I'd like to agree, but we've been saying this for years. The dealers know a sucker will pay those prices if the hold out long enough. The new business model is fewer vehicles at outrageous prices.
@@lot2196 I agree with you. Plus some dealers believe or not have been getting repo. They pay interest on these cars sitting in lot. At auctions used car dealers are not buying at those high prices.
@@lot2196 Then keep what you have and maintain. Face it, the only real reason people buy new cars is to impress others. It has nothing to do with their actual needs.
@@roccosophie6498 no, i would like to replace a 2012 car that has no back up camera, no cross traffic or blind spot alert, no adaptive cruise. Those things are nice safety things that are worth an upgrade.
@@elliott3991 You can add a back up and front facing camera to any car! I did! Other than that, nothing else is important unless you're a raging @lcoholic who likes to drive while, drunk! No one needs this new technology. And that is a fact.
We're keeping and maintaining our 2014 Patriot 5 speed manual with roll down windows that we bought last year for 8k US last summer for just as long as possible.
We put some substantial work on our 1 owner 2004 toyota 4runner with 80100 miles regularly maintained drives nearly new with mechanical items and painting is than 20% of the cost of a new one that is way lower build quality, grossly overpriced and too much complicated electrical crap that costs thousands when things go out the ones 20 years ago are way better built and much more simple and easy to service at home.
@darrylboone4658 Same here... I had my attorney draw up documents that my ex wife signed that prohibited her from my money, pension, investments, and assets. I divorced her in 2015 and now financially free... she lives in a hovel.
yeah...but everything from like 1984 onward is full of electronics...how far back are you going to go?...1960's...are there enough of those cars to fulfill demand?
If the car is being sold at 80k. The actual price listed should also include interest add on up front. Folks needs to open their 👀s smh. Thats the real scam behind folks that learned from the best. 😬😬
Bought a 2007 Yaris with a seized engine in 2018 for $400 Canadian. Bought a JDM engine with 33,000 km for $650 shipped to Vancouver. Installed it myself in 2 days. Car works great today. I realize men today can't do this. Hurts their nails.
I dont feel bad for the dealerships, they've fleeced the consumer for over 100 years plus during the covid pandemic. Now they cry poverty because they can't sell cars. Try lowering the price of cars and they'll have an abundance of sales along with modest profits.
yea they should sell all cars for only $200 profit over invoice. Wish law would be made that add on are optional and not required and dealer can only charge maximum of $500 over invoice pricing. Better yet, elmininate dealerships and sell direct to consumers like Tesla does. Make affordable commuter cars again under 20k.
The logical thing here is literally mass rail. Both for climate change and because so many people are being priced out of the car market. If mass rail existed people could remove a third of their costs because obviously it isn't just the monthly payment, but insurance, repairs, gas etc.
I think lowering price might not be enough. I think a big segment of people remember how unethical some of these companies have been and might factor that in too.
So is BMW, Maserati, Land Rover, etc. Look at the depreciation buyers must pay for them. But, the manufacturers WOW them with the flashiest design and newest tech. People buy with emotions rather than with their brains. And, manufacturers know this.
The quality does not at all the price if they were built the way they were 20 years ago that would be different ,where today they are absolute garbage and worth 1/2 or less than the prices they are going for. No way ,we will maintain what we have .
Carlos Tavaras along with other car manufacturers are tools! You don't need a masters degree in economics to know that by lowering vehicle prices by 25% will increase sales as well as profits. The ceo, Tavares can cry poor all he wants, no one cares.
No that's not true. It's not all on Tavares. I seen way too much jackassery when I was at JNAP for that to be true. He bares most of it, but when people on the floor both labor and management don't give a $hit about anything, it tends to not help the company.
In our case, sticker shock came to rescue me. My wife and I had been dreaming about selling the house, buying a F-450 and getting a large 5th wheel. I used the Ford website to customize my dream truck, and we were looking at like $93k according to the Ford site. So we go to the dealer and it was like, ‘Oh hell no. Try $125k just to think you’re getting that ride. We got one w/ 65k miles for your $93k.” Meanwhile I’m learning that the RV trailers are just not being well built and you can easily buy a brand spanking new giant money pit. So when I hear supposed to my like 35% above what’s already a LOT of money, instead of signing on the dotted line we just rethought everything. So we bought a F150 w/ the top of class towing, looked at sub-25’ travel trailers, and decided to move out of California and dramatically upsize our home and lot size. So I was shocked out of stupid, basically.
Moving out of Commiefornia is going to be the best thing you ever do. I did it a few years ago and was able to buy a house for cash and cut my cost of living mt 50% just by getting out of the state.
Retirement strategy forces govt to look after you for free instead of signing property over to nursing home. Tent would do the same job but winnebago all the way
We seldom buy a new car. I am 67 & husband is 65. Our past cars have been mostly Lexus, Infiniti, Mazda & we pay cash when buying a 2 yr old vehicle. Most of our cars are sought after classic show cars we paid cash for: 1957 Chevy Bel Air, 1965 Chevy Malibu, 1932 Ford high boy & 3 window coupe, 1970 Camaro Z28 & others. When we have sold some of these cars we have made a considerable profit & we enjoyed driving our “investments “ every week. Those were the best purchases we ever made in vehicles.
It’s absolutely ridiculous. I just looked at a Hyundai Pallisade it was 60k plus tax. Nothing special and a Hyundai to boot. I guess we are going to make Canada the Cuba of the north. Difference here is no one has any idea how to turn a wrench and salt kills all our cars the best we can do. Is this by design. I am almost convinced
Live in Alberta, thankfully we don’t use salt in winter. Recently been looking to buy a new or close to new Golf R or WRX (need AWD and want a 6MT) but I refuse to pay anything close to MSRP for either. Until incentives come out and interest comes down I’ll be sticking with my 14 year old Mazda3 6MT sport. Zero rust and still a fun little car to drive.
@@iaindyer1629 parts availability will eventually get you though...gone are the days where you could whip up a DIY part with your angle grinder and welder.
Older Volvo's are pretty good at reliably getting up to high KM's (inline 5 and inline 6 engines but make sure your replacing the timing belt on schedule) and they were made to endure Swedish winters. I got a 2007 S40 for $3200 when the used market was priced out of control a couple years ago. It burns oil which isn't a big deal to me, other than that it's been going strong and I enjoy the hell out of driving it, very comfortable. No car payment, reasonable insurance, if it gets dinged up a bit it's not the end of the world. If you find the right older car it's way better than buying newer. So glad I didn't spend 20k - 30k which I was entertaining, I couldn't be happier with it.
Seen quite a few new YT and IG channels popping up by repo companies. It's pretty sad watching these dudes snatch up some dad's truck....even though it's the buyers fault, most of the time.
The data now says only more than 25000 vehicles are being repossessed every single day .negative equity averages $6100 per vehicle, in the last few years people bought out of desperation and they paid way too much and no longer can afford.
Yes it is. I really can’t see myself buying new, or buying from a dealership. It’s buy used from now on. I’m good on paying these outrageous car prices.
@@gsst6389That makes sense if you don’t live too far from your workplace. But a lot of people do. This country doesn’t have the greatest public transportation infrastructure either. We’re set up for the automobile.
@@dennisjones8840 hell maybe uber would be cheaper then 500 month car payments, save up the diffrence and buy a trashy car at 5k, theres always someone who desperate to sell it to you, then use the trash car for 2 years, and with the money save buy a new car cash.
I ate two double cheeseburgers last week at McDonald’s. It was eat something for three dollars more. I could’ve went to a good Chinese restaurant and had a real meal.
Here in Australia we're going the same way, McDonald's r pricing themselves out of business 😅, can't happen fast enough for me ,I avoid them like a plaque!
I don't eat McDonald's very often but the last couple times I did it taste like crap not like it use to as a matter fact I find that with alot of food we eat now
Places like Cuba South Africa and even Ukraine have people that can fix cars all you got here is social workers and government teachers who couldn't even stock shelves at Target how are they going to fix anything?
@dampergoldenrod4156 oh yeah? I live in Texas, can fix and metal fabricate anything including rebuilding my 1998 f150 from the ground up. Get out of your house sometime and look around. Lots of people like me around the USA and other parts of the world.
We drive 20 year old vehicles and maintain them ourselves. We are nearly 40 years old and make over 200k a year. A Dealership will never get our money because their product is faulty and sucks. My old Volvo , Ford truck, and VW Golf work just fine.
That's exactly what our household does ,3 of them are 20+years old simple,easy to work on, new ones are so poorly built and grossly overpriced. We will never buy.
Yep. Have 4 vehicles in yard all run. 3 paid for. Work from home so wont ever have much wear and tear. Wife car is 2017 patriot paid off giving to daughter for 1st car. 84 c10 silverado wife inherited from grandfather. 71 delta 88 royale convertible. Only payment is 2020 gladiator. Had to have something newer for wife and fam vehicle but still useful for towing. Im perfectly fine driving 84 c10 and 71 delta 88 on nice days. Wife can drive the gladiator when we give her car to daughter. And we both make decent money but bought a home we could afford 10 yrs ago for which is worth 4 times that now. 71 delta is only going up. Can be sold down line if need be. People need to think.
