Four Easy Steps that Save a Lot of Aggravation
1. Visit www.Cars.com and www.AutoTrader.com. Type in the description of the vehicle you are trading in. This helps you see what dealers are currently charging for vehicles like yours. You will need to deduct approximately $2,000 to $3,000 (in reconditioning costs and dealer resale profit) from these values in order to arrive at the true current market value of your vehicle.
2. Visit www.KBB.com or www.Edmunds.com and select the new vehicles you would like to price. The site provides MSRP, Invoice, and most importantly; new vehicle blue book values which reflect the average consumer transaction prices. Be sure to gather any rebate and incentive information your new vehicle may be eligible for. Note* Used vehicle data on KBB is less reliable, particularly values of Certified Pre-Owned Vehicles (CPO). Go back to step #1 if you are pricing used vehicles for purchase. CPOs are worth more because they carry original factory warranty extensions, but KBB uses its own calculation methods rather than true transaction prices in their valuations.
3. Call your bank and ask what your current vehicle loan payoff is (if you are still in fact making payments that is). Find out when that number is good until, because interest is calculated and adjusted daily.
4. Use the payment calculator available at many sites including: www.Edmunds.com. Punch in the data you have collected to get an idea of what your taste will cost you per month. Don't forget to punch in whatever loan amounts are still due on your present vehicle, as well as any cash down after state sales tax.
