NADA price vs. asking price

[Wil_ B]

We may start seriously looking for a smaller, older, cheaper travel trailer. Just enough for occaional local use for my wife and I and the pups.  I'm finding something common with these private party 90's trailers in the 20'-25' range that are in excellent condition. The asking prices are generally 3 to 4 times the average retail price listed in the nadaguide . They may be newly decorated with a new flat screen, new awning, power hitch jack, etc and come with sway bar and weight distributing hitch but does that justify the steep premium over average retail?

 

[Gary RV_Wizard]

Private sellers often have an inflated idea of what their rig is worth, especially if they owe a bunch of money on it (a common problem). On the other hand, the online NADA RV guide is based on average depreciation rather than actual selling prices, so they can be off quite a bit too. NADA prices tend to be low for older models in good condition, or for very popular models (which don't depreciate as much as average). There are also seasonal and regional variations that the online guide does not account for.

Since you are looking at 15-20 year old RVs, condition is everything and I would not pay much attention to the online NADA guide. If you can get access to the subscription version, which uses sales data, you may get some better info, but its still primarily condition that is the driving factor.

 

[COMer]

The subscription version (what the dealer uses) is usually available at your local library.  The biggest help is that it shows the wholesale which would be what a dealer would put into it if the condition is OK for the year.  What you should pay, is a premium on that amount to give the seller a profit but not an excessive one.  Unless it's a dealer.  But you can figure he has wholesale at most, and then figrue out what he should want to make on an older rig. 

 

[99WinAdventurer37G]

Most of the Nada values on 90's models in that length are less than $2,000, which if it's well kept, is worth more than that to most people selling them.  The price of the aluminum alone is probably worth that, and if someone has put work into it, than it's worth more to them. 

Realistically, a real value is what a willing buyer will pay a mutually agreed upon price to a willing seller.  As a buyer you only need one seller to agree on a price for a unit you want.  The real value of the unit is what you are willing to pay, and they are willing to sell it for. 

Before I bought my MH, I looked for toy boxes.  For me, the prices people were asking, was more than I was willing to pay.  So I changed to broaden my search to find something that would both meet my needs and was of value to me.  I was open to many options, but would have had to increase my value of a Toy box if that was what I was set on.  If that's what they're selling for, that's what they're really worth.  I searched a 500 mile radius of my location, and still couldn't find something I felt was worth what they were asking.  The NADA value of Toy Boxes was thousands more than what I was finding in the Texas area.  There could have been units in another state where NADA values were closer to what owners of Toy Boxes were asking, but I didn't find them.  I know here in Texas you will get a lot more than NADA value for a Pick up than you will in some other states.  Most everyone I know here owns at least one PU.  So location may matter as well. 

 

[JCZ]

I've noticed that the molded fiberglass trailers (Skamp, Casita, Escape, etc.) all seem to hold their value very well, regardless of their age, compared to regular TTs or 5th wheels (both Skamp and Escape make very small 5th wheels for the Nissan, Toyota, Ranger type trucks).

 

[Derby6]

That seems normal and I don't know why.  In my experience NADA seems to always be low on RV (trailers anyway).  As your shopping and looking, you'll see the average 'going rate' and know what a true average price is for your area.  Be warned though, Banks still won't loan you above the NADA value even though its in accurate. :-\

 

[Gary RV_Wizard]

I'll reiterate: the NADA (Or Kelly Blue Book) values the bank is using is NOT the same as the values you find for free online.

You can often view a copy of the subscription NADA RV Guide at a local library (reference section), or you can subscribe yourself.

 

[Derby6]

I'll reiterate: the NADA (Or Kelly Blue Book) values the bank is using is NOT the same as the values you find for free online.

You can often view a copy of the subscription NADA RV Guide at a local library (reference section), or you can subscribe yourself.

Your a smart guy, so my bet is that you are right, but I still think it is a solid baseline -- In my experiences they were VERY close if not identical.  The banks top financing dollar was equal to the dollar amount I received on NADA on line for clean retail. In 2 cases the buyers knew the item was worth my asking price and though the bank wouldn't 80% or 100% finance the paid the difference.  One (RV TRailer) had the cash and another (Truck) took a second personal loan.

Now when it comes to NADA trade in values vs Black book and the other sources--FORGET IT all bets are off.  That seems to be comparing apples and oranges....lol

 

[ironrat]

These things are guides only!! (NADA and such) Condition and supply and demand sets a price, why do most want to believe these guide are Gospel?!!!!!

