NADA Guides values become important.
However, there are quite a few different car evaluation tools out there. These are known colloquially as books, since they began as physical books. With so many options, which bok value should you use?
Today, were going to take a look at NADA Guides, one of the most popular car value estimators out there. Well take a brief look at their history, discuss how they reach their values, and examine when you should use their evaluation tool.
What Is The Nada Used Car Guide
The NADA Official Used Car Guide is available on the NADAguides website, but it is used by Industry professionals and provides 12 years of pricing for passenger cars and light-duty trucks and SUVs. You can get an annual subscription for $99. NADAguides have values available to the public and have added new car pricing to their used car values.
You May Like: Which Car Has The Best Gas Mileage
Nada Values & Car Boat Or Rv Loans
Its crucial to know how NADA values affect your vehicle, boat, or RV financing. Banks, credit unions, and finance companies secure vehicle loans using the vehicles worth. NADA tells the bank the cars worth, which tells them how much they can loan and how much down payment youll need.
Knowing the NADA value helps with auto loans in two ways. First, use NADA to negotiate a better price. Second, list every optional accessory on the loan application to get the maximum NADA value because, depending on the lender, this could reduce the down payment. Knowing how the NADA value affects your car loan will help you save money.
Allow Southeast Financial to guide you as you navigate the complicated world of NADA. We can help you discover the perfect finance since we have the network, connections, and web resources!
Lastly, keep in mind that purchasing or selling your automobile or boat is all about a better future and lifestyle. Take your time to find the best price for your car, boat, truck, or RV without losing the value.
Pick The Type Of Value You Want
A car is only worth how much a person is willing to pay for it however, there are a lot of people and a lot of cars.
If youre selling your car
- Trade-in value. This is likely how much a dealer would pay for your car. Its the lowest value here, as its much more convenient to essentially trade keys at a dealership than it is to sell a car directly to another person yourself.
- Private seller value. If youre up for selling your car on sites like Craigslist, you can typically get a couple thousand more dollars in exchange for your trouble.
If youre buying a car
- Private party value. Buying a vehicle directly from an owner can be a better financial option for buyers as well as sellers. Without a middleman to jack up the price, a used car buyer could find a great deal. Just be sure to inspect the car first.
- Dealer retail value. This is the price you can expect to see on the cars window at a dealership.
- Certified pre-owned value. Used cars that are still within warranty and pass a strict inspection are CPO vehicles. They have a higher price tag than regular used cars but typically come with the manufacturers stamp of approval and a longer warranty.
You May Like: How To Clean Car Carpet
What Is My Car Worth
In the day-to-day running of your vehicle, the value of your car may not be important. But, when looking to sell, upgrade, or perhaps reshuffle your finances, the value of your vehicle suddenly becomes important. So how do you work out the value of your car? And is your carâs estimated value the same as its worth to someone else?
One key thing to remember the value of your car to you, is not necessarily the same as its worth to someone else. If youÍre looking to sell your car, then itÍs worth is really dependent on its value to someone else.
How Collector Cars Are Appraised
Third-party appraisers gauge the fair market value of a classic car by considering a variety of factors including the condition of the vehicle, the historical market value, its mileage, and current market trends.
Antique car values are appraised following their categorization into one of the following five classifications, ordered from lowest to highest value:
- Parts Cars: An undrivable vehicle with no functional value. These vehicles are used mainly for their parts which can be used to restore other cars.
- Restorable: A restorable car is in poor condition but still retains functional value because it can be restored to be roadworthy again.
- Good: A good car requires some restoration work to increase its market value.
- Very Good: A very good car is fully restored and is in good working condition.
- Fine: A fine car is a fully restored car in good condition that has retained many of its functional original equipment manufacturer parts.
- Excellent: An excellent car is perfectly restored or is in original condition.
An important element of the classic car appraisal process is the recently recorded public sales of vehicles of the same make and model. These vehicles, known as comps, provide critical insight into the current market value of the vehicle. From there, additional factors such as the cars condition, mileage, and inclusion of OEM parts influence collector car values.
You May Like: How To Shampoo Car Carpet
How Does Nada Reach Its Value
Since NADA Guides was created out of a car dealers association, NADA Guides use real sales data from car dealerships to reach their values. NADA Guides use three primary criteria to determine the value of any given car:
NADA Guides put heavy emphasis on the cars wholesale price, as opposed to focusing on mileage and conditions, as other value estimators do. The downside to this, however, is that NADA assumes that all vehicles are in great condition. This practice results in overinflated prices in situations in which the vehicle does have mechanical or cosmetic issues.
You should use NADA Guides values in conjunction with other value estimators to paint a picture of your cars worth. Dealerships will use NADA Guides to establish a loan value for when they look for financing offers, then theyll typically use the Black Book to reach their offer amount. This means that you should use everything at your disposal to counter their offer and ask for more. You deserve to get the most out of your trade-in.
If You’re Shopping For A Used Car At A Dealership
This option is for people who are buying a used car, not selling. In this case, go on Edmunds and enter the details of the vehicle as if it were your own. The dealer retail value will be the most pertinent to you. This is an estimate of what you’ll pay for that same car at a dealership.
The dealer retail value gives you a reference point. It shows whether or not the advertised price is a fair or great deal. If the dealership’s asking price is higher than what you see on Edmunds, you can reference it and ask the dealer to match or beat that price. This sort of “informed negotiation” typically goes over better with a salesperson since it shows that you’ve done your research.
Also Check: What To Do With Old Car
How Do I Calculate The Book Value Of My Car
The easiest way to establish the book value for your used vehicles is to log on to one of the websites mentioned above, including kbb.com and nada.com, and use a vehicle calculator. It will ask you a few important questions about the vehicle and then calculate the price or book value of the used car. Here are six easy steps to determining your Kelley Blue Book Value.
Online Collector & Classic Car Valuation Tools
ClassicCarValue.com
ClassicCarValue.com is a first of its kind tool that allows users to find an accurate classic car value online by comparing classic and collector car valuation data from both online and offline sources.
The classic car valuation prices are based on the specific vehicle year, make, model, vehicle trim and included factory options of a classic or collector car. Data comes from acclaimed publishers like Old Cars Report Price Guide, NADA, CLASSIC.com, Hemmings and Collector Car Market Review.
National Automobile Dealers Association
The National Automobile Dealers Association is a trusted, comprehensive source that has created the searchable NADA Guides Classic & Collectible Car Values to provide a clickable tool to quickly estimate the Low Retail, Average Retail and High Retail values of classic and collectible cars based on the specific vehicle year, make, model, vehicle trim and included factory options.
Collector Car Market Review
Collector Car Market Review compiles auction, sales reports, classified listings and other proprietary data sources to estimate values in their VMR Collector Car & Truck Price Guide estimating car value using a 5-Level Condition Guide.
CAARGUIDE.COM
CAARGUIDE.COM is another online resource that uses a proprietary Classic Automobiles Appraisal and Resource Guide to estimate values of collectible and classic cars using its proprietary valuation scale.
Also Check: How To Dispose Of Old Car Seats
