Since 1926, Kelley Blue Book has been used to estimate the value of used vehicles. It has been widely accepted as the be-all and end-all system for pricing cars. However, is there a downside to trusting KBB all the time? Here at Cash For Cars, we understand KBB from the inside-out and can tell you exactly how it works/can let you down. Our knowledge of this allows us to BEAT Kelley Blue Book’s offer and give you instant cash for your car. Call us at 760-877-5808 to see how much your car is worth.
How do they come up with their prices?
To understand where their issues are, you need to understand exactly how KBB generates their pricing. There are quite a few factors that go into determining just how much value a used vehicle has. Every day, KBB receives information on used car prices from dealerships, auctions, independently listed cars, manufacturers, rental services, and many more.
Once that information has been obtained, it is uploaded into their algorithm that determines the estimated price based off these factors as well:
- Current economic conditions
- The season
- Availability
- Current trends
- Location
- Developments in the industry
You might be thinking, “why shouldn’t we rely on Kelley Blue Book’s offer? That sounds pretty advanced to me.” Well, because lacking the human touch can create issues with the final estimate.
Factors that can be a problem
Delay
That amount of data circulating through KBB can have some serious lag time for prices to be properly analyzed. The value reflected may not always be up to date yet. Trends and economic conditions can change at the snap of a finger. Kelley Blue Book may have not adjusted their pricing when you happen to check.
Wrong Set of Data
Collecting used car pricing data from dealerships might not always be the most accurate. The majority do not use Kelley Blue Book for their trade-in value. Instead, they use National Auto Researcher’s Black Book or the Manheim Market Report. Both pricing lists are not available to the public and usually value the cars at a lower price than KBB. If Kelley Blue Book is using this data to calculate their prices, then their listed price tag can potentially be lower than the actual value.
Condition of the Car
With all these factors that go into Kelley Blue Book determining the price, people often forget to consider the condition of the car. When trying to sell a car, they’ll often find they aren’t getting anywhere near the value listed on KBB. Dealerships and private-party buyers can claim that due to the condition, it’s only fair to shave off an additional hundred dollars or more. Kelley Blue Book can account for all these various factors, but unless someone physically looks at your car, the listed price might be misrepresented.
Cash For Cars Can Help
Although Kelley Blue Book has been considered to be the most trusted car pricing system for almost a century, they still have their faults. At Cash For Cars, we understand the frustration on not getting the amount you believe you should get for your car. We can BEAT the Kelley Blue Book offer and provide you with instant cash same day no problem. Reach out to us today at 760-877-5808 or fill out our form to discover how much cash we can give you.