Car Market Crash 2024: Car Dealer Profits PLUMMET
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- Опубликовано: 23 апр 2024
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Today on the Daily News You Can Use, Ray and Zach discuss the latest earnings data from various car dealers. Tune in to learn more! 
Развлечения
MSRPs will have to drop more than 5 to 10 percent to get me into a showroom again. You guys say prices will never go back to prepandemic levels. I guess that means I'm never purchasing another new car. Let's see who blinks first.
Feel the same way , I’ve been waiting 2 years to purchase a new car . I spent $3k to keep my current car going until the dealers blink .
well, now we know what used vehicles prices will stay elevated. without new vehicles selling ....the used market will have no more used vehicles to sell (since new ones have to be sold and later become used ones)
I always bought used, first new car was in 2018, would do again but not at current prices, need to drop half
you could just take $4k off and make an offer
This is why I love depreciation, when buying a used car. Price becomes more favorable to the buyer. On the flip side, I hate depreciation when it’s time to sell or trade in your old one. You always loose money there.
Dealers in my area marked up Tahoes and Suburbans $20k+ over MSRP in 2021 so I passed. I’ll now ask for $20k off invoice.
Waiting two years for a new vehicle has NEVER been an option with 99% of the people needing a truck in this economy. Pie in the sky and totally unrealistic and unbelievable. Every story ends with him and his huge brain being the hero. Funny huh?
We all should do that. If the consumer doesn’t stand up for themselves, who will?
And they'll say no.
I bought a mid size truck, AWD Honda Ridgeline Sport 2023, instead of a GMC Sierra SLE-1 Crew Cab. Do I miss it? Yes, but I couldn’t believe that GMC trucks increased in cost that much.
I don't feel their pain!!
well they made their bed, now they are stuck with it. why should the rest of us want to rescue them?
My husband's job is making microchips for the auto industry. They weren't ordering chips and saying there was a shortage. I'm sorry to say that I'm a little bit glad they are taking it in the shorts now.
well, the OEMS cancelled lots of orders of chips as the pandemic hit. well, what they didnt tell you was the OEMs used older chips (like chips from the 90s) for their products. and pf course they were cheap to buy. but the vendors of those chips were already planning to stop making them. since they were so old. course the problem that OEMs had was their was a stock pile of them, there wasnt a lof of them (as noticed they got supplied chips, then would have few to use, and then get some more, then they would start to have fewer and fewer to buy). well, and this wasnt just domestic OEMs, all of the used the older chips. the problem they all had, was that the way the software was written meant it could only work on those older chips, newer required the software to be changed for newer chips. and no 'new' vendors were really all that interested in building them, so i am guessing there was a lot of work for the programmers to just to be able to use the new chips, and possible design changes, and manufacturing changes to replace the old chips with newer ones
OH yeah thanks for the confirmation it was all fake and planned I know why they did this to scare the consumers to buy and be in as much debt as they could be in😁
I’ll keep waiting. Truck prices need to fall over 30% before I would even consider buying. I have no problem keeping my truck for eight more years.
The days of trading every four years are long gone.Long gone.
@@thomasallen6980 definitely agree
My truck is 23 years old. I bought it brand new in 2001.
I was planning on buying a new truck, but forget that. I will just keep fixing it, even if I have to drop in a rebuilt engine or transmission.
Dealers got greedy. They can choke on these trucks and go out of business for all I care. I am not paying.
With all the useless electronic crap on the new trucks you are better off keeping your older truck. I wish I had. That thing was 18 years old and a tank of a truck.
@@AJourneyOfYourSoul I feel exactly the same way. My Silverado is 22 years old and has 370k miles. It's an ext cab LONG bed 4x4 Z71. That truck would easily cost $75k to replace at current prices. It still runs great, but I can rebuild it at least twice for $75k.
This is called free enterprise. A dealer can ask whatever they want, but in the end the market sets the price depends on what people are willing to pay.