I am retired as a teacher from Florida and right now I am living temporarily in Nicaragua until I decide where I want to be. (No more United States). My Nicaraguan friend here whom I have known for years just bought a brand new Hyundai. It's a nice compact car for $15,000. In the United States the same car goes for 35 or $40,000!! Why is that??🤔😡
I also heard that the insurance companies and dealers are working together to take older vehicles off the road by buying them and recycling them making it shortage of used cars
My 2013 Ford Raptor with 59k miles is paid off. My Jeep Wrangler Rubicon is paid off. Now im paying my house off in 5 years.... no credit cards, no debt is the way to live. I put $2500 into my ETFs/investments every month now.
Hate to say I don't feel bad for the people that just had to have to new ride. And paid 10,15,20, 30k over msrp are now upside down. All they had to do is not buy. All the dealerships that were asking a market adjustment, I will not forget when I'm ready to buy again.
My father had to buy a new truck since the old one finally broke down and its needed for work too. And since we live on an island a cars are 10k more expensive than msrp due taxes , shipment cost and dealers fees, so about 80k. Its fine he splurge and invested on an f-150 and it will be payed back with in 5 years.
I agree💯 I bought the last Honda Fit They stopped making them Thankfully I paid cash No car payments BUT it all goes to gas insurance maintenance I live simply and budget Its still tough A car is freedom BUT many feel Trapped I love taking off but it comes with a high price I live in Nevada You need a car Period! I bought my final and last car Retired at 56 Love both your channels👍
You HAVE to buy used now. My mothers 2017 fusion just got totaled by a dump truck while parked on the street and i found her a Ford Edge 2019 for 19K CDN with 75K kilometers on it. Sure, it needs tires, battery, brakes and all fluids changed, which I will do myself, but I got her a damned near new car for about 5K more than what her insurance payout is. 45K CDN would have been doable for her, but it would completely cripple her lifestyle as she is retired.
Watching from Philippines, family of 5 fit on 125cc scooter and Mitsubishi mirage is middle class car , welcome to 3rd world club ... if you think it's hard now wait when BRIKS dump USD
My daily driver is a 1999 Mitsubishi Mirage, stick shift, 235k miles, built in Japan, runs great. I paid $1,100 cash back in 2015. So far it's been an amazing investment, as I've saved probably $50,000 in car payments from then until now. I'm driving her for another 20 years, God willing.
Oh really, I guess that you are bragging and might need to follow the real world economic news. BRICS is worse off than ever. The R in BRICS has a cratering economy. Sorry to say, but I would not ever visit the Philipines due to its poverty, etc.
The real problem for the USD is the end of the Petro Dollar in June of this year. Saudi Arabia declined to renew the 50 year agreement. Oil settlements can be conducted in any currency - this removes the choke the USA had on the rest of the world's finances. The days of dollar weaponisation are over and once the US economy catches a cold the dollar rate will tank.
To be quite honest, I don’t care that dealers are hurting or failing. They didn’t care when they were milking and squeezing customers with bullshit packages, paint protection plans, insanely marked up and forced accessories, manipulative and often illegal sales practices, and a dogshit customer experience. Good, honest dealers will survive this reckoning. As for the rest: Fuck em. I don’t feel bad for you at all.
Neither do I. Got my truck and my muscle car and I am thru with buying cars/trucks at my age. These vehicles, with routine maintenance, will last my lifetime. House paid for, excellent health insurance and 6 grand a month in play money, life couldn’t be much better!
I for one do not see how trucks became so expecive. In the late 60s,70s trucks were the cheapest thing you could buy. My dad was a tool maker and worked some in the auto industry he always said trucks were cheaper cause they only had a box on the back they had no interior to install in the box so that is what made them so cheap. What the hell happened to that theory.
Since American men have been emasculated over the last several decades they are buying trucks they don't need to try to FEEL like a man. The funny thing is they all want their cushy gizmos (leather heated/cooled seats that rub your balls while you drive, infotainment systems, automatic transmissions, a plush ride, etc) which a real man doesn't need.
@@kirkpalmer1709 That's kinda true. So many men think it makes their member bigger, or just NEED the feeling of power you get behind the wheel of a powerful, lifted truck. (Heck, my ex-wife became a different person behind the wheel of my diesel. Aggressive as all heck, even for her - and she was a "karen" to start with).
I don't know where these dealership managers and owners went to business school, they know nothing about business. They went to the school of greed and hosing the public. I love it when the salesman began crying to me about the overhead the dealership has. I told him, I understand and don't care about the overhead, that's your problem. He sold me the car below MSRP at my price, when he knew I was ready to walk. Don't let the salesman control the situation, make them sweat and be prepared to walk out of the dealership.
Your video has perfectly described the beginning of a recession. The only way to stop it is to stop buying vehicles you don't need. Then the car and truck manufactures will have no choice but to drop their prices just to get rid of overstock inventory. It's no different than the real estate market.
You’re not going to get a 50% discount on anything, but that’s what it will take for auto pricing to make sense. Let it burn. I’m tired of all of it. I can pay cash for a new car, but why would I?🤷🏻♂️
I'll be honest, I see your point and working in the Banking industry the main issue is that folks that can't control their spending are the main issue. You will always have someone that has to have the latest and greatest and they don't think long term. So as long as people will buy there will be no change to the car market. Just remember "A fool and their money are soon parted". Great Job on the video ignore the internet warriors.
I have 3 vehicles all paid for.our 2014 acura has 50k miles still in nearly showroom condition and a 2004 toyota, and a 2002 buick century with 150 k miles on it , still runs great a perfect daily driver and 40 per month liability insurance. Maintaining what you have is way more practical. Never again to any new car payments
I'm Canadian - I can't afford a new work truck for my lawn mowing business. I'm still driving my 07 Madza B4000 (Ranger) 224k kilometres. When she dies I'll shut down my business.
It's reported that Dodges new ev Charger have dealer's continuing their greedy ways and adding upwards of 25k over MRP. This is just the start because it's a new release. Stellantis dealers adding 25k to a 57k or 87 k models is just plain greed. So like the old saying goes "As things change the more they stay the same."
It's not that people don't WANT electric vehicles ... It's that people don't want THOSE electric vehicles at THOSE prices. Make the Mustang Mach E a $25K US car? They would sell like crazy. Especially with a NACS adapter. But Ford thinks they need to compete with Tesla by building what Tesla builds. Which has a long, LONG list of things YOU DON'T NEED. You don't NEED: - "Full Self Driving" (FSD) or even Autopilot. Or "Lane Assist". Or "Adaptive Cruise Control". Those are OPTIONS (I admit some of them would be really low-cost options though). - Over The AIr (OTA) updates. A WiFi receiver (not cellular) in your car would make SIMPLE, SCHEDULED updates practical using your home (or the dealer's WiFi) - 0-to-60 in FIVE seconds. Even people who own vehicles capable of this as ICE vehicles rarely use it (the 16-to-29 single male demographic excluded). - All Wheel Drive. Duh! FWD came into regular use in the late 1970s, people drove FINE with JUST RWD for a very long time. And especially with ABS and traction control? - Twelve airbags. Airbags are good (I hit a deer at 55 mph ... airbags are GOOD!). But there are diminishing returns on airbags. And such a thing as too many. - 18, 19, 20 inch wheels and tires. Tires are a substantial cost, so unless NEEDED for battery weight those big wheels and tires are mostly just a vanity thing. - more than 250 miles range, or 200 miles range on an economy car. Cars in the 50's, 60's and 70's did not have these HUGE ranges of today. - EVERYTHING in the touch screen. Yes, physical parts add cost, but the engineering's long done and the cost isn't much. it would improve the transition. - All the extra fancy integrated software in the touchscreen. (That will come ANYWAY, but trying to match Tesla's headstart is stupid).
You are right! There is too much junk on cars now. You need seat belts and air bags and no more! I never turn on the radio on in my Miata. It’s a waste! Eventually people will demand cheaper cars!
This may be an unpopular opinion but I think car prices aren't completely out of the realm of imagination comparative to the rate of inflation. The issue is employers not wanting to compensate their workers properly comparative to inflation. For the past 5 years I've been stuck at around $23-$25 per hour, depending on shift premium change and maybe a $0.30 raise per year, yet every one of those years we always made record breaking profit. I get pennies on the dollar yet those up top give themselves bonuses each year. It is the employers fault that most people can't really afford anything anymore.
My wife and I have to decided to only buy 1 new vehicle every 10 years and keep it as a backup for the next 10 years. At 43 we only have a few more left. If it gets worse I might have to go every 15 years. Our Dodge Journey is 7 years old at 105k miles so we are 3 years away. Looking at either a Honda Passport or Toyota Highlander. Chrysler, Dodge, Jeep and Ram have left us. We used to go every 7 years.
