What is Kelley Blue Book Certified Pre-Owned Value and How Do I Use it?
Kelley Blue Book Certified Pre-Owned Value is representative of dealers’ asking prices for a used car covered by the automaker’s CPO program, and the starting point for negotiation between a consumer and a dealer. The final sale price may vary according to the vehicle’s actual condition, popularity, type of warranty offered and local market conditions. In other words, it’s the price you should expect a dealer to ask – not always the price you should pay. In calculating Kelley Blue Book Certified Pre-Owned Value, we take into account the dealers’ profit, costs for advertising, sales commissions and other costs of doing business – as we do for the Kelley Blue Book Suggested Retail Value – while also factoring in any value associated with the CPO program. For most vehicles, CPO coverage typically increases market value between $1,000 and $2,000.
