Understanding the ‘Water’ Value in DealerCenter
We're here to help! For additional support on this topic or for more information on how to get started reach out to our Support Team at support@dealercenter.com or call us at 888-669-2669.
We're here to help! For additional support on this topic or for more information on how to get started reach out to our Support Team at support@dealercenter.com or call us at 888-669-2669.
IN THIS ARTICLE:
In DealerCenter, the 'Water' value helps you understand your vehicle's equity. Simply put, if your car is worth less than what you paid, you have a negative equity car, also known as being "upside-down" or "underwater".
The ‘Water’ value is calculated by taking the book value of the car and subtracting the total cost (vehicle cost plus any additional costs like reconditioning or repair costs) to determine the vehicle’s equity – whether positive or negative.
Note that this number does not consider the amount you might sell the car for. It only compares the book value to the total cost of the car.
You’re in the green! According to the Kelley Blue Book Lending Value, this car is worth $2,273 more than it cost you. If the car’s book value was less than it cost you, then 'Water' would be in the red, like this:
You can choose which book value 'Water' should be calculated on. For example, you could use Kelley Blue Book’s 'Typical Listing Price' instead of the 'Lending' value.
To change this setting, follow these steps:
This will update the 'Water' calculation based on the selected book value.