Carfax Used Cars & Values Vs. J.D. Power
J.D. Power has cemented a reputation for professionally accumulating and analyzing data in the best interest of consumers. For the automotive field, verifiable & unbiased information of real-world experiences endured by real vehicle owners is gathered through surveying the market from the third month to the third year of vehicle ownership.
The feedback generated from verified vehicle customers is used to segment the car market by price & size to create car ratings. Eventually, from these ratings, we derive the J.D. Power 100-Point Score (an overall rating per model per year) based on the following categories, weighted as indicated:
- Driving Experience (30%)
- Quality and Reliability (30%)
- Dealership Experience (30%)
- Resale Value (10%)
The 100-Point Score can be converted into four classifications for a high-level summary:
- Among the Best (90-100)
- Above Average (81-90)
- Average (70-80)
- Below Average (0-69)
On top of all that, serving consumers with a fuller understanding of car pricing and value, our J.D. Power Verified Fair Price is a dependable indicator that one is not overpaying for the desired vehicle. Using the purchasing information from over 12 million retail transactions each year, we keep close tabs on the average price and the price range paid by the majority of the people. Dealers who qualify will have the J.D. Power Verified Fair Price badge applied! Seeing that badge grants the assurance that the price is close to the average in that region.
Who Carfax Is
Carfax specializes in providing car values and vehicle history reports to both buyers and sellers of used cars, and at the same time, serves auto businesses as well.
Carfax Used Cars, Values, and Vehicle History Report
Carfax considers a wide range of factors when providing a car's approximate value. These factors include mileage, condition, make, model, location of the vehicle, and the other options and features included. Many cars receive a full customized value based on the Vehicle Identification Number (VIN) provided, which offers unique value to customers.
Carfax provides Vehicle History Reports on individual used vehicles with the model year of 1981 or newer. Using the VIN, Carfax can create a report from its database of over 17 billion records. The Carfax vision is to lead the way in vehicle history information for all buyers and sellers working with used cars.
The vehicle history report is the result of analyzing information to determine vehicle value for a specific car. This report includes accident history, service history, maintenance performed, the number of previous owners, recalls for that model of vehicle, and the use case of the vehicle.
Values may be different for vehicles that were for personal use compared to business or fleet use. The variability in vehicle values is tangible, and using the VIN is an excellent way to find the actual value of your car compared to the marketplace. Merely observing the competitive landscape of the used vehicle market is insufficient to provide genuinely accurate values.
Carfax takes an unique approach to the valuation of vehicles by considering the exceptional information tied to a vehicle in its history report and comparing that to other similar vehicles. Similar vehicles are determined based on their make and model, year, and other relevant factors like maintenance records, recalls, accidents, location, use, and other repairs.
Many cars have been in minor accidents, but once correctly restored, there may be an increased value provided to the buyer as some repairs will fix other problems that occur as the car ages. Common issues such as replacing a body panel can reduce the amount of rust on the exterior of the vehicle, and some parts that commonly fail or need replacement, such as a radiator, may also require replacement.
In the process of the restoration, other issues may also come to light, and these can be fixed more efficiently and at a reduced cost. Examining the individual records of a vehicle allows Carfax to determine these replacements and how they improve the condition of the car overall.
Carfax's evaluation process also eliminates the guesswork that buyers and sellers must do when purchasing or selling a vehicle of their own. The suggested retail value is an incredibly vague figure for many cars and can range wildly from one region to another without taking certain features into account. There are many variables in play, such as the location of a vehicle, the number of owners, completed improvements, etc.
Their owners also upgrade many vehicles, so they are more comfortable, convenient, or safer for passengers. Improved components like sound systems, windows, floor mats, and Bluetooth and smartphone compatibility are examples of items that get upgraded after a car is purchased but often don't factor into a conventional estimation of a car's value.
CarFax provides an useful service that helps buyers and sellers of used vehicles make more informed decisions. It's also worth noting that many cars receive more maintenance than others, and this can significantly prolong the life of the vehicle, and increase its potential value, which shows up in CarFax reports.