It’s a game of chicken and to a small extent the dealers can win that game. People can claim they don’t buy a car, but at some point either due to FOMO or their car condition getting worse, the customer buys.
Let the car mfg's and new car dealers, eat their vehicles to survive. US consumers should not buy any of them at the current prices. Prices should drop by 50%, then the deals can begin
The demand for used vehicles is going up because people can't afford a new vehicle. As that happens, it does raise the cost for a used car. It's not a surprise, just inevitable.
Hot take: Prices are not high... It's called inflation. Our wealthy, ego driven, greedy government leaders (funded by mega corporations) have printed more money in the last 4 years than anytime in US history. Buckle up!! Interesting times ahead!
It’s the car companies refusing reality keeping MSRP’s in the stratosphere. Because there are people out there with more money than brains still buying pickups @ 70K+, 80, 90, 100K+, they’re just reinforcing the big company attitudes that selling only a few vehicles for high margins is better than selling a ton of low profit vehicles. I think you’d be off your nut to spend more than 35K for any vehicle now, you’re just feeding their greed & insanity.
There's 192 brand new '23 Dodge Challengers and 165 brand new '23 Ford F150's within 100 miles of me. 2025's are starting to hit lots. I can't wait to see how all this shakes out.
@@sgt.grinch3299 the game as our economy and fiat currency is rigged. Please explain to me how an aging durable item can appreciate in value while it sits on your floor plan or on a shelf in a shopping mall? Rhetorical question no - depreciation occurs the moment you drive it off the lot or remove the tags or toss the original packaging the item came in - it’s BS and it’s rigged against the consumer.
Attempted to buy a used car yestey, dealer wouldnt budge a dollar from their asking price stating they could send it to auction and get more than what they were asking for 🤷♂️. Walked right out on them after that
Dealers are not selling - so they are trying to recoup their losses by keeping their prices ridiculously high plus the ev mandates are killing all profits.
It had to eventually find itself in a bad place. They have sold all the suckers who were over paying and what’s left is the smart buyers. The people they sold to before are in a bad spot and now they have to suffer because they were short sighted of the result of their actions. Let them go down. Lose money I don’t feel bad for them at all it’s their own doing
A Jeep salesman said historically they don’t give a lot of rebates on gladiators. Im betting he’s wrong this year. At this point it’s a game to see who is going to give in first. Me or the dealership?
I agree with them having to lower the prices on gladiators, they did it last year for the 23's, and they're still overstock and overpriced on the 24's . therefore, we will see the same thing hapening with the left over 24's gladiators. Which there will be plenty of them, wait till the end of year.
Lets all of us wait or pressure them to the lowest price. If all consumers are playing this tough game against them we will win and the dealers have to start accepting our demands
Anyone buying a used Audi is a fool. The maintenance on them is absurd. Simple items that will break cost 1000s because of poor engineering and placement of said item. I would lease a Audi, if I were dumb but I would never own one unless I wanted to burn stacks of cash.
My 2010 supercharged A6 wagon is at 150,000 miles and rolling strong. Radiator was replaced due to leak. Been an extremely reliable ride. Looking to roll 300,000 on it.
Negative equity and 25000 repossessions are highly problematic with no easy answers. Most can't qualify for a new car. Banks don't have the money to lend anymore when money was cheap.
Drive by any major car dealer lot. They're overloaded with product. The OEM's raised prices beyond what the average person can afford. People have to have cars as theirs wear out. This has driven people to used cars, causing prices to go up. The problem are the MBAs running these large corporations looking only at spreadsheets, and ignoring the plight of the average person. Employees, customers, local vendors etc are absolutely not a consideration. It's all about how can we squeeze out one more dollar without destroying our organization. It's all about greed.
Eventually their trophy wifeys will divorce em and then they’ll be confronted with reality in a 5 year long family court process Women eventually leave corporate sellouts due to boredom
I had to buy a new pickup. The last new vehicle I bought was in 94. I bought a leftover 23 on 2/29/24. The MSRP was $51,848. I paid $48K and the dealership gave me lifetime oil changes, a tonneau cover, running boards and an 8 year 75K mile bumper to bumper warranty. I was very specific on what I wanted with my Tacoma TRD. It’s an Off Road, double cab, long bed with the Premium and Technology pkgs. It’s White with black leather
@@juiceman8108 It may be a puddle jumper to you, but I don’t need a full size truck for my needs. Yes we have 1 -5 ton trucks and our Columbines for our 17K acre ranch, but for personal use, my Tacoma does just fine. And the next time you’re enjoying a steak or pork and eating wheat bread, there’s a good chance it came from our Ranch
@@k.scottphillips8933 Yeah it is. We generally keep our vehicles for 15-20 years or 250K to 300K miles. I’ve been driving for 40+ years and am currently on my 4th Toyota. I plan on driving my Tacoma until I die
I’ve been on the inside of this situation with my family. It’s not that they are refusing to see reality, their floor plan had them trapped in a situation from which there is no escape. The only way out is if the auto manufacturers bail them out and the government will have to bail out the auto makers. You can’t sell them for less than you have them on the books unless the above happens. The banks won’t release the titles unless enough money comes in to cover what they are on the floor plan.