It is not "free market" if the government has to come and bail them out every time they have a bad quarter. Boo hoo, it rained, Boo hoo, everyone has the sniffles. boo hoo. The airbag shipment did not show up. Boohoo.
Dealers CAN get away with high prices because most people don't watch Ray and Zach to learn how to shop for a new car without being taken advantage of!!!
@@Steve_in_NJ actually most people dont do that much research before they buy ....they just wonder around on dealerships looking for something they like, this was true before the pandemic. and was try during too, cause the way vehicles are sold in the US, dealers buy whats on their lots.
It is just like your house. You can list it for sale at any price you want. The question is whether there is someone out there willing to pay for it at that price.
I decide as a buyer what is the value of things. You show me stupid price tags? I laugh, walk out & go to the guy who doesn't take me for a pigeon.
You want deflation? Be part of the solution & refuse to pay the scammers.
The day they sell a 30k truck for 40k is the day I may look at a new vehicle. As long as they keep selling 30k trucks for 80-90k, dropping the price to 75k and calling it a “sale”…please
damn you will pay a 33% markup because that is reasonable to you? wild consumers out there
@@almadeunrebel hmm, not sure you read that correctly
If they were in pain they'd drop the price. Not enough pain yet.
A recession needs to happen before prices will drop.
@@hereweare9011 dont think it will help all that much. dealers dont operate the pre pandemic way anymore. what will is when deaership start failing in large numbers in many areas.
These dealerships need to get their heads out of their butts.
NO, we do. WE have been funding these mooches for too long. Time to walk away.
Sounds like EVERY Toyota dealership in my area. ALL of their hybrids SUV/sedans at or above MSRP because their buyers care more about the brand than the price they paid for it.
@@Steve_in_NJ well in addition to their now being very many of them, and n idea why Toyota (and Honda) dont have more on their lots. but they dont
The insanity of dealers business model is that everyday that a vehicle sits on their lot it’s depreciating.
If a car is 1-year-old, you can ask for 18% depreciation on it before you buy it and take it off to a walk.And if they don't want to give it to you they'll probably have to give it to somebody else six months down the line.
In my short buying car history (4) I found the dealers closest to me are always the ones not willing to work with me. I wonder if its because they think I wont look further, but all my cars I've bought at least 60 miles from my house cause of this.
Same. It always seems like to find a vehicle for the price I want, I have to look hundreds of mile out, if not more. Never can find a good deal where I live, which is in Houston.
@@pmo1708 I am also in Houston so it may be a regional issue 🤣
@MR3DDev yep, that was my experience. The Lexus dealer 15 minutes away simply wouldn't deal with me. I had to drive an hour and 10 minutes to the area near the airport. It was worth it though! I got out the door with taxes and fees at $275 over MSRP and this was on a Hybrid.
Problem I just had is I when to three differently owned Mazda dealerships in the DC / Baltimore area, and NONE of them were willing to come down (on used car), at all. In fact, one of them RAISED their price $1k the day after I inquired about it. Suuuuuper sketchy. Major dealerships, fully loaded lots. Not willing to come down at all.
Ray just confirmed what I've always suspected! When Zach asked, "What's the invoice on this $58k MDX?" Ray said, "Probably $53K" which tells me the asking price is approximately $5,000 ABOVE the invoice price. Yet time and again, I'm told, "Oh the dealers don't make much on a new car! They're lucky to make $500." Yet a number of these dealers WILL NOT BACK DOWN from that asking price, citing, "We need to keep the lights on" and other such nonsense statements. I"m calling BS! If these dealers would sell this $58k vehicle at $54-55k, they wouldn't be in the mess they're in!
Dealership makes 5k. The person who sold you the car gets paid 200 bucks per car sold. If your a salesman your in the dog house. If you own a Dealership your making alot more.