They (both stealerships, financial/banking, and consumers) need to stop looking at gross pay, and look strictly at net/take home pay. Actual affordability! If net pay is too low, then it's unaffordable. What maybe affordable with gross pay, but may not be affordable with net pay.
@CMBBmc-jd6ur a lot of times, it's how much you make or gross pay. Sounds good in theory, but not good in practice. Union dues, health deductions, public transportation etc variations are by employees, if some have that all. PATCO (Philadelphia to southern New Jersey train) Teamsters Union dues, and health and welfare, plus Philadelphia city wage tax eat out my gross pay. I tend to say I can't afford that, they say how, you make over 68,000? Not with net pay!
Thank you so much for your honesty everybody's greedy for money don't forget the insurance that you have to carry especially in the state of Florida all vehicles in homeowners insurance it is sick thank you again you are hitting the nail on the head 🙏🏽❤️
I’m a finance major and I will say this, nobody is OBLIGATED to buy a car that’s $30-40k. We all have the option to sacrifice and buy used or buy older models. The market is cyclical in nature so these prices will not be forever. Consumers always have the choice no matter the price.
I have 2008 and 2011 vehicles. Run like prime machines because I maintain them. I will never buy new again.. depreciating asset as soon as you drive it off the lot. The 2011 was certified used and is awesome.
I paid 29,000 MSRP. No mark ups last year on my 24 Honda HRV EXL. I had 8200 equity in my trade. Plus I put 2 K down. I financed 20,500. My payment is 342. I am paying extra principal so in 11 months I’m at 10,762. Don’t over pay
lol I drive a 96 ford ranger bare bones basic. If it breaks down it may cost me a couple hundred bucks. From time to time but I’m not paying 1000.00 a month for garbage!
Credit card debt is over 1 trillion dollars in the U.S. that should give you an idea how bad it is , a lot of people aren't paying or very late pay even shopping for food paying 20 to 25 percent over the price of the food.
Yeah I replaced the transmission and stuff in my old car as it was cheaper than buying anything newer and better. Massive car inflation like food, gas and housing inflation.
It does not take a majority to prevail... but rather an irate, tireless minority, keen on setting brushfires of freedom in the minds of men. -Samuel Adams
If you look at how the United States starts revolutions in places like Belarus or Georgia or Ukraine, that's how you get rid of a toxic government. What Samuel Adams said has no relevance in today's world
Things got much easier when my dream car is a Ford Crown Vic cop car, I can get a decent one cheaper than most Toyotas and they can last for an eternity. The only downside is fuel cost, but it pales when compares to the auto loan cost or the cost of a new car.
Ya here in Ontario the price of used is shocking especially if you are looking for reasonable mileage pickups. I think I will keep my paid off vehicle..
The band affordable Japanese mini trucks in my state because they’re unsafe… Considering what antiques, motorcycles, or even electric bikes I can use on the roads it’s just a scam to keep you from buying cheap vehicles
The vehicles like Kia Rio and Nissan Versa are being discontinued because not many are buying them. Every one wants SUVs and bigger more powerful cars. I love cars- but a broad statement is not accurate necessarily.
@@markholubetzI bought a 2007 Kia Rio brand new manual transmission manual steering. It lasted 147,000 mi before someone collided into me. It was a great little car. All I changed was the timing belts and a wheelWell... problem and I even went camping in it in the Pacific Northwest... It was better than sitting at home without a car.. bought a Nissan versa and I spent a lot of money on repairs but it might have been a corrupt auto mechanic I used who was simply close by
US and Canada...Look elsewhere in the world. You don't "need" a pickup, nor an SUV. A family of 4 or 4 grown adults can fit in a compact ca # no issues # happens everywhere else thousands of times a day!!
General contractors/ business owners have absolutely ruined this market. They are the only ones who can afford these 100k plus trucks and suv's because come the end of the year they have to write off money and so they go to the dealership and just say give me the biggest most expensive truck you have. So dealerships dont care about the pricing of these vehicles or the average consumer, they know these type of people will always come in and buy buy buy.
Hate to say it many are new arrivals with government assistance who don't understand the concept of budgeting and financial prudence and responsibility. 23:32
Bloated bureaucracy in the company structure, the UAW holding manufacturers hostage by demanding exorbitant pay increases, benefits packages, and pension plans, ridiculous regulatory pressures, and the US and Canadian government overreach - that’s what is going to kill the automobile industry. The BS of climate change hysteria, and the insanity of EVs, and government spending causing record inflation - all of this is what is driving this insanity. Great video - thanks dude.
Boss I was UAW at JNAP. The wages after the last contract left me scratching my head. Not for those of us in trades, $42 is about right for us, but when I heard that production was going to be topping out either at or above $40 I was stunned. Not so much the folks on the assembly line. Those people do bust a$$, but in Body Shop where I was, I didn't understand how you can pay people that rate for what they do. A lot of it is just hanging a part on a conveyor. Sometimes they might have some buttons to push after loading, but that's it. I told my ex if I went to production I'd do everything I could to work in Body Shop because the job is so damn easy. The folks on the assembly line though may only have 1 job, but God knows if you gotta contort yourself like Gumby to do your job. The other area I was stunned by was the people working the parts distribution centers were to be paid the same as assembly line workers. Honestly I think where a good amount of the prices is coming from the health care. They don't pay a red cent towards the premiums. The place I'm at now, I make the same hourly, but had a choice between a $50 per week HSA or a $100 per week PPO, and that's without dependants. I will never be convinced that the price of the health care premiums don't effect the price of new vehicles.
I drive a 2000 Toyota and a 1991 Oldsmobile Ciera. Both bought new. No plans to buy soon. Spend the money instead to keep them up and running. Best way to manage my car purchases, I've found. Better than chasing the newest and best. To get back the depreciation and cost of buying new others will have to adopt the same in the future.
Do what i did i saved 7 grand it took a bit but i managed to save it im a blue collar worker. I went down to Florida bought a 2006 Forester 55 thousand miles one owner i paid 6500 i love it everything works and i have no car payment!!
Hey. man, you are a fantastic guy, telling us all the truth and you really care labour people getting ripped off, good on you. You are dead right what you say, hope these lying Corporations go bust and out of business, ordinary people don’t buy the vehicles, keep what you have and keep them on the road, still much cheaper than buying one of these over priced vehicles. Don’t support them and they will go bust, good.
I was driving a 2005 Toyota Tacoma and started getting scared of being stuck with it and priced out so I jumped on the X3 M40i because I'm seeing Toyotas, Mazdas, Acuras, Lexus all costing just as much if not more than the BMW (no dealer markup) and they're all having issues with their newer models. I haven't had an ounce of remorse.
I’ll just say this… the issue isn’t the dealers or the manufacturer… The issue 100% relies on the consumer. Manufacturers won’t make what we don’t want. Manufacturers and dealers are just capitalizing on our inability to just say no as a whole. The fact that we have individuals who would be happy just to get rid of mark ups is everything you need to know. 7-8 year loans has convinced the populace that 40-50k is affordable. When a BASE model F-150 is half the annual salary of the average American… it is a problem. I average about 110-130k annually and I ache with a used 36k tundra. How people are going around saying 40k+ is affordable is insane!
I wish more people would understand that inflation has nothing to do with it. Even with historically high inflation these prices make no sense what so ever it's pure. If inflation was like 7% one year then things should be around 7% more expensive give or take not 200% or whatever. Things don't double in price over a 3 year period because of inflation that is pure greed. If it was inflation then these companies would not be smashing profit records every damn quarter. The price raises and the inflation increase would balance out otherwise. The supply shortages have largely been resolved. These companies simply use inflation, shortages covid as cover to make a run on the populace and now that they've gotten away with it there's no way there will ever let prices return to normal. They wanted to see how much they could get away with and only recently have that started to hit a wall when it comes to bleeding people dry. The prices simply are not tied to reality anymore.
Look it's been said by the government. Personal transportation is going away. The plane is to make new cars too expensive. And then make it extremely expensive to register and tag a car. By 2030 no one will own a car. You will instead use government owed transportation at an insanely high price. The idea is to force you to live in a city where you can walk everywhere you go. And rent from the government at the cost of paying 3 house notes 10 years ago . You will own nothing. And you will be happy. Because if you say you aren't you won't live at all.
Someone gets it. They told us this TO OUR FACE and some people refuse to believe it. It only takes 1 generation to make people accustomed to not owning a car or house. If you're not willing to wait that long there's a solution...... Import people that are accustomed to that. In one generation we went from being embarrassed if you lived with your parents over the age of 18 to that being the norm. In one generation we went from EVERY high school senior getting their license to almost NONE of them. This is absolutely the plan. Remove people's ability to travel (flee) and see how compliant they become.