I have asked this question everywhere and no can answer it. What do they do with the cars that don’t sell? Are they going to crush them eventually or sell them at half price? The only answer I get is they always sell them all. Well, no. Clearly they are not. What are they going to do with them? I need a new truck. I would pay half price of what they unreasonably want. Will they do a deal like that or are they literally just going to destroy the inventory? How many years can you just let a new car sit around?
Inflation and stimulation has mostly helped the already wealthy. As long as there are enough people who will buy at those prices they will continue to sell at those prices. There's a huge cohort, maybe 20% who are investors, owners of homes, basically the wealthy who aren't deterred, have amassed a huge amount of wealth and are spending like its the 1990s.
Ben - I think lenders are also clamping down on LTV and loan amount. The world economic forum doesn’t want people owning cars 17 “sustainability” goal by the UN means you don’t own anything
I have been watching the local Toyota dealerships, as I am interested in buying a new 2025 Camry. It almost seems that they are only ordering a few at a time. So I either wait it out until they have Camry's sitting on the lot or hire someone to get me a good deal on an ordered Camry.
Toyota definitely operates quite differently than the Big 3 manufacturers. Earlier this year there were tons of Tundra's on lots and Toyota offered 1.99 and 2.99 rates and within less than a month those trucks were sold. It appears Toyota is better at scaling up and down based on market conditions. The opposite is Ram - they have scores of trucks that have been sitting on lots for months and months with zero buyers........
@@huntsimple9527 Not only on the dealers' lots, but on offsite vacant lots, too. In my area Stellantis has taken over three (maybe four) vacant lots and filled them with vehicles of all types, and they don't have that many dealerships in my area (compared to Ford or GM). Maybe 2000 vehicles in all sitting on those lots. All that inventory just sitting there is crazy, its got to be killing the finances of the few dealers in the area and the corporation itself.
Best buying experience in my life (I have purchased over 20 new cars) was Tesla!!! No salesman no BS from a manager and straight forward pricing. All paperwork done before I arrived and drove off in 15 min. Hope all greedy dealers go under. Most of them still have an attitude like I am lucky to have the honor of buying a car from them.
The prices are out of whack…the data shows this 💯 percent! This is why I rather take a Uber to work and spend $400 to $500 (monthly) on Uber than pay high new car monthly prices+insurance+gas+maintenance that equates to $1500 + a month. Get the picture?????????
Tesla needs to start buying negative equity for their 21-22 buyers (record years) to move metal. Too many customers are under water to even consider a new purchase.
@@Adam-hq7ob they exponentially worsened depreciation with the radical price drops. Too many of their buyers to too deep under water, 30-50% from what I have seen.
well i just got a 2024 Honda ridgeliner two days ago 7/31/24 and Honda did discount the truck about $3000 off of sticker with NO other add on's or fees but had a $1900 dealer package and said we cant take it off as it's already ''installed'' but when i got up to leave they took it ''off'' so if you add that all up a 46 grand ridgeliner with ''TA'X' ran 43 out the door and that with almost two grand in state tax's. so to me the DEALER here get's the reality for sure. southaven ms honda and they did work with me but you need to haggle for sure
I want to upgrade my paid off F150 but the manufacturers have lost their mind. I will just wait them out. Cocky will soon turn to desperation. I can wait.
I’m simply amazed every time I see someone driving a Sierra Denali truck with a new dealer plate on it. How are these people paying $70K+ for these things!?!?
I believe the car companies have inflated the ICE vehicle prices to compensate for the higher costs and investment of EV’s. What better way to push you into an EV than to at least have the price on the same playing field. Then fill the lots with $100K trucks and no economy cars to top it off.
I just bought a junk car with a good title, an excellent interior, no rust nor any collision damage. Since you're going to buy a junk car anyway, especially from a dealer, you may as well buy it at a junk car price. Make sure that you have a realistic repair strategy in place before you buy, though.
Dealerships are using pre-owned vehicles to generate cash flow. If you spend any time on the interstate, you will see that the big car haulers are loaded with used vehicles. New vehicles are not selling at any where close to the pre-pandemic levels. Interest and insurance rates are too high, and new vehicle prices, even with current discounts, are still $20k and many cases much higher than the pre-pandemic prices. Are they betting on another bail out? Only time will tell.
@The Ben Hardy Show: Have put off a vehicle purchase for 2 years. I need to something by Labor Day. Looking and small and midsize pickups. What say you?
Insurance is very expensive on new cars especially if your a young person. Paying a thousand a month on a car payment is stretching for most but add another $300 a month or more for insurance and it becomes painful. Buying a used car can be tricky, once it starts showing rust the resale value will drop off a cliff.
I think Ben is 100% right. My local dealer seems desperate to get me in there, and everyone in my circle is talking about how to stretch their current cars or buy used. Most new cars are super expensive if you want a decent trim level. The market is going to send a big message to car makers
The car dealers are also pulling down the car insurance industry. If you’re not selling or buying cars, you have no need for car insurance. Car dealerships are going out of business driving car insurance companies out of business.
they sell one truck at a 30K profit, then they dont need to reduce prices to sell 3 trucks at 10K profit each. the product stays on the shelf a couple months longer, then so be it
I walked away from a great deal last week because my employer said one of us was going to be fired because some Mexican came by looking for a job and none of us helped him out. This said it all to me. They gonna fire one of us so they can hire one of them and pay him way less. I think I’ll be driving my car for another 10 years.