@@kennypowerz1267 and your point? I never said the sales associate was making bank. I was pointing out the hypocrisy of people claiming that DEALERSHIPS don't make much on the sale of a new vehicle. Ray's comment just proved that statement to be incorrect.
Every employee in the dealership costs a hundred thousand a year after benefits and employer taxes. I am not so sure the profit margin is as juicy as you think it is. Ray knows though. I have never been a jealous person, so I don't look for reasons to be jealous.
@@thomasallen6980 I'm not jealous. I'm merely pointing out the statement that dealers make very little on the sale of a new vehicle is false. Ray just confirmed that it's false.
That’s less than 9% margin on a 58k luxury car… how much do you think there is on a mid-sized car??? Maybe 5%. As an aside, how much margin did the store make on the shirt you’re currently wearing??? Likely 50%.
I’m not on the dealership side, just pointing this out…
I can tell you for a fact, after years in the new car business, there is no such thing as a completely honest dealership. Any dealer that tries to be honest and aboveboard will be out of business in no time.
Live with it and learn from it. Excellent advice. If you can manage the payments (even if it hurts), stay with your commitment and the next time you buy a car, make a more informed and proactive/practical decision.
Great comment
Drops that large clearly shows how high their ridiculous prices were! Hope prices continue to tumble, time for the buyers to catch a break!
Simple solution to the housing market and car prices. Stop buying. Prices will fall.
I finally bought a car. Got a Dodge Charger GT 2023, below 2020-2019 MSRP price. Ended up paying $30k OTD. Window sticker was asking $40.4k. I held out for a while... found a dealer 200 miles away that was willing to work with me. 7.4%- 60 months.
You got screwed buying a car that only sub-prime ghetto people buy. Not even a hemi.
FYI I'm a Automotive Dealer with over 25 Years of Experience. Most Big Auctions such as Manheim will not let us Dealers Arbitrate Electric Vehicles. So basically running them through the Sale is Worthless. We don't even look at them on a Wholesale Level let alone Retail. Joe B. Would love to be on the Show. Keep up the Good Work. 👍
They run electrics as is, no ride and drive/auction guarantee??
Someone needs to get all of the big 3 CEO’s together and actually answer a bunch of real world customers questions. Mainly why in the world would they raise MSRP up so high that the avg American cannot afford a basic truck anymore. I’m talking like the XLT FORD, BIG HORN RAM, LT CHEVY. We cannot afford to pay 60000$ for this basic truck. Those are the backbone trucks of the American working people.
I keep hearing about these two dealerships having their inventory repo’d. I’d really like to see some independent verification of the repo. I can’t find anything in the news about it anywhere.
Good point. I just scanned around and don't see anything also.
I'm telling yall I'd that happen every RUclips channel would be on it.
The news lol. Sorry
Definitely have patience on finding the right dealership at the right cost and what you want. Paid 68k for a brand new 2022 Chevy 2500LTZ in Atlanta, GA. I live in CA where they were at 80k for the same truck, same specs. Ford wouldn't even entertain selling a truck (Rude) and Ram were stuck at 75k.
I dont see it as "not going as low as the public wants" When Brandon from CQA said he has to lower prices at his dealer because people aren't able to afford $4500 cars.
The thing that makes it nothing like 2018 for most buyers are interest rates. Unless you're paying cash, it still a crappy time to buy a car.
That’s why I lease them and have for decades. I charge my EV in the garage to 100% without a care in the world. Giving it back in 4 months and getting a Tesla Model Y for cheap. In NJ we get an extra 4K on top the 7.5K from Uncle Sam, so a basic model Y is only around 26K. Who can’t afford that? My lease payment even with zero down will be couch cushion money.
It’s probably not a fair comparison because dealers have been charging market adjustment last couple of years. Many of that free tenders are now gone so that’s why the huge drop in %
The dealers were also making money on the addons. They have come up with a lot of new addons such as paint protection schemes, window tints and ordering cars with factory addons that magnify the cost to the customer and boost dealer profits.
