Dealer Price vs Kelly Blue Book?

W

william

New member
I found a 2009 Ford F150 on my local Ford dealer's lot for sale at 15,900.00. It has 16,120 miles on it. It's a single cab, XL model. I thought it was a good deal as a truck for my son. So I came home and looked it up on the KBB and found the truck to be valued at 18K.

My question is this: I would have thought the dealer would be trying to sell this vehicle more near the KBB value (I've never bought a used vehicle before, so I have no previous experience trying to buy one). So I was very surprised it was 2K less. Now I've had friends tell me that it must be because something is wrong with it.

Well the vehicle is a certified vehicle (CPO) and has the 6yr/100K warranty that Ford offers for the CPO vehicles. I test drove it and didn't notice any issues with the steering, engine, transmission, etc.

What does everyone think? Does is sound like a good deal or "too good to be true" deal? Etc. I'd like to know because the price is right for what I want to buy him, but I sure don't want to buy a piece of junk.
My bank uses the KBB as their reference manual for what they will finance. So the KBB is a very important tool in this conversation.
My bank uses the KBB as their reference manual for what they will finance. So the KBB is a very important tool in this conversation.
 
They didn't pay top dollar on a trade in or got it cheap at a dealer auction. Doesn't mean there is anything wrong with it. They are still making a good profit on it.
 
Manuel and pickme are both right. A 2k lower than blue book price is a way to get a fast turn over, on an auto that isn't a pinnacle seller in a down economy.

Another reason however it may be lower, is that it may have been in a cosmetic fender bender at some point, has been repoed, or has had a person die in it. Ask for a car fax report, and keep these issues in mind.
 
In the world if buying and selling USED cars, you have to look at it from the dealers stand point.They want to buy cheap, and sell cheaper than usual to get rid of it for space for other vehicles. KBB is a very useful tool, no matter who or "What" you are, and only people who don't understand it give it a bad rating. KBB shows the BRAND NEW RETAIL price of a vehicle, which in your case was 18K. However, the dealer lowered it because it is USED. A 2K price drop is actually a good sign as it means it is still in good condition. Just be sure to do your research on the vehicle before making your decision, and good luck!
 
Very few banks and almost no dealers use KBB.

Check the black book & NADA values. And be SURE you are valuing the CORRECT truck. (Lots of models might be worth more)

Are you sure the truck hasn't been wrecked & repaired ? Any body or paint work would make it lose thousands in value by the way.
 
In the world if buying and selling USED cars, you have to look at it from the dealers stand point.They want to buy cheap, and sell cheaper than usual to get rid of it for space for other vehicles. KBB is a very useful tool, no matter who or "What" you are, and only people who don't understand it give it a bad rating. KBB shows the BRAND NEW RETAIL price of a vehicle, which in your case was 18K. However, the dealer lowered it because it is USED. A 2K price drop is actually a good sign as it means it is still in good condition. Just be sure to do your research on the vehicle before making your decision, and good luck!
 
KBB is a GUIDE. It very specifically states on the website that it is only to be used to get an IDEA of prices you MIGHT find.

It is NOT an actual appraisal of any vehicle.

KBB is just about the most useless website on the planet, because everyone runs to it, and thinks they have found the value of their car.

Keep this in mind: No one from KBB has looked at that truck. So....why would you think the price in their book would be relative to that specific vehicle?

Just think about it.

It's not a good deal, or a bad deal. If you're happy with the price, pay the price.

Edit: I have yet to see any bank use KBB. Car insurance companies don't, financing companies do not. Because KBB is not reflective of ACTUAL market value.

If your bank is using KBB, find a different bank.
 
Not too good to be true. Ford held up well through the recession and to me seem to be doing business in quantity now, stands to reason making 1K each off 10= 2K each off 5.
Dealers pay far less at auction, around 50% less. At 16K they can still turn a good little profit there. The warranty is likely power train only, I know a guy had to pay $35 for a burnt tail light on a newly bought truck with 10K on it, just saying don`t expect no maintenance costs because of warranty.
If it looks clean and has 16K on it, I mean look close, but odds are 99% or better it`s a good unit.
 
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