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Carmax compare cars12/31/2023 ![]() ![]() ![]() The prices for most used cars can be found in these guides, but each calculates them a bit differently, so the value for the same car can fluctuate from site to site - occasionally by thousands of dollars. There are several to chose from, including Edmunds’ True Market Value, NADA Price Guide, and Kelley Blue Book. To learn the retail, private party, or trade-in value of your car, start with an online price guide. Additionally, private sellers don’t have to cover the cost of operating a business, as a dealership does. Private party values fall somewhere between retail and wholesale because, without a dealership involved, there is less pressure to maximize profit. ![]() Carmax, of course, would then try to sell it for more - probably closer to the $10,000 retail price, netting them a tidy profit.Ī third price type, private party value, applies when you are selling a car directly to an individual buyer rather than to a dealership. The wholesale price offer was just $5,000. Six months later, after driving the car about 4,000 miles, my situation changed, and I decided to take the car to Carmax to see how much I could sell it for. After some searching, I found a very clean example with about 83,000 miles on it for less, and after some negotiating, I paid $8250 for the car, a deal I was happy with. Most on the market in my area had a retail price of about $10,000. And as we all know, businesses try to maximize profits, so most will try to buy your car for the lowest price possible and then sell it to someone else for the highest price possible. Remember, this is their business, and the price difference between wholesale and retail equates to their profit. ![]() They are lower than retail values because the dealer who buys your car at wholesale then plans to resell it at the higher retail price. Wholesale values and trade-in values are essentially the same thing. However, if you sell your car to a dealer like Carmax or Carvana or trade it in on another vehicle, you will receive its wholesale value, which is always lower. When a used car is sold by a dealership, it is always priced at its retail value. In other words, it’s the maximum value of the vehicle - it’s best price. Retail value is what your car is worth on the open market. Private Party Pricingīefore you decide how you’re going to sell your used car, it’s important to understand the difference between its retail value and its wholesale value. We’ll explain how each works as well as how to set a price for your vehicle. Here we’ll discuss the pros and cons of a few popular options: trading the car in, selling it to a used car dealer like Carmax, selling it privately through a site like craigslist, as well as donating the car to charity. Used cars are big business, and the industry has responded with a new batch of online used car superstores like Carvana and Vroom.īut what’s the best way to sell a used car? What steps should you take to minimize your time investment and maximize your selling price? This increased demand has also expanded the options when it’s time to sell your car. Americans bought about 40,000,000 used vehicles last year, and according to the Wall Street Journal used cars values are on the rise. ![]()
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