I just copied your Email Template for Leasing a Vehicle, and modified it for my needs. Will be sending it out to a bunch of KIA dealers upon my return from vacation next week. While you guys are in PR, I'll be outside San Diego! No EV chargers at our timeshare and no EV rentals available anymore. Gas in Southern Calif. over $5/gallon now. I was going to lease an EV, but decided to stick with a PHEV instead because EV values after 36 months will be so much lower, so the lease payments will be higher. Thanks for a great website!
If you are underwater with your car go out and clean the car. You will feel better about the car and maybe fall back in love with it. Many times we just want new and shiny. Make your existing car nice and shiny. Ray is right, learn to live with your current car. Getting a new car every few years is a quick way to poverty.
Greed by both the dealers and manufacturers is leading to their demise, and frankly, it should.
After going through 4 dealerships, I negotiated a good deal last October for a dodge vehicle that was bumped $10k after one day. Then, $14K in two weeks, the dealer stated that the price would just keep rising better purchase now!
Take a hike, Dodge and Ford! We will be putting $35K into our two 10 year old vehicles, suping them up. We were willing to put more into a new vehicle. Thank you for helping us to make this decision!🎉
Thanks for this information you guys are the best I keep learning from you 😎
I came across a 2023 palisade calligraphy thats been at the dealer for 260 days. The dealer dropped the price 7.5k from msrp but then added 2.5k in dealer add ons. I called the dealer and they said they wouldn't sell the vehicle with the add-ons, I told them i wouldn't buy it with them. Told them good luck and hung up.
What a shocking turn of events
🤣👍
Aventura CDJR advertising Jeep Grand Cherokees for 26 k as the sale price.. and compass for 9k... I called and of course its all bullshit.... I contacted the attorney general... This has to stop
I see that...Compass sale price $9495. What's the story when you try to get one?
that's unreal. I sent them a message asking for OTD price. Looks like someone's looking for a lawsuit.
I am currently driving a 2005 f 150 with 465000 miles , a new truck would be nice but the prices need to drop another $10,000 before I buy another one.
There still is: quote Zach - "such egregious mark ups and greed and taking advantage of consumers" taking place today. Prices are not reasonable or better today. The industry needs honesty and integrity to gain consumer trust.
You guys Rock! In your experience, have you seen better deals from independent dealerships or franchise dealerships?
Oh gee, what a shame! Car dealers are hurting. Pretty sure no one cares, other than other car dealers. Could be the most greedy business in America right now.
Just looked at the Ford Q1 results and they claimed to sell 9589 Mustang Mach e's in the first quarter. Using Caredge data I have been tracking mach 3 new inventory since the third week in January and from 1/20 to today the inventory went from ~20600 to ~16600. One has to wonder where all those claimed Ford sales went?
The funny part is that I could work. I've applied to sell cars and all the time I get told they got a better person my thing I basically say is to find out what would fit the customer best they give me a stressed look all the time
We are not, they all seem to be on the same page in Houston. The only difference I can see is that the amount or cost of dealer add-on price varies from dealership to dealership. The minimum seems to be around 1499 and go all the way up to 3000-4000 dollars. The dealerships are so cocky that I've been told if you don't wanna pay our mark up go somewhere else. The only reason they can get away with saying that is because they are all on the same page.
i suppose unless you are in a very small market, going elsewhere might be hard, and in a big market while simpler in some ways it can be just as hard. and in some cases the nearest dealer maybe 100-500 mikes away.
Dealers will try to find a way to screw you one way or another. Your plan of attack should always be that you have a specific price that you are willing to pay and will not budge from, and that you have your own financing and are not trading in a vehicle. If you strat from this plan, they will manipulate the financing/vehicle price/trade-in offer to get the final price back up.