I see this also in Australia. $150k for a ute (pickup) is insane. I haven't been able to afford a new car since 2004. Last 4 cars I have purchased used. You are dead right in McDonald's as well. Its now a luxury to go to that joint. Looking for a car last year for my daughter, entry level Kia/Hyundi were nearly $40k. There is now a deluge of Chinese cars in Australia going driveaway under $30k. Dont' see these as a good investment when it comes to the used market and these things start to hit the showrooms. I just bought my replacement car a few months ago, 2016 Kia Sportage diesel for $22k, mint condition with 110k's. Very happy but how long will it last? People are just taking out mortgages on their homes to buy these new cars. I don't know how a typical tradie can afford a $120k+ car and cheeses me off when you see them rock up to do a job in a brand new car. I work my ass off for 40 years and still cant afford a brand new car. Show constraint people, if you dont buy then they have to lower the prices.
I work for gm at the Fort Wayne Assembly plant building the Silverado 1500, due to high inventory the plant line rate has been reduced, shifts have been sent home when the line rate was reached, talks of going from a 24/5 operation to a 16/5, blacked out Saturdays, another one week outage is coming in October, and in April next year will be when the most of the operators that assembly the truck will be replaced by robots, at this same time the material handling will be done by autonomous vehicles. Wake up we are being gas lighted with the Bidenomics BS.
Misplaced anger. Your company decided to build cars people can’t afford. Even in the best of days I would not buy a $80k truck. As for automation,,coming from the aerospace and semiconductor industries..that is just modern life. I feel for the workers but I have seen that movie before.
You're a bit new to me but I am watching. Today you seem very accurate (to me). This can't go on. The UAW/CAW can't protect their members if there is no market. Smaller market, smaller staff.... (Personally; I thought you were based in Winnepeg not Edmonton: I miss the Eskimos not that PC ELks). Thank you
Thanks for this information. It is exactly what I have been thinking, I am almost seventy so I have seen a lot in my life with cars. I am driving a 2011 Buck Regal with over 102,000 miles. Just keep fixing it but I view and get a lot of knowledge from your channels because I will eventually have to get another vehicle. Keep up the good work.
I paid $26,000 i cash for my 2016 Mazda CX5 and intend to drive it for another 15 years. So the cost per year, not counting several sets of tires and batteries, will be around $1,200 per year. Anyone who buys a new car with an average price of $50,000 and payments with interest close to $1,000 per month for seven years is crazy. Buy a clean used car for cash and drive it until the wheels fall off.
Purchased a 1979 Jeep CJ7 with Renegade package. Paid $8,000 USD; inflated to 2024, that is $35,000 USD. Purchased a 2017 Toyota Tundra CrewMax SR5 upgrade with TRD off road package. Paid $43,000 USD; inflated to 2024 that is $55,000 USD. Inflation is the grim reaper of purchasing power. And monopolistic pricing power is brutal for consumers. Some car manufacturers are about to fail, leading to even less competition, resulting in even more pricing power for the remaining car manufacturers. Something disruptive in transportation is inevitable. And the company that builds the disruptive vehicle will crush all other competitors. Will be fascinating to watch it unfold.
You can buy good and new vehicles for 20 to 25k I just bought a nice used truck with a warentee for about 500 a month what really hurt wasn't the price but the interest rates right now are ridiculous 11% some of the ones I was looking at was 15% which has become the new 9% it's just ridiculous
You can get a sports car for $60k-$120k but people are getting daily vehicles for that price. There is a problem there and its judt because they get you with that "its only $800 a month"
Im 60 and i own a 2012 honda crv fully loaded, paid off for years. I willl maintain and drive it until the wheels fall off. The cost of thses new vehicles are ridiculously high and i dont know how people can afford them.
My 15 F150 Lariat was $64k CDN new and we bought it with almost 60k for $36k in 17. I cover some of this for our hobby, greedflation is a perfect word to describe whats going on! Between the shady dealers and the OEM's it shameful whats happening. Good video- Mark
During Covid I needed a new vehicle. It was tough. Used cars were scant and climbing in price quickly. I bought a used Hyundai. Then I had to add extra insurance as I’d not be able to replace the vehicle if totalled as the lots were selling way over Blue Book. The Hyundai vehicles were a bit cheaper than the Toyota models, etc. Seemed like the way to go. My 2017 Tucson GDI engine was a total nightmare. Being retired on a fixed income, poor health, can’t work again - I’m in a whole so deep. And I need that Toyota or Honda or Mazda now and prices used or new are through the roof.
100% man right on! What is sad outside of Nissan there is not much in the 20k and under range. Wages have stayed the same through all of this inflation and increasing prices.
Let’s Be Clear: Dealers do not have the “upper hand” right now. Lot rot is a real problem for the dealers and I foresee a huge loss for them.
I'd like to agree, but we've been saying this for years. The dealers know a sucker will pay those prices if the hold out long enough. The new business model is fewer vehicles at outrageous prices.
@@lot2196 I agree with you. Plus some dealers believe or not have been getting repo. They pay interest on these cars sitting in lot. At auctions used car dealers are not buying at those high prices.
@@lot2196 Then keep what you have and maintain. Face it, the only real reason people buy new cars is to impress others. It has nothing to do with their actual needs.
@@roccosophie6498 no, i would like to replace a 2012 car that has no back up camera, no cross traffic or blind spot alert, no adaptive cruise. Those things are nice safety things that are worth an upgrade.
@@elliott3991 You can add a back up and front facing camera to any car! I did! Other than that, nothing else is important unless you're a raging @lcoholic who likes to drive while, drunk! No one needs this new technology. And that is a fact.
Like you said "keep the vehicle you have now, stop getting ripped off by these stealerships
That's what I did no car payment since 2012. Keep driving the clunkers.
this and less expensive on registration and insurance.
I have two well running 2008 and 2011 vehicles.
We're keeping and maintaining our 2014 Patriot 5 speed manual with roll down windows that we bought last year for 8k US last summer for just as long as possible.
We put some substantial work on our 1 owner 2004 toyota 4runner with 80100 miles regularly maintained drives nearly new with mechanical items and painting is than 20% of the cost of a new one that is way lower build quality, grossly overpriced and too much complicated electrical crap that costs thousands when things go out the ones 20 years ago are way better built and much more simple and easy to service at home.
Probably the most sober and clear-eyed take on the current car market I can imagine.
People use to call me CHEAP but who's laughing now house payed off no car payments no credit card payments im doing great😅
Same here. I divorced wife 1.0 over her power suits and $225 a month dry cleaning. Now I own 2 homes and Mira is an old cat lady paying rent.
@darrylboone4658 Same here... I had my attorney draw up documents that my ex wife signed that prohibited her from my money, pension, investments, and assets. I divorced her in 2015 and now financially free... she lives in a hovel.
My family used to call me cheap and inconsiderate. They're trying to learn my ways now. I have my own family now and an affordable life. 😂
All that and retired early at 59. 😂
The others will be working into their 70s😢
@@darrylboone4658lmao lolololol
I drive a 17 year old Lexus. Most reliable car I've ever had. Cost me 5k! Happy days.
What model?
MY Lexus was 14 years old and perfect until someone hit me.....had to trade it in after that...
This is going to make older vehicles, especially those without junk electronics, even more valuable.
yeah...but everything from like 1984 onward is full of electronics...how far back are you going to go?...1960's...are there enough of those cars to fulfill demand?
Import those classics from Cuba?
That's why we had Cash for clunkers
@vorant77: For the buyer who's bright enough to even know what that means, I agree. I don't think that's even close to a majority of drivers though.
I 100% agree they will be more valuable vs today's build quality they are for 5-7 years maybe .ther are disposable items they there built today.
Even if you could afford an 80K ordinary Jeep, it still is not worth 80K, your wasting your money, think about it!!
I wouldn’t even pay ten grand for a Jeep, let alone $80k.
If the car is being sold at 80k. The actual price listed should also include interest add on up front. Folks needs to open their 👀s smh. Thats the real scam behind folks that learned from the best. 😬😬
People are buying new all the time. They won’t stop pricing high until we stop
I don’t think 30 thousand is worth for what you’re buying
That's the Point. These 🤡 aren't thinking
Bought a 2007 Yaris with a seized engine in 2018 for $400 Canadian. Bought a JDM engine with 33,000 km for $650 shipped to Vancouver. Installed it myself in 2 days. Car works great today. I realize men today can't do this. Hurts their nails.
Marco Polo has returned gentlemen, with tales of adventure and manliness. hahah
I dont feel bad for the dealerships, they've fleeced the consumer for over 100 years plus during the covid pandemic. Now they cry poverty because they can't sell cars. Try lowering the price of cars and they'll have an abundance of sales along with modest profits.
No crying here, indeed. Thanks for watching
yea they should sell all cars for only $200 profit over invoice. Wish law would be made that add on are optional and not required and dealer can only charge maximum of $500 over invoice pricing. Better yet, elmininate dealerships and sell direct to consumers like Tesla does. Make affordable commuter cars again under 20k.
The logical thing here is literally mass rail. Both for climate change and because so many people are being priced out of the car market. If mass rail existed people could remove a third of their costs because obviously it isn't just the monthly payment, but insurance, repairs, gas etc.
