What is Black Book?
Black Book, a leading provider of marketplace insight since 1955, is best known in the automotive
industry for providing timely, independent, and accurate vehicle pricing information.
What Is the Trade-In Value?
Trade-In Value is the price a dealer would offer for a consumer’s
vehicle to apply toward the purchase of another car in the dealer's inventory.
The trade-in value is more closely aligned with the auction wholesale value, meaning what the car would sell
for at an auction to interested retailers. However, the dealer may offer more if the vehicle is a desirable
inventory item. In this case, a dealer may make allowances in consideration of auction and transportation
fees that would have been paid if the car were bought at an auction.
What Is the Private Party Value?
Private Party Value is the price you could expect for a vehicle sales transaction between
two consumers. Depending on demand and condition, this transaction price will be between the wholesale value
and the retail value. Private party transactions are typically less than dealer sales because they do not
provide the buyer any financing options, warranty, nor any recourse should there be any problems with the
vehicle. All sales are considered final and as-is.
How Are the Trade-In and Private Party Values Calculated?
Black Book acquires its pricing data from wholesale auctions and retail transactions nationwide.
Pricing is updated on a weekly basis. High mileage, vehicle damage, and the cost to recondition the car
for resale all have an impact on the overall value of your car.
Why Aren't All Optional Equipment and Packages Listed as Additions?
Used-car shoppers tend to focus on their basic transportation needs and finding a budget-priced car.
Because these shoppers aren't willing to pay extra for many upgrades, oftentimes optional equipment and
packages added to a new car have little or no resale value when the car is traded in or sold privately.
Why Does the Dealer's Estimate of My Car's Value Differ From the Value I Calculated Here?
There's no such thing as exact pricing when it comes to a used car trade-in value. The exact appraisal
amount will change based on local market conditions, the dealer's inventory, and their ability to resell
the car. To understand the value of your car, take it to multiple used car lots to see what they will
give you for it. This will help you understand the high- and low-end values for your car.