How does CG know if the price is Fair, Bad or Good?
I'm seeing values on NADA that suggest the truck I want to buy are $5K less than what is advertised on the truck, but CarsGuru.com says it is a fair deal and it is over priced by $68. Who, how, do you know if this is a good or bad deal?
Cargurus doesn't know (fair value) its simply an algorithm of cars listed on their site. Check locally for what a particular vehicle really sells for. NADA's a very rough estimation of value too.
I like your answer, but I'm still curious as to what does the algorithim take into consideration? Does it look at vehicles in a radius to price them out, does it compile list of prices from KBB/NADA/BlackBook, etc?
OK, it all depends on your location, just like real estate values... A car in SoCal is always going to command a higher price than one in Michigan...rust, road salt, harsh winters, etc. It's always about condition with any used car. SO, Auto Centric is absolutely correct, these numbers from KBB and NADA are guidelines. Also, it's very much a supply and demand thing.