PREMIUM PRICES

Since late spring of 2008, used car prices have been steadily raising based on a number of reasons that contributed toward these factors.

The recession, Job loss, and insecurity have caused buyers to hold off purchasing new vehicles, rental fleets have been holding on to their cars longer, and leaseholders are purchasing their vehicle after their lease term ends, and to make matters worse the CARS program that deplete inventory of almost 700.000 vehicles.

 It has been decades since used cars are in such short supply of almost 4 million units. Dealers are beginning to scramble for used vehicle by any means, even scanning used car classified for vehicle on sale, by private sellers and are trying to make a deal, in order to fill up their empty lots.

When you consider that, dealers could make more profit selling a used car verses new, you begin to understand why they have decide to pull out the conventional way of doing business, even offering you more on your trade-in, some dealers will even buy your vehicle if you don’t buy one from them that is how desperate they have gotten.

Right now it is a seller’s market, sellers could get premium for their used vehicle but do not let greed get in the way

Many sellers are looking at the blue book value and taking it as gospel, almost everyone I have asked this question about selling their car for blue book value said they would want the amount suggested and more, without taking into consideration, condition of vehicle, and various options that can offset the price significantly.

Be realistic ask yourself if you would pay that amount for a used vehicle, set a fair price I don’t mean give it away but again a fair price, and I guarantee your vehicle will be sold in a short time. I have not seen a properly priced vehicle remain on the market longer than average.

If you decide to sell to a dealer, keep in mind that they use the black book and not the blue book and would not pay you premium, but if you negotiate a price between both books and closer to your asking price for a profit then the deal maybe to your advantage.   

Take into consideration, how long have you being trying to sell your vehicle. How much does it cost you each week that the vehicle remain on the market and make a practical decision.