To bad they can't lower prices he auctions are high af right now so they not getting them cheap either
I think lowering price might not be enough. I think a big segment of people remember how unethical some of these companies have been and might factor that in too.
You’re exactly right. Yesterday’s $30k car is twice or more that today. It’s outrageous and unsustainable.
Absolutely and I will not feed that beast at these prices
Ram is the highest price, but lowest quality
And understand when their CEO's are making $39 Million and they want to stop union workers
So is BMW, Maserati, Land Rover, etc. Look at the depreciation buyers must pay for them. But, the manufacturers WOW them with the flashiest design and newest tech. People buy with emotions rather than with their brains. And, manufacturers know this.
I drive a 22 year old Toyota Sienna minivan. Can not afford a new car. You are spot on with everything you mentioned. Thanks so much!
This video is so necessary. I totally agree with everything you said. Everything is so expensive but the quality doesn't match the price.
Thank you very much and I really appreciate that . Prices are truly misaligned
The quality does not at all the price if they were built the way they were 20 years ago that would be different ,where today they are absolute garbage and worth 1/2 or less than the prices they are going for. No way ,we will maintain what we have .
Carlos tavarez has single-handedly destroyed 15 different brands under stalantis
They were all pretty shit to begin with though
boom!
Carlos Tavaras along with other car manufacturers are tools! You don't need a masters degree in economics to know that by lowering vehicle prices by 25% will increase sales as well as profits. The ceo, Tavares can cry poor all he wants, no one cares.
Nepotism
No that's not true. It's not all on Tavares. I seen way too much jackassery when I was at JNAP for that to be true. He bares most of it, but when people on the floor both labor and management don't give a $hit about anything, it tends to not help the company.
In our case, sticker shock came to rescue me. My wife and I had been dreaming about selling the house, buying a F-450 and getting a large 5th wheel. I used the Ford website to customize my dream truck, and we were looking at like $93k according to the Ford site. So we go to the dealer and it was like, ‘Oh hell no. Try $125k just to think you’re getting that ride. We got one w/ 65k miles for your $93k.” Meanwhile I’m learning that the RV trailers are just not being well built and you can easily buy a brand spanking new giant money pit. So when I hear supposed to my like 35% above what’s already a LOT of money, instead of signing on the dotted line we just rethought everything. So we bought a F150 w/ the top of class towing, looked at sub-25’ travel trailers, and decided to move out of California and dramatically upsize our home and lot size. So I was shocked out of stupid, basically.
Sounds like you're doing too much in general boss
Don’t vote in your new area. Let the locals do the lifting.
Moving out of Commiefornia is going to be the best thing you ever do. I did it a few years ago and was able to buy a house for cash and cut my cost of living mt 50% just by getting out of the state.
Retirement strategy forces govt to look after you for free instead of signing property over to nursing home. Tent would do the same job but winnebago all the way
We seldom buy a new car. I am 67
& husband is 65. Our past cars have been mostly Lexus, Infiniti, Mazda & we pay cash when buying a 2 yr old vehicle. Most of our cars are sought after classic show cars we paid cash for: 1957 Chevy Bel Air, 1965 Chevy Malibu, 1932 Ford high boy & 3 window coupe, 1970 Camaro Z28 & others. When we have sold some of these cars we have made a considerable profit & we enjoyed driving our “investments “ every week. Those were the best purchases we ever made in vehicles.
auto insurance is very expensive too
insurance is friend of bank.
A lot of people don't check with the insurance company before signing.
No American vehicle is worth $80,000 period!!!
Especially when the 10 year old $8,000 cars will outlive them.
The family truckster......🎉 worth all of it 🎉😂
@@glennalexander5483 That amount should buy 3 to 4 new cars oh yeah it might just buy 3 new Carolla's
No vehicle period is worth greater than $50 K !!
@JanaINJax You can buy a $5k to $10k Infiniti,Acura,Honda or Toyota with over 100k miles and still be better off than the 80k new American car
It’s absolutely ridiculous. I just looked at a Hyundai Pallisade it was 60k plus tax. Nothing special and a Hyundai to boot. I guess we are going to make Canada the Cuba of the north. Difference here is no one has any idea how to turn a wrench and salt kills all our cars the best we can do.
Is this by design. I am almost convinced
They wanted everyone banned from driving vehicles except the wealthy the politicians and the wealthy government employees
Live in Alberta, thankfully we don’t use salt in winter. Recently been looking to buy a new or close to new Golf R or WRX (need AWD and want a 6MT) but I refuse to pay anything close to MSRP for either. Until incentives come out and interest comes down I’ll be sticking with my 14 year old Mazda3 6MT sport. Zero rust and still a fun little car to drive.
@@iaindyer1629 parts availability will eventually get you though...gone are the days where you could whip up a DIY part with your angle grinder and welder.
Older Volvo's are pretty good at reliably getting up to high KM's (inline 5 and inline 6 engines but make sure your replacing the timing belt on schedule) and they were made to endure Swedish winters. I got a 2007 S40 for $3200 when the used market was priced out of control a couple years ago. It burns oil which isn't a big deal to me, other than that it's been going strong and I enjoy the hell out of driving it, very comfortable. No car payment, reasonable insurance, if it gets dinged up a bit it's not the end of the world. If you find the right older car it's way better than buying newer. So glad I didn't spend 20k - 30k which I was entertaining, I couldn't be happier with it.
@@michelle-lz8tg WRONG! I do it everyday
Repo Man is going to be a hot job if it isn't already.
Seen quite a few new YT and IG channels popping up by repo companies. It's pretty sad watching these dudes snatch up some dad's truck....even though it's the buyers fault, most of the time.
The data now says only more than 25000 vehicles are being repossessed every single day .negative equity averages $6100 per vehicle, in the last few years people bought out of desperation and they paid way too much and no longer can afford.
Vehicles costing the same amount as the average low income house is ridiculous!
No is not? Cars are a luxury not a nessesity, just bike or walk thats what the real poor in asia and africa do.
Yes it is. I really can’t see myself buying new, or buying from a dealership. It’s buy used from now on. I’m good on paying these outrageous car prices.
@@gsst6389That makes sense if you don’t live too far from your workplace. But a lot of people do. This country doesn’t have the greatest public transportation infrastructure either. We’re set up for the automobile.
@@dennisjones8840 yea perhaps but if one is really on a pinch, you can avoid the wealth killer thats a 5-8 year car payment.
@@dennisjones8840 hell maybe uber would be cheaper then 500 month car payments, save up the diffrence and buy a trashy car at 5k, theres always someone who desperate to sell it to you, then use the trash car for 2 years, and with the money save buy a new car cash.
I ate two double cheeseburgers last week at McDonald’s. It was eat something for three dollars more. I could’ve went to a good Chinese restaurant and had a real meal.
Here in Australia we're going the same way, McDonald's r pricing themselves out of business 😅, can't happen fast enough for me ,I avoid them like a plaque!
I don't eat McDonald's very often but the last couple times I did it taste like crap not like it use to as a matter fact I find that with alot of food we eat now
Were heading with cars like Cuba you know keeping the old ones going and going.
Places like Cuba South Africa and even Ukraine have people that can fix cars all you got here is social workers and government teachers who couldn't even stock shelves at Target how are they going to fix anything?
Import the third world and become the third world. But hey at least we have their culture! Like pooping in our national forests!
Salt is the biggest problem here.
@dampergoldenrod4156 oh yeah? I live in Texas, can fix and metal fabricate anything including rebuilding my 1998 f150 from the ground up. Get out of your house sometime and look around. Lots of people like me around the USA and other parts of the world.
@@mr.makeit4037 Are you ready for the wars in our Country?
We drive 20 year old vehicles and maintain them ourselves. We are nearly 40 years old and make over 200k a year. A Dealership will never get our money because their product is faulty and sucks. My old Volvo , Ford truck, and VW Golf work just fine.
That's exactly what our household does ,3 of them are 20+years old simple,easy to work on, new ones are so poorly built and grossly overpriced. We will never buy.
Keep working grasshopper, you'll eventually make good money but until then keep driving old paid off cars and saving.
@@timalan7406 Fancy items are for poor people so they can pretend they are rich. I don't give a crap about what someone may think of me. Cheers
Yep. Have 4 vehicles in yard all run. 3 paid for. Work from home so wont ever have much wear and tear. Wife car is 2017 patriot paid off giving to daughter for 1st car. 84 c10 silverado wife inherited from grandfather. 71 delta 88 royale convertible. Only payment is 2020 gladiator. Had to have something newer for wife and fam vehicle but still useful for towing. Im perfectly fine driving 84 c10 and 71 delta 88 on nice days. Wife can drive the gladiator when we give her car to daughter. And we both make decent money but bought a home we could afford 10 yrs ago for which is worth 4 times that now. 71 delta is only going up. Can be sold down line if need be. People need to think.
