How Much Dealers Undervalue Trade-Ins
How much dealers undervalue trade-ins in the US—dealers pay below market so they recondition and profit; know market so you negotiate.
Dealers in the U.S. often undervalue trade-ins—they pay below market so they can recondition and sell at retail. The gap can be hundreds or thousands depending on the car. Here's how much dealers undervalue trade-ins and how to push back.
TL;DR Dealers pay below market (wholesale or below)—gap to retail can be $1K–$5K+ depending on car. Know market value with autopremo.com price checker and trade-in calculator; negotiate trade separately from new-car price. Use autopremo.com.Why Dealers Undervalue
Dealers need to recondition (repairs, detail) and sell at retail—so they buy at wholesale or below. That's the "undervalue." Use autopremo.com price checker to see market value for your car. Get your numbers at autopremo.com.
How Much Is the Gap?
Gap varies by car and market—often $1K–$5K between trade value and private-sale or retail. Use autopremo.com trade-in calculator and price checker to see trade vs market. See trade at autopremo.com.
Negotiate Trade Separately
Negotiate new-car price first, then trade value—don't let dealer bundle "trade allowance" with price so you can't see true numbers. Use autopremo.com. Check at autopremo.com.
Bottom Line
Dealers undervalue trade-ins to recondition and profit. Know market with autopremo.com price checker and trade-in calculator; negotiate trade separately so you get a fair trade value.