What is a good deal for a used vehicle?

When it comes to deal, there are a lot of tricks to play to move the price up and down. The same vehicle could sell for 30% more or less. Once I sold a car to a dealership in auction for $3300. The very next day, the car was sold for more than $9,000. Is the buyer stupid? No. Is the seller a fraud? No. It's just techniques of pricing and bargaining.

But first of all, what kind of price is a good deal? The answer is not easy. Most people buy and sell according to the KBB (Kelley Blue Book) value. However, let me ask you a question: Do you know how to use it? Most people will response yes with some laugh. Unfortunately, it doesn't mean they really know.

The biggest mistake I found when using the KBB is to buy a vehicle at the retail price. You may ask, isn't it the price we are supposed to pay? The answer is: definitely no. I don't know how exactly the KBB retail price is calculated. But according to my experience, it's at least 10% higher than the market. So you mean I should buy 10% lower than the retail price in KBB? No.

What price we should buy to be a good deal? If you buy from a dealership, the price to pay is around the middle of retail price and private party price. That will make a difference of hundreds, if not thousands. If you buy from a individual, make the offer at the middle of tradein and private value price.

But when I offer the seller the "good deal" price, he said no. What should I do?That's where the negotiation comes to play. To get a good price, you need to negotiate. Negotiation is an art. I love negotiation. You should love it too if you like to save hundres or thousands for the vehicle you are buying.

Please read the next article: How to negotiate?