I am retired as a teacher from Florida and right now I am living temporarily in Nicaragua until I decide where I want to be. (No more United States). My Nicaraguan friend here whom I have known for years just bought a brand new Hyundai. It's a nice compact car for $15,000. In the United States the same car goes for 35 or $40,000!! Why is that??🤔😡
I also heard that the insurance companies and dealers are working together to take older vehicles off the road by buying them and recycling them making it shortage of used cars
It feels that way as availability is a bit light right now
My 2013 Ford Raptor with 59k miles is paid off. My Jeep Wrangler Rubicon is paid off. Now im paying my house off in 5 years.... no credit cards, no debt is the way to live. I put $2500 into my ETFs/investments every month now.
CYA on those "investments". 2007-2009 showed how quickly a global financial giant can be liquidated.
@@NVRAMboi And I have 365k cash money
Hate to say I don't feel bad for the people that just had to have to new ride. And paid 10,15,20, 30k over msrp are now upside down. All they had to do is not buy. All the dealerships that were asking a market adjustment, I will not forget when I'm ready to buy again.
My father had to buy a new truck since the old one finally broke down and its needed for work too. And since we live on an island a cars are 10k more expensive than msrp due taxes , shipment cost and dealers fees, so about 80k.
Its fine he splurge and invested on an f-150 and it will be payed back with in 5 years.
I see the reamergence of the small compact vehicles like in the 80s coming back .
Regular, faithful maintenance on whatever you own at present! That's the new formula! And, btw, I'm VERY impressed by your analytical capacity!!!
I agree💯 I bought the last Honda Fit They stopped making them Thankfully I paid cash No car payments BUT it all goes to gas insurance maintenance I live simply and budget Its still tough
A car is freedom BUT many feel Trapped I love taking off but it comes with a high price I live in Nevada You need a car Period! I bought my final and last car Retired at 56 Love both your channels👍
I just bought a brand new '24 Toyota Corolla Hybrid XLE for $28k. Love it.
That's the ESG plan. 15 minute cities and no personal vehicles.
Try Agenda 2030. The WEF and American Democrats’ wet dream.
The world economic forum they want you to own nothing and be happy it's all about full control over the people
You HAVE to buy used now.
My mothers 2017 fusion just got totaled by a dump truck while parked on the street and i found her a Ford Edge 2019 for 19K CDN with 75K kilometers on it.
Sure, it needs tires, battery, brakes and all fluids changed, which I will do myself, but I got her a damned near new car for about 5K more than what her insurance payout is.
45K CDN would have been doable for her, but it would completely cripple her lifestyle as she is retired.
Watching from Philippines, family of 5 fit on 125cc scooter and Mitsubishi mirage is middle class car , welcome to 3rd world club ... if you think it's hard now wait when BRIKS dump USD
My daily driver is a 1999 Mitsubishi Mirage, stick shift, 235k miles, built in Japan, runs great. I paid $1,100 cash back in 2015. So far it's been an amazing investment, as I've saved probably $50,000 in car payments from then until now. I'm driving her for another 20 years, God willing.
It's taking years to unwind all the trade agreements and contracts denominated in USD. It's happening now, but one drop at a time.
Oh really, I guess that you are bragging and might need to follow the real world economic news. BRICS is worse off than ever. The R in BRICS has a cratering economy. Sorry to say, but I would not ever visit the Philipines due to its poverty, etc.
Brics is failing dummy 😂
The real problem for the USD is the end of the Petro Dollar in June of this year. Saudi Arabia declined to renew the 50 year agreement. Oil settlements can be conducted in any currency - this removes the choke the USA had on the rest of the world's finances. The days of dollar weaponisation are over and once the US economy catches a cold the dollar rate will tank.
Becoming a third world country, I am from Brasil and to have a Toyota Corolla over there you need to be a lawyer.
To be quite honest, I don’t care that dealers are hurting or failing.
They didn’t care when they were milking and squeezing customers with bullshit packages, paint protection plans, insanely marked up and forced accessories, manipulative and often illegal sales practices, and a dogshit customer experience.
Good, honest dealers will survive this reckoning. As for the rest: Fuck em. I don’t feel bad for you at all.
They will feel the burn yet
give'em hell, Eddie.
Neither do I. Got my truck and my muscle car and I am thru with buying cars/trucks at my age. These vehicles, with routine maintenance, will last my lifetime. House paid for, excellent health insurance and 6 grand a month in play money, life couldn’t be much better!
I bought a 2020 toyota Tacoma brand new $37500 plus fee's and taxes now the same truck start $53000 Canadian
I for one do not see how trucks became so expecive. In the late 60s,70s trucks were the cheapest thing you could buy. My dad was a tool maker and worked some in the auto industry he always said trucks were cheaper cause they only had a box on the back they had no interior to install in the box so that is what made them so cheap. What the hell happened to that theory.
Americans
Since American men have been emasculated over the last several decades they are buying trucks they don't need to try to FEEL like a man. The funny thing is they all want their cushy gizmos (leather heated/cooled seats that rub your balls while you drive, infotainment systems, automatic transmissions, a plush ride, etc) which a real man doesn't need.
Emasculated men over the last couple decades made truck prices climb.
@@kirkpalmer1709 That's kinda true. So many men think it makes their member bigger, or just NEED the feeling of power you get behind the wheel of a powerful, lifted truck. (Heck, my ex-wife became a different person behind the wheel of my diesel. Aggressive as all heck, even for her - and she was a "karen" to start with).
@@capnkirk5528Bro-dozer express. 😂
Sure, lots of guys are driving brand new trucks today. It's called their work truck from their company's fleet.
Yes there is a lot of that
That’s because it’s their jobs. I used to drive an F-350 for work but I’ve never owned a truck. Still don’t have one.
Electric vehicles are the quickest way to be upside-down on a loan.
I don't know where these dealership managers and owners went to business school, they know nothing about business. They went to the school of greed and hosing the public. I love it when the salesman began crying to me about the overhead the dealership has. I told him, I understand and don't care about the overhead, that's your problem. He sold me the car below MSRP at my price, when he knew I was ready to walk. Don't let the salesman control the situation, make them sweat and be prepared to walk out of the dealership.
The RAV4 is a 25k Vehicle.
Not anymore. Best deal out there if you get one at MSRP. $30,000.
@@Cynthia-h5i 30s not terrible
Used. Sure. But new? Outrageous
@@lopezbiglos that's my point they should be 25k new.
Your video has perfectly described the beginning of a recession. The only way to stop it is to stop buying vehicles you don't need. Then the car and truck manufactures will have no choice but to drop their prices just to get rid of overstock inventory. It's no different than the real estate market.
You are right, people should speak with their wallets
You’re not going to get a 50% discount on anything, but that’s what it will take for auto pricing to make sense. Let it burn. I’m tired of all of it.
I can pay cash for a new car, but why would I?🤷🏻♂️
@@pmscalisi It did in 1929, it will happen again. Don't buy this over priced crap.
I'll be honest, I see your point and working in the Banking industry the main issue is that folks that can't control their spending are the main issue. You will always have someone that has to have the latest and greatest and they don't think long term. So as long as people will buy there will be no change to the car market. Just remember "A fool and their money are soon parted".
Great Job on the video ignore the internet warriors.
I have 3 vehicles all paid for.our 2014 acura has 50k miles still in nearly showroom condition and a 2004 toyota, and a 2002 buick century with 150 k miles on it , still runs great a perfect daily driver and 40 per month liability insurance. Maintaining what you have is way more practical. Never again to any new car payments
I'm Canadian - I can't afford a new work truck for my lawn mowing business. I'm still driving my 07 Madza B4000 (Ranger) 224k kilometres. When she dies I'll shut down my business.
Look for another good used truck while you can still find them.
@@dave3657 they are getting harder to find as everyone is in the same situation...any decent used cars are getting snapped up quickly...
Nissan Frontier is a good one
It's reported that Dodges new ev Charger have dealer's continuing their greedy ways and adding upwards of 25k over MRP. This is just the start because it's a new release. Stellantis dealers adding 25k to a 57k or 87 k models is just plain greed. So like the old saying goes "As things change the more they stay the same."
It's not that people don't WANT electric vehicles ...
It's that people don't want THOSE electric vehicles at THOSE prices.
Make the Mustang Mach E a $25K US car? They would sell like crazy. Especially with a NACS adapter.
But Ford thinks they need to compete with Tesla by building what Tesla builds. Which has a long, LONG list of things YOU DON'T NEED.
You don't NEED:
- "Full Self Driving" (FSD) or even Autopilot. Or "Lane Assist". Or "Adaptive Cruise Control". Those are OPTIONS (I admit some of them would be really low-cost options though).
- Over The AIr (OTA) updates. A WiFi receiver (not cellular) in your car would make SIMPLE, SCHEDULED updates practical using your home (or the dealer's WiFi)
- 0-to-60 in FIVE seconds. Even people who own vehicles capable of this as ICE vehicles rarely use it (the 16-to-29 single male demographic excluded).
- All Wheel Drive. Duh! FWD came into regular use in the late 1970s, people drove FINE with JUST RWD for a very long time. And especially with ABS and traction control?
