When buying or selling a used car, many people rely on the Kelley Blue Book (KBB), which has been around since 1926. One sign of its popularity: In 2017, over 20 million unique visitors per month visited the , today the number is likely even higher.

Although automotive experts acknowledge that the Kelley Blue Book is one of the most popular an🐼d trusted guides in automotive pricing, the question remains: Is it accurate and reliable? Here’s a look at how Kelley determines car pricing, an assessment of some issues consumers ಞmight encounter with KBB pricing, and a brief review of some of the top competitors in the industry.

How Kelley Blue Book Determines Car Values

Kelley Blue Book receives real-world used car prices from wholesale auctions, independent and franchised dealers, rental fleets, auto manufacturers, lessors, and private party transactions. Using this d🃏ata, they make weekly updates to prices.

Kelley’s proprietary 澳洲幸运5官方开奖结果体彩网:algorithm analyzes pricing data along with historical trends, current 澳洲幸运5官方开奖结果体彩网:economic conditions, industry developments, time of ꦕyear,﷽ and location to determine Kelley Blue Book values.

That process results in 12 different used car values, in addition to several new car values. Some of the most crucial used car values are:

• Private-party value: The starting point for a negotiation between a private buyer and seller for "as is" sales.
• Trade-in value: The amount you are likely to get from a dealer for a trade-in.
• Typical listing price: Represents what dealers are typically asking for the used car.
• Fair purchase price (CPO): The price consumers may reasonably expect to pay for a certified pre owned car of this year, make, and model.

Some Issues With KBB Pricing

Some factors that could affect the accuracy of KBB val🃏ues are lag time, consumer biasꦜ, and mismatched data.

Lag Time

It takes time for data an♕d analysis to make its way through KBB. Prices listed𒅌 may not always reflect the very latest trends and economic conditions.

Consumer Bias

Most people think the cꦐar they are selling or trading in is in better condition than it really is. If you misjudge the condition of a car for trade-in or purchase, your expectations may not match the reality of KBB’s valuation structure.

Mismatched Data 

Most dealers do not ൩use KBB for trade-in (wholesale) values. Instead, many rely on National Auto Research’s  or the , neither of which is available to the public. More important, both tend to skew lower than KBB in wholesale pricing.

Solutions for Consumers

If you use KBB as a general🃏 guide and follow the suggestions below, Kelley Blue Book data can be very usefu🔥l.

Print out Definitions

If negotiating to buy a used car from ꧂a private seller, show K𒀰BB’s car condition definitions to the seller, especially if you believe the car is priced too high. 

Negotiate 

KBB’s pricing structure tends to favor dealer♕s, meaning listed retail prices can be higher than other💟 guides. Start with the listed retail price and bargain down. 

Ask for Sources 

Be ♓aware that insider guides like Manheim or Black Book tend to show lower wholesale prices than KBB. Ask about the source of the trade-in offer or wholesale price.

Consult Other Guides 

Consult one or more other websites or p✨ricing guides to get an “average” for the vehicle you are trading in, selling, or planning to buy.

Additional Resources

The following are several sources you can check for pricing and rating information beཧfore buying, trading in, or selling a used car.

: This website offers an appraisal engine that includes five car condition categories compared with KBB’s four. This can be helpful—or generate confusion—depending on how realistic you are about your car’s condition. Many experts believe Edmunds' values are more accurate than KBB's. That’s not always the cඣase, of course, which is why getting several estimates and averaging still makes the most s𝓀ense.

: One of the oldest guides, NADA guides were designed for dealer members of the National Au🤪tomobile Dealers Association (NADA) trade group. For consumers, NADA partners with J.D. Power. Their website will lead you to J.D. Power's site where you can research new and used vehicle values by make and body style.

: The well-respected, noncommercial (no advertising accepted) publication offers lots of information if you buy an online subscription, ജless if you don’t. The website features general pricing on used cars, information on reliability, cars to avoid, and much more.

The Bottom Line

Kelley Blue Book is a very good resource, but it should not be the only one you consult. Although none of the top used car buying guides is perfect, when taken together—along with additional information gained from other websites and tools, such as auto loan calculators—they ᩚᩚᩚᩚᩚᩚ⁤⁤⁤⁤ᩚ⁤⁤⁤⁤ᩚ⁤⁤⁤⁤ᩚ𒀱ᩚᩚᩚcan provideꦺ reasonably reliable and accurate information for your used car transaction.