The consumer needs to hold the line and force priced down, don't buy a car unless you have on other option. We as consumers need to put the final nail in the lid of the coffin of 84 months of $700.00+ car payments. I don't care about the UAW or the auto makers or the dealers as cars are to expensive, parts are to expensive and repair cost are insane and in some cases it appears that the dealers don't have the tech skills to repair some of the cars as the new cars seem to be more complex the a B-2 bomber.
How about that new Tacoma pricing LMAO
Exactly!
Out of control!
2012 Fiesta S standard. 99,000 miles. Just got in from changing the oil and filter.
I appreciate your show and the way you help people. Car edge will help me get my next new vehicle.
Entire system must collapse to bring prices down drastically.
It will collapse, and change.
But not for the better.
Hello, here in mexico the only brand that is selling a lot is Toyota, they are still growing in Mexico but they are the only brand that has a 3-6 month wait time if you want a specific color and versión.
I was shopping for a car and the other dealers were empty of costumers. The only busy one was Toyota. Ended up buying a yaris hatchback.
Because of the high prices i didnt want to take a chance buying a kia because cars are so expensive these days. Some cars are as expensive as a small house over here.
I think manufacturers and dealers live in another reality where everyone is rich and can afford to buy their trash cars. 😂😢
I thought the most selling brand in Mexico right now is Honda, you see them everywhere in Mexico.
@@javier7717 yeah honda had More sales in México than Toyota, but they removed the manual transmisión from their inventory, so they are selling a honda city for the same price than a Corolla. Or a Civic for the same price as the Camry. So they overpriced themselves out of the market. Making Toyota a better value for your money in México in 2024.
I wanted a honda and the dealership was empty only to find out they dont sell manual transmission.
In the KC area they stopped the market adjustment but a lot of them still are trying all the useless mandatory dealer add ons I was looking at am 24 escape activ fwd it was 31msrp they added 3200$ in bs No wonder they can’t move the metal
The jeep dealership in lees summit had 14k off msrp for Gladiators they still can't sell them.
You can buy a model three performance for 45,000 you get a sedan and a sports car you don’t pay anymore gas and the maintenance is low on it much better way to go
But….it’s an EV…. 🤮
Battery will eventualy need replacement wether you’re the owner or someone else so the pain comes later than pumping gas. Hence the quick depreciation on electrics. Doubtful one gets a trade in refund for old battery
@@Dryceman 0 to 60 and 2.9 seconds for a sedan mind-boggling
@@marcpikas2859I lease EV’s…charge in the garage to 100% and I’ll give this one back in September. Replacing it with a Model Y here in NJ with the 7,500 + 4,000 from NJ, lowers the price to around 26K which results in a lease payment with zero down as couch cushion money.
Wait until gas hits average $5 a gallon. Get ready for mass layoffs. Way a year before buying a new car, they will be begging us to take them. 😂
Here in Michigan (Trenton) There is a closed Steel mill and they have about 8000 Ford trucks sitting there going nowhere. It must be cheaper to melt them down and remanufacture new cars since they won't sell them at a fair price and the Big 3 are laying off left and right and more to come
Getting ready to “bite the bullet” for the first time since 2015! Thank you for the videos and advice!
Had an Audi that I got a deal on a year ago. Trade in value was not what I wanted so I ended up selling to Carmax for a premium. Moving to a lease agreement and making money on the transaction
+4K markup still.
I don't know if they are selling any vehicles but I just bought a new Sierra I tried Ford and Rams and Chevrolet they were high priced and dealers not coming off MSRP any. The ford dealer had 134 2023 F150 on the lot very high prices and only taking 3500$ that the factory incentive was given.
We have a 2024 Ram dully 6000 miles. Transmission goes out. We are being told 8 months of waiting on parts. Truck is out of state. Camper had to be towed home. What are my options front manufacturer.
24 TACOMA TRD PRO 65K prices going up how are they hurt ? 🤔🤔
Current era MSRP's are absurd. No amount of "shell game" discount makes them worth their price. Just don't buy.
What's your take in the cyber truck? Saw the first one today just south of Denver...
