Vehicle Pricing

A friend just bought a New Ford Explorer for $1000 