Page 49 - Final Variable Operations

Appraisal Policy

• All appraisals are brought to used car managers with a signed appraisal form.
• Title and spare key information is required with every appraisal.
• 5 Pictures will be taken by Appraiser to be uploaded immediately into vAuto, 40 total pics once unit
has been put into inventory
• Units are appraised using vAuto appraisal tool parameters set by used car director.
• Retail units are to be appraised based on market information: rBook, Adj% Cost to Market, Market
Days Supply and Like Mine Days Supply, taking into account reconditioning and profit.
• Wholesale units are to be appraised using Manheim MMR and book values.
• Buy Bids and sight unseen appraisals need to be marked as purchases.
• Goal for look to book is 55%; 70% Toyota’s and 50% Other Mfg.

VEHICLE INFORMATION: Ensure VIN, odometer, year, make, model and series are correct.

VEHICLE NOTES: Appraising manager needs to have extensive and detailed notes of the vehicle, as well as
grading information (4-excellent condition, 3-good condition, 2-average condition, 1-poor
condition/wholesale). Sales Manager also needs to include title and spare key information provided by
salesperson. If none is provided, appraiser needs to inquire about this information. NO EXCEPTIONS.
RBOOK: Every appraisal needs to have a minimum sample size of 18-25. For example, a sample size of 15
at 250 miles, and a sample size of 30 at 400 miles, would use 250 miles.

LIKE MINE DAYS SUPPLY:
Like Mine Days Supply 0-45 days are to be appraised between 89-92% Cost to Market (do not miss Toyota
trade – make sure above is correct and go to 92% if needed to trade for the vehicle).
LMDS 46-90 days = 88% Cost to Market
LMDS 91+ days = 87% Cost to Market

RECONDITIONING: With the implementation of Profit Time in vAuto, it is important to input the Recon
amount as accurately as possible in the appraisal process.
** Do not add recon amounts for certification, tires, packs, etc.

PROFIT: Will be adjusted by the value of the trade with the following blocks:
0- $10,000 TRADE VALUE = $1000.00 PROFIT
$10,500 - $15,000 TRADE VALUE = $1,500 PROFIT
$16,000 - $20,000 TRADE VALUE = $2,000 PROFIT
$21,000 - $29,000 TRADE VALUE = $2,500 PROFIT
$30,000+ TRADE VALUE = $3,000 PROFIT