More pain, more gain for customers
The Nissan dealers state that they discount the prices like $8000 on like a Frontier it’s like $37,000. On the advertisements then once you get to the dealership, it’s the same price as the sticker because they put an addendum on it for frivolous garbage, that’s why they are 56% in the hole.
David Stanley Chrysler turned me down 2 months ago now they're calling me today begging for an audience lmao..
So glad i got a 21 trd sport for msrp. My buy out will be 24k with a trade in value of 34k!!
Thanks Gentlemen
Tried to purchase a new 2023 truck and the dealer was still asking 5500 markup..also the msrp is wild and over priced.
Have you guys seen the prices for the new Toyotas? 65k for a Tacoma TRD Pro, Landcruisers with dealer markups at 90k. I just don't see these selling except for crazy markets like California where a 3 bedroom home in a bad neighborhood starts at 800k.
Come on, comrade. Don't you know? Cars are only for government officials and high-ranking members of industry.
Now shut up and go catch your 15-minute-city bus to get your obligatory "equity" training, or we'll turn off your EBT card and your eight kids will starve and you'll be blacklisted from the government housing "lottery". You're lucky we don't have Alexa hooked up to all of the locks to your doors yet. Yet....
Here in Canada not much of a drop. Wish you could have asked your Toyota friend a basic question - why is your Highlander 2020 xle worth 49999? Why is your limited Highlander 51-53 k? Been looking for 1 year and many, many Toyota dealerships across Ontario, have stock even 2023s from last September still sitting, but they won’t drop a dime! The Highlander limited 2022 wasn’t $53k when brand new! Told last salesperson “my offer today is worth more than it’ll be worth tomorrow, you keep paying on that floor plan on wishes and hopes” Car market up here is HORRIBLE
That’s because us in Canada Honda and Toyota are the best selling for years, + always near out of stock, you won’t get deals or much lower because what’s on the lot, it’s sold lol..
Anything Toyota suv/ or luxury there trying to jump into 50-70K ranges more and more
My local dealership where I bought a brand new car 12 years ago has been texting and emailing several times a week. I wonder what is going on? Of course not. I would like to bring that car appraised by them to see what they have to offer for me to get another car from them.
I hope the prices do drop because my current vehicle has mechanical issues. I plan to buy something new this summer.
In PAIN eh? At least they aren’t in SHOCK!!
Is the bz4x leasing special a good deal?
I traded in a car and got $25,200 for it. I kept an eye on it and they initially listed it for $29,800. They kept dropping the price until the final price I was able to see was $26,400 which took about 6 weeks. I have no idea what they ended up selling it for, but based on this information, I can see how their "profits" took a hit. Assuming someone negotiated correctly and they agreed on a $25,800 price, the dealer "only" made $600 on the car plus their $599 dealer fee. You then have to add whatever conditioning they did as well as the financing for the six weeks they had the car.
Hard to judge how much of a hit they actually took on the car. You buy a car from them when you traded? When you trade in a car there is often wiggle room either in your trade or what you paid for the car you left with. Without knowing how much you got bent over for the car you left with hard to tell how the dealer did or didn't make out.
My lease is up in 6 months, the buy out originallh was 27k but toyota financial said with each remaining payment it would be 24k by September. The trade value is currently 34k. Can i use the positive equity towards my lease buyout?
When you trade in an ev, do they take in the condition of the BATTERY, or how do they rate the conditions of the battery?
When you sell a car to Carvana, do they consider the true condition of the car? I am pretty sure you end up driving the car up on the pickup truck because their advocate doesn't know how to drive standard shift.
The point is dealerships don't really care if they are selling a good or bad car- it is just the means to the end, and the end is the sale... which only exists as a means to an end, and that end is a BANK LOAN... which only exists as a means to an end, and that end is SLAVERY.