- Twelve airbags. Airbags are good (I hit a deer at 55 mph ... airbags are GOOD!). But there are diminishing returns on airbags. And such a thing as too many.
- 18, 19, 20 inch wheels and tires. Tires are a substantial cost, so unless NEEDED for battery weight those big wheels and tires are mostly just a vanity thing.
- more than 250 miles range, or 200 miles range on an economy car. Cars in the 50's, 60's and 70's did not have these HUGE ranges of today.
- EVERYTHING in the touch screen. Yes, physical parts add cost, but the engineering's long done and the cost isn't much. it would improve the transition.
- All the extra fancy integrated software in the touchscreen. (That will come ANYWAY, but trying to match Tesla's headstart is stupid).
You are right! There is too much junk on cars now. You need seat belts and air bags and no more! I never turn on the radio on in my Miata. It’s a waste! Eventually people will demand cheaper cars!
This may be an unpopular opinion but I think car prices aren't completely out of the realm of imagination comparative to the rate of inflation. The issue is employers not wanting to compensate their workers properly comparative to inflation. For the past 5 years I've been stuck at around $23-$25 per hour, depending on shift premium change and maybe a $0.30 raise per year, yet every one of those years we always made record breaking profit. I get pennies on the dollar yet those up top give themselves bonuses each year. It is the employers fault that most people can't really afford anything anymore.
If you're satisfied stay there, if you're not then go find a better paying job.
My wife and I have to decided to only buy 1 new vehicle every 10 years and keep it as a backup for the next 10 years. At 43 we only have a few more left. If it gets worse I might have to go every 15 years. Our Dodge Journey is 7 years old at 105k miles so we are 3 years away. Looking at either a Honda Passport or Toyota Highlander. Chrysler, Dodge, Jeep and Ram have left us. We used to go every 7 years.
They (both stealerships, financial/banking, and consumers) need to stop looking at gross pay, and look strictly at net/take home pay. Actual affordability!
If net pay is too low, then it's unaffordable.
What maybe affordable with gross pay, but may not be affordable with net pay.
@CMBBmc-jd6ur a lot of times, it's how much you make or gross pay. Sounds good in theory, but not good in practice.
Union dues, health deductions, public transportation etc variations are by employees, if some have that all.
PATCO (Philadelphia to southern New Jersey train) Teamsters Union dues, and health and welfare, plus Philadelphia city wage tax eat out my gross pay.
I tend to say I can't afford that, they say how, you make over 68,000? Not with net pay!
The future is so depressing.
Don’t fret man we’ll get Trump in there, at least for four years everything will come back around.
@@kbbb4227don't count on it
No kidding.
I needed a good laugh
@@kbbb4227
No it’s just different than most of us anticipated. It reminds me of the late 70’s, only worse .
These are the videos we need on this channel, awesome work. Thank you!
Thank you so much for your honesty everybody's greedy for money don't forget the insurance that you have to carry especially in the state of Florida all vehicles in homeowners insurance it is sick thank you again you are hitting the nail on the head 🙏🏽❤️
I’m a finance major and I will say this, nobody is OBLIGATED to buy a car that’s $30-40k. We all have the option to sacrifice and buy used or buy older models. The market is cyclical in nature so these prices will not be forever. Consumers always have the choice no matter the price.
I have 2008 and 2011 vehicles. Run like prime machines because I maintain them. I will never buy new again.. depreciating asset as soon as you drive it off the lot. The 2011 was certified used and is awesome.
Well if it is gonna change, we need it to change now. Not later, now
@@2driverpls652yep. Buy used. You’ll thank yourself later. 👍🏽💪🏽
I paid 29,000 MSRP. No mark ups last year on my 24 Honda HRV EXL. I had 8200 equity in my trade. Plus I put 2 K down. I financed 20,500. My payment is 342. I am paying extra principal so in 11 months I’m at 10,762. Don’t over pay
hrv is a tiny vehicle…
@@jsutty7530and? Not everyone needs a Tahoe
@@jsutty7530thass rite it ain’t no truukk 😂
HRV is the saddest vehicle.
lol I drive a 96 ford ranger bare bones basic. If it breaks down it may cost me a couple hundred bucks. From time to time but I’m not paying 1000.00 a month for garbage!
The Nvidia principle (less sales, bigger profit margins) bubble can only last so long.....
Indeed and this is coming
Credit card debt is over 1 trillion dollars in the U.S. that should give you an idea how bad it is , a lot of people aren't paying or very late pay even shopping for food paying 20 to 25 percent over the price of the food.
time for the dealerships to pay their com-upp-ins.
Yes
That's where Chevy got their slogan from ""like a rock"" their expensive trucks depresiate like a rock..
And values sink like a rock
Feels like most modern vehicles do not economically make any sense for consumers.
Yeah I replaced the transmission and stuff in my old car as it was cheaper than buying anything newer and better. Massive car inflation like food, gas and housing inflation.
It does not take a majority to prevail... but rather an irate, tireless minority, keen on setting brushfires of freedom in the minds of men.
-Samuel Adams
If you look at how the United States starts revolutions in places like Belarus or Georgia or Ukraine, that's how you get rid of a toxic government. What Samuel Adams said has no relevance in today's world
Its all about finance.. people will buy ANYTHING if you offer financing..they dont really care about the price..just the payment
Thinking short term rather than long term, it happens a lot. Impulsive behavior always has the upper hand.
Things got much easier when my dream car is a Ford Crown Vic cop car, I can get a decent one cheaper than most Toyotas and they can last for an eternity. The only downside is fuel cost, but it pales when compares to the auto loan cost or the cost of a new car.
Great cars. panther style
You are Absolutely RIGHT, AND TO THE LETTER: Thank you so much. From Patrick McCarthy in Canada
Thank you very much Patrick. Hi neighbor, hope you are having a great summer. Cheers
@@markholubetz Thank you: Keep up your avalanche of TRUTH. Kindest regards
Ya here in Ontario the price of used is shocking especially if you are looking for reasonable mileage pickups. I think I will keep my paid off vehicle..
Thanks Mike, yes prices are out of control at this point
The band affordable Japanese mini trucks in my state because they’re unsafe… Considering what antiques, motorcycles, or even electric bikes I can use on the roads it’s just a scam to keep you from buying cheap vehicles
The vehicles like Kia Rio and Nissan Versa are being discontinued because not many are buying them. Every one wants SUVs and bigger more powerful cars. I love cars- but a broad statement is not accurate necessarily.
That’s because those are 5 gallon pail on wheels and people need more value not just cheaoer
@@markholubetzI bought a 2007 Kia Rio brand new manual transmission manual steering. It lasted 147,000 mi before someone collided into me. It was a great little car. All I changed was the timing belts and a wheelWell... problem and I even went camping in it in the Pacific Northwest... It was better than sitting at home without a car.. bought a Nissan versa and I spent a lot of money on repairs but it might have been a corrupt auto mechanic I used who was simply close by
US and Canada...Look elsewhere in the world. You don't "need" a pickup, nor an SUV. A family of 4 or 4 grown adults can fit in a compact ca # no issues # happens everywhere else thousands of times a day!!
Yes you are right
General contractors/ business owners have absolutely ruined this market. They are the only ones who can afford these 100k plus trucks and suv's because come the end of the year they have to write off money and so they go to the dealership and just say give me the biggest most expensive truck you have. So dealerships dont care about the pricing of these vehicles or the average consumer, they know these type of people will always come in and buy buy buy.
Hate to say it many are new arrivals with government assistance who don't understand the concept of budgeting and financial prudence and responsibility. 23:32
Bloated bureaucracy in the company structure, the UAW holding manufacturers hostage by demanding exorbitant pay increases, benefits packages, and pension plans, ridiculous regulatory pressures, and the US and Canadian government overreach - that’s what is going to kill the automobile industry. The BS of climate change hysteria, and the insanity of EVs, and government spending causing record inflation - all of this is what is driving this insanity.
Great video - thanks dude.
Boss I was UAW at JNAP. The wages after the last contract left me scratching my head. Not for those of us in trades, $42 is about right for us, but when I heard that production was going to be topping out either at or above $40 I was stunned. Not so much the folks on the assembly line. Those people do bust a$$, but in Body Shop where I was, I didn't understand how you can pay people that rate for what they do. A lot of it is just hanging a part on a conveyor. Sometimes they might have some buttons to push after loading, but that's it. I told my ex if I went to production I'd do everything I could to work in Body Shop because the job is so damn easy. The folks on the assembly line though may only have 1 job, but God knows if you gotta contort yourself like Gumby to do your job. The other area I was stunned by was the people working the parts distribution centers were to be paid the same as assembly line workers. Honestly I think where a good amount of the prices is coming from the health care. They don't pay a red cent towards the premiums. The place I'm at now, I make the same hourly, but had a choice between a $50 per week HSA or a $100 per week PPO, and that's without dependants. I will never be convinced that the price of the health care premiums don't effect the price of new vehicles.
The UAW is just a political fundraiser.