 

[garyb1st]

PPL of texas has a page on their web site that lists the selling price of the units they have sold for the past several years.  I find that to be an excellent reference point.  http://www.pplmotorhomes.com/sold/soldmenu.htm 

 

[Wil_ B]

Thank you for the educated responses. I'm beginning to conclude the nadaguide online data is useless. For instance, one particular 1996 trailer is listed as having an average retail of $1000 with a low retail of $830. The asking price of the trailer is $4200 and it was purchased from a dealer last year for $5500. Since that time it had considerable interior cosmetics, a new awning and a new 27" flat screen TV and mount.

The only trailers in this age and size range for sale at less than 2X the nada average retail are junk with serious problems.

But then again, I found a 2008 Fun Finder X189FBS from a dealer. It is represented to be in very good condition with an asking price of more than $3000 less than the nada average retail. Go figure?

 

[COMer]

Buying from a dealer you will seldom see the prices that you see in the NADA guides.  They buy low and sell high.  If you want to see NADA prices, you would need to buy from an individual like on Craig's List, or newspaper ads.  Dealers feel they can charge more since they are expert and can give you advice about the purchase.  They also have to pay for their million dollar facility and pay a commission to the salesman who is helping you make your decision.  I doubt that a dealer is much help when buying an older rig.

 

[ironrat]

Thank you for the educated responses. I'm beginning to conclude the nadaguide on line data is useless. For instance, one particular 1996 trailer is listed as having an average retail of $1000 with a low retail of $830. The asking price of the trailer is $4200 and it was purchased from a dealer last year for $5500. Since that time it had considerable interior cosmetics, a new awning and a new 27" flat screen TV and mount.

The only trailers in this age and size range for sale at less than 2X the nada average retail are junk with serious problems.

But then again, I found a 2008 Fun Finder X189FBS from a dealer. It is represented to be in very good condition with an asking price of more than $3000 less than the nada average retail. Go figure?

Well you see these are just a general guide at best nothing else. Just look at it if you were selling the unit, how much do you want for it honestly, and that is the fair price for you to buy at! But I know most would never do that because they don't want to get screwed! ???

 

[Gary RV_Wizard]

Agree - the online NADA values are pretty much useless for RVs much over 12 or so years old. Depreciation becomes largely irrelevant by then and condition is paramount.

 

[scottydl]

I wouldn't say NADA guides are useless, considering it's about the only thing we have available online for RV values.  But it does sound like trailer values (which I've never really researched on NADA, I was always looking at motorhomes) are pretty off-base.  I mean what kind of RV would you honestly expect to get for $830-1000?  The NADA numbers probably get spit out from some computer that doesn't look at the realistic values of some makes/models/styles I'd imagine.  Motorhome values seem to be more realistic.  Just for perspective, this year I priced my well-used (but well maintained) 1994 Class A motorhome at $8500 and sold for $8000.  NADA had it valued at $7000 Low Retail and $8400 High Retail.  So I was pretty happy with the outcome, and felt the buyer and I both got a fair deal.

 

[COMer]

Sounds like the operative word here is "guide".  I have always found that they are helpful if you look at them as just part of the information you need to price your rig or decide if somebody else's rig is worth what they are asking. Especially with an older rig, you need to adjust for condition and the other things that would make it different from the ordinary 20 year old unit.  Twenty year old RVs range from ones that are barely worth the $1000 that NADA is suggesting to ones that are just what you wanted and have many attributes that make them worth more.  I always look at the NADA guide first and then start adjusting or correcting for things that NADA could not have known about what I am seeing.

 

[Gary RV_Wizard]

I wouldn't say NADA guides are useless, considering it's about the only thing we have available online for RV values.

Not useless overall, but useless once a certain age and price range is reached.  The guide prices become virtually meaningless once the depreciated value gets much under about $3000 for a towable and $5000 for a motorized RV.  That's kind of a "floor" for RV prices - any RV that is in usable condition is probably worth at least that much cause there is a large population of potential buyers at that price range. "Handyman Specials will be worth less, and pristine examples worth more, of course.  However, the NADA calculated depreciation doesn't take that fact of life into account and it just keeps going down and down.

 

[Wil_ B]

From what I'm seeing locally, any 90's trailers for sale for less than 2X average retail would be most suitable for a hen house or feed shed. I don't think my wife would want to stay in one for more than a minute or two.