"Gentiles" are living in a prison of bondage. Wake up. What "freedoms" we've had for 250 years have just been transitional as a means to speed up our enslavement. Humanity is not breaking free from this. If the majority of people are borderline retarded, how could "majority rule"/democracy ever result in a utopia.
Keep your current car. Pay it off. Maintain it. Fix it. Jesus- did you people not see how this went last time in 2008-2009? This will be WAY worse.
The new tagline is "we have no wiggle room and we are losing money on this deal"
I'm European. Floorplan doesn't make sense to us unless it's at very low rates. Else, ca€h is king. I'd rather have 75% less vehicles on the parking lot that I own, monthly value loss & all.
🔌 🚗 prices going down is a good thing. New & used EVs will keep going down even more & again, it's good news! I would never have bought the first gen Teslas 10 years ago at 100K$, nowadays they are a no brainer. In France we're seeing the first cheap EVs arriving on the market (25K$ & below for urban commuters!). The deflation crunch is only starting.
This all sounds awful to me. Sounds like most dealerships are shady & greedy. Makes me not look forward to buying a vechile
My BMW EV lease is up September 11th. I want a Tesla Model Y. Should I go ahead and lease now or will prices go down further? Right now in NJ with we get an EXTRA 4K plus I think no sales tax so that puts a basic model Y at around 26K!!! Is it gonna go lower?
@@alexs9137 No Model Y refresh yet…so good point. We’re retired, living well but I don’t care about the “refresh”. The interesting thing is Chinese BYD makes an EV starting at 10K on up past 200K. If people here would stop hating on China, they could sell them here and all things being the same, with the 7.5K from Uncle Sam AND 4K from NJ that means the car would be free?????
I saw my first Dodge Hornet in the wild yesterday. It stood out like a sore thumb on the road because it was yellow and had a big hornet painted on the side. Go figure!
Love it 👍
I'm thinking of getting a Trax. Looking for 21000 tops. Think i should buy now or wait. I plan in paying off in 6 months or less. I won't tell the dealer that.
Looking for a sports car, they are in season, and dealers are holding a bit. But I don't need the car, so I will keep poking around, and eventually one will come closer to the real value and stop looking for an extra 10K and play the "lots of interest" in the car BS. Knowing that it's dropping again, I will be sure to hold strong. Great episode as always.
Sports car is going to be useless when bombers are taking off and landing on the highways and you are stuck in your 15-minute city under martial law.
Game over. The Boomers played the game poorly. And there is no reset button.
You know I must live in an alternate universe because where I live nobody can afford to go out and buy a new car. You can barely pay rent or utilities, buy food, etc. so by dropping the price on a car by $2000 when they’ve actually in the past raised it by 20,000 and expecting people to buy it is insane. who’s buying these cars? people don’t have any money they need to bring the cars price back down to where they should be.
Yep.. You hit the nail on the head.😮
Where do you live?
@@Skyking6976midwest
Bottom line? Don’t buy unless you are planning on staying in the vehicle long term.
I just opened by 6 month car insurance renewal bill. No Price increase from 6 months ago.
It's a buyers market 🙄 ( sure it is...IF you are looking for a RAM Truck, Jeep Gladiator, or Nissan Rogue). If you look for anything that ppl actually want you'd be lucky to get $1000 of a MSRP that was jacked up by 30% and hasn't gone down from 2-3 yrs ago
I agree, that's what I'm seeing too.
Great insight, aa always __
But WHEN will they lower prices to affordable levels ?
I have a 2002 Lexus ES 300, runs like new, looks good. Would like to have something newer, however, why spend the money?
You need the lisp Ray for Wallace Shawn lol. Add the slight lisp and you’re all set. Thanks guys.
cant forget the big profit center ....service
I’ll know prices overall are back to pre-pandemic when a brand new base Toyota Corolla hybrid LE sells for $18-19k
I don’t believe it. In western PA prices are as they have been. Wish there was a breakdown per state of how the market looked.