Ask the John Deere people who lost their jobs to Mexico. Juan Deere😂😂😂😂
I drive a 2000 Toyota and a 1991 Oldsmobile Ciera. Both bought new. No plans to buy soon. Spend the money instead to keep them up and running. Best way to manage my car purchases, I've found. Better than chasing the newest and best. To get back the depreciation and cost of buying new others will have to adopt the same in the future.
Do what i did i saved 7 grand it took a bit but i managed to save it im a blue collar worker. I went down to Florida bought a 2006 Forester 55 thousand miles one owner i paid 6500 i love it everything works and i have no car payment!!
Hey. man, you are a fantastic guy, telling us all the truth and you really care labour people getting ripped off, good on you. You are dead right what you say, hope these lying Corporations go bust and out of business, ordinary people don’t buy the vehicles, keep what you have and keep them on the road, still much cheaper than buying one of these over priced vehicles. Don’t support them and they will go bust, good.
Manufacturers are crazy enough to ask these prices for their cars and trucks, if there is those who will pay those prices !
I was driving a 2005 Toyota Tacoma and started getting scared of being stuck with it and priced out so I jumped on the X3 M40i because I'm seeing Toyotas, Mazdas, Acuras, Lexus all costing just as much if not more than the BMW (no dealer markup) and they're all having issues with their newer models. I haven't had an ounce of remorse.
Exactly sounds like a great story
I’ll just say this… the issue isn’t the dealers or the manufacturer…
The issue 100% relies on the consumer. Manufacturers won’t make what we don’t want.
Manufacturers and dealers are just capitalizing on our inability to just say no as a whole.
The fact that we have individuals who would be happy just to get rid of mark ups is everything you need to know.
7-8 year loans has convinced the populace that 40-50k is affordable. When a BASE model F-150 is half the annual salary of the average American… it is a problem.
I average about 110-130k annually and I ache with a used 36k tundra.
How people are going around saying 40k+ is affordable is insane!
I wish more people would understand that inflation has nothing to do with it. Even with historically high inflation these prices make no sense what so ever it's pure. If inflation was like 7% one year then things should be around 7% more expensive give or take not 200% or whatever. Things don't double in price over a 3 year period because of inflation that is pure greed. If it was inflation then these companies would not be smashing profit records every damn quarter. The price raises and the inflation increase would balance out otherwise. The supply shortages have largely been resolved. These companies simply use inflation, shortages covid as cover to make a run on the populace and now that they've gotten away with it there's no way there will ever let prices return to normal. They wanted to see how much they could get away with and only recently have that started to hit a wall when it comes to bleeding people dry. The prices simply are not tied to reality anymore.
We need the modern version of the K Car.
Look it's been said by the government. Personal transportation is going away.
The plane is to make new cars too expensive. And then make it extremely expensive to register and tag a car. By 2030 no one will own a car. You will instead use government owed transportation at an insanely high price.
The idea is to force you to live in a city where you can walk everywhere you go. And rent from the government at the cost of paying 3 house notes 10 years ago .
You will own nothing. And you will be happy. Because if you say you aren't you won't live at all.
That will take a long time. But I believe it could happen.
Someone gets it.
They told us this TO OUR FACE and some people refuse to believe it.
It only takes 1 generation to make people accustomed to not owning a car or house. If you're not willing to wait that long there's a solution......
Import people that are accustomed to that.
In one generation we went from being embarrassed if you lived with your parents over the age of 18 to that being the norm.
In one generation we went from EVERY high school senior getting their license to almost NONE of them.
This is absolutely the plan. Remove people's ability to travel (flee) and see how compliant they become.
You really need to get out of the house more. Quit listening to AM radio as much maybe. 🤔
I see this also in Australia. $150k for a ute (pickup) is insane. I haven't been able to afford a new car since 2004. Last 4 cars I have purchased used. You are dead right in McDonald's as well. Its now a luxury to go to that joint. Looking for a car last year for my daughter, entry level Kia/Hyundi were nearly $40k. There is now a deluge of Chinese cars in Australia going driveaway under $30k. Dont' see these as a good investment when it comes to the used market and these things start to hit the showrooms. I just bought my replacement car a few months ago, 2016 Kia Sportage diesel for $22k, mint condition with 110k's. Very happy but how long will it last? People are just taking out mortgages on their homes to buy these new cars. I don't know how a typical tradie can afford a $120k+ car and cheeses me off when you see them rock up to do a job in a brand new car. I work my ass off for 40 years and still cant afford a brand new car. Show constraint people, if you dont buy then they have to lower the prices.
I work for gm at the Fort Wayne Assembly plant building the Silverado 1500, due to high inventory the plant line rate has been reduced, shifts have been sent home when the line rate was reached, talks of going from a 24/5 operation to a 16/5, blacked out Saturdays, another one week outage is coming in October, and in April next year will be when the most of the operators that assembly the truck will be replaced by robots, at this same time the material handling will be done by autonomous vehicles. Wake up we are being gas lighted with the Bidenomics BS.
and the uaw endorsed biden who will let everything be made in china and pushed ford into evs and lost 5 billion
Thank you for writing this. This is real bad news but it needs to be stated. And thanks for the heads up
Enjoy your UBI because that’s all any of us will have.
Misplaced anger. Your company decided to build cars people can’t afford. Even in the best of days I would not buy a $80k truck. As for automation,,coming from the aerospace and semiconductor industries..that is just modern life. I feel for the workers but I have seen that movie before.
Stellantis and quality products does not normally go together in the USA car markets.
Exactly
You're a bit new to me but I am watching. Today you seem very accurate (to me). This can't go on. The UAW/CAW can't protect their members if there is no market. Smaller market, smaller staff.... (Personally; I thought you were based in Winnepeg not Edmonton: I miss the Eskimos not that PC ELks). Thank you
new owner, rumblings will return to eks
My plan is keep my car until it costs more to repair it than replace it.
Thanks for this information. It is exactly what I have been thinking, I am almost seventy so I have seen a lot in my life with cars. I am driving a 2011 Buck Regal with over 102,000 miles. Just keep fixing it but I view and get a lot of knowledge from your channels because I will eventually have to get another vehicle. Keep up the good work.
Middle class forget about buying a new car or a second hand house.
I paid $26,000 i cash for my 2016 Mazda CX5 and intend to drive it for another 15 years. So the cost per year, not counting several sets of tires and batteries, will be around $1,200 per year. Anyone who buys a new car with an average price of $50,000 and payments with interest close to $1,000 per month for seven years is crazy. Buy a clean used car for cash and drive it until the wheels fall off.
Purchased a 1979 Jeep CJ7 with Renegade package. Paid $8,000 USD; inflated to 2024, that is $35,000 USD.
Purchased a 2017 Toyota Tundra CrewMax SR5 upgrade with TRD off road package. Paid $43,000 USD; inflated to 2024 that is $55,000 USD.
Inflation is the grim reaper of purchasing power.
And monopolistic pricing power is brutal for consumers.
Some car manufacturers are about to fail, leading to even less competition, resulting in even more pricing power for the remaining car manufacturers.
Something disruptive in transportation is inevitable. And the company that builds the disruptive vehicle will crush all other competitors. Will be fascinating to watch it unfold.
China will do it, you’ll see, it won’t be the US manufacturers
You can buy good and new vehicles for 20 to 25k I just bought a nice used truck with a warentee for about 500 a month what really hurt wasn't the price but the interest rates right now are ridiculous 11% some of the ones I was looking at was 15% which has become the new 9% it's just ridiculous
You can get a sports car for $60k-$120k but people are getting daily vehicles for that price. There is a problem there and its judt because they get you with that "its only $800 a month"
Im 60 and i own a 2012 honda crv fully loaded, paid off for years. I willl maintain and drive it until the wheels fall off. The cost of thses new vehicles are ridiculously high and i dont know how people can afford them.
My 15 F150 Lariat was $64k CDN new and we bought it with almost 60k for $36k in 17.
I cover some of this for our hobby, greedflation is a perfect word to describe whats going on! Between the shady dealers and the OEM's it shameful whats happening.
Good video- Mark
Excelent analisis of the economy and car market.
Thanks very much
During Covid I needed a new vehicle. It was tough. Used cars were scant and climbing in price quickly. I bought a used Hyundai. Then I had to add extra insurance as I’d not be able to replace the vehicle if totalled as the lots were selling way over Blue Book. The Hyundai vehicles were a bit cheaper than the Toyota models, etc. Seemed like the way to go. My 2017 Tucson GDI engine was a total nightmare. Being retired on a fixed income, poor health, can’t work again - I’m in a whole so deep. And I need that Toyota or Honda or Mazda now and prices used or new are through the roof.
100% man right on! What is sad outside of Nissan there is not much in the 20k and under range. Wages have stayed the same through all of this inflation and increasing prices.
Good to see you back in the car videos, about a video about best reliable older engines that won’t cost an arm and a leg?
A very timely, sober-minded and percipient appraisal. I hope others hear you.