Determining Your RV's Trade-in Value to a Dealer
Determining your RV's TRUE Wholesale Value
The first thing you need to know is that the ONLINE valuation guides for RVs are usually
much higher than the values in the dealer's copy of the NADA guide. In other words, what YOU
think your RV is worth is probably much, much higher that what the DEALER will actually allow for it.
This is the same for the automotive, boat or RV industries. The dealer MUST take trade-ins
at or below wholesale to ever hope to eventually make a reasonable profit. He must allow for
interest payments on his used inventory, commissions to sales people, overhead, and much more.
A typical mid-sized RV dealer will have a monthly overhead of $50,000 to $150,000...
or more per MONTH! Believe me, it's not an easy game. He has laid out millions of dollars to
allow you to browse a decent selection of RVs, so please... Don't think of him as the bad guy.
Online RV Valuation Sources
Lets take a look at the online RV valuation sources and how to use them in order to place
a realistic wholesale and retail value on your RV.
The best place to get fairly accurate online values for RVs is at:
National Automobile Dealers Association guides
Go to the RV section and select the appropriate letter that corresponds to the make of your RV.
Now is where you're going to have to grit your teeth and do something completely against
your nature. DON'T ADD FOR ANY OPTIONS! The dealer won't, so in this case we won't either.
Understand that we are only trying to determine what the dealer will allow for your trade-in.
This doesn't mean that you have to take it. In fact, you will be many dollars ahead if you
decide to market your RV on your own, and then approach the dealer on a cash only basis.
At the bottom of the NADA page, click on the "Get Price" button. Now, let you your jaw
drop as you look at the value for: "Low Retail."
Now emit a mild groan, because it gets worse from here. DEDUCT another 7 to 10 percent
of that figure to establish the wholesale value in the dealer's copy of the NADA book. This
is the value that the dealer will be looking at. If your RV is an upper-line or luxury RV,
or if it is a specialty RV you will need to deduct even more - 10 to 15 percent of the
"Low Retail" figure.
Since the online Low Retail prices do not match the wholesale prices in the dealer's
NADA guide, this is an educated guess for you. It will however, get you close enough to decide
whether or not you are willing to trade your RV, and accept the actual cash value the dealer
Remember NOT TO ADD FOR OPTIONS! I know you tried to sneak a few in there didn't you?
Remember... The dealer NEVER adds for options when determining an ACV on a trade-in. In some
rare cases such as hydraulic leveling jacks or other options that are very expensive, he MAY
allow a little more, but nowhere near the actual cost of the option.
Your best bet in determining what the dealer is allowing you for your trade-in is to
take the "Low Retail" figure minus 10 percent. (More for upper-line or specialty units.)
Certain factors such as mileage, condition and unit popularity and salability my influence
the actual cash value allowed for your vehicle. Remember that we are dealing with an inexact
science. We are simply trying to establish a guideline for estimating the actual amount allowed
for your trade-in. Now you have a way to weigh one against the other. Whether or not you
decide to trade, is completely up to you.
Barry Wilder has been associated with his family RV business for over 25 years. He is
currently the owner of Best Rate Financial Services, providing loans and refinancing for RVs,
boats and aircraft. They also provide RV and Boat Warranties. Best Rate Financial Services
RV and Motor Home Financing at
Best Rate Financial Services