I'm thinking if a person wants to buy and EV a lease may be their better option since used prices for EV are so low?
Dealers profit is going down because cars still crazy expensive
I don't feel sorry for them one bit. They didn't have any issues tacking on 10 to 20k above MSRP during the pandemic. Citing, it's what the market bears. It's only right for the consumers to return the favor
Got a paid off 2014 nissan altima, and I'm gonna ride that thing till the wheels fall off.
I refuse to be told that a $700-$900 car note is the "Norm". No sir.
What's a $900 bullshit "dealer install" premium when the overall value of the car is 70% higher than it was three years ago, and interest rates are 300% what they were three years ago?
You people are really loaing sight of the real problem here. This is exactly what they did to crash the economy in 2008. They overlended to people with no common sense because the banks and home value adjusters worked together to inflate home values, thereby allowing nonsensical lending to happen.
As a result, they tightened up the whole home lending process, making it extremely difficult to buy a home (compared to pre-2009 requirements).
That is exactly what will happen with car buying and lending- they are going to make it extremely difficult to buy and own a car in the future... because people are too stupid to nake good decisions on their own.
At the same time, everyone is allowed to vote on who legislates and executes government policies?
What a joke. Illogical.
5.1.24. YOU GUYS KEEP. SAYING THE CAR MARKET IS CRASHING ETC., I HAVE BEEN ACTIVELY MONITORING THE USED CAR DEALERS IN THE Sarasota,Tampa area and I’m NOT SEEING THIS HAPPEN! Some time ago I was told by the so called experts, that I would have to wait until the END OF JUNE 2024, to see prices come down. “This may be true” because the dealers selling used cars, ARE STILL CHARGING HIGH PRICES, AND CHARGING ALL KINDS OF DEALER FLUFF ADD ON CHARGES. IM KEEPING TRACK OF THIS AND LOOKS LIKE ILL JUST HOLD OFF TILL END OF JUNE 2024, Sincerely Joe Peters Sr., Sarasota,Fla.
I thought you couldn’t sell “warranties” because that is an implication of it being free from the manufacturer? We had to call them service contracts.
Check Town and country Ford in Bessemer Alabama they are loaded with 2023 F150 and not willing to reduce prices
Flooring rates is prime rate plus 1 percent
I disagree, each dealership you go to pulls your credit information. If you continue going from one dealership to another this lowers your credit score significantly. Dealerships are hoping customers are aware of this issue themselves and bank on the customer not going someplace else to make deals which will lower the customers credit rating. For example, if I started the day with a 740 credit score, and I go to maybe four different car dealerships and each dealership runs a credit application, by the end of the day my credit score had been reduced to approximately 660 or less depending on which credit score agency, which means your car loan interest rates climbs. You originally wanted the best rates but now find yourself financing at a car loan a higher rate then when you started🤷🏼.
Thats really not how it works...
@@theripper121 That’s really how it happens. You’re under some kind of ‘delusion’ that there’s a no penalty for what is called a ‘soft’ credit application. A credit inquiry can stay on one’s credit report for up to two years. Inquiries reduce credit scores.
@@Cornbread-gi6kt Not to the degree you saying it does. You aren't going to lose 100 points on your credit score shopping around for a car. And if you are so worried about that you need to get pre approved before looking.
@@theripper121 pre approval doesn’t necessarily mean acquiring the best deal either. For example, If someone is ‘pre approved’ from a bank $50k max, the vehicle of interest is $70k, what’s in question is $20k, the customer insists on a negotiable deal $15k drop in price for the vehicle. The dealerships aren’t ‘obligated’ to accept a customers offer.
@@Cornbread-gi6kt You are still doing it wrong....Before shopping you need to have an educated idea of what your credit score is. When you are bargain shopping and talking about financing you ask what rates are available with the dealer lenders at what credit score brackets. No need to have hard inquiries from multiple dealers. You only need it one time once you have decided on the vehicle and lender. It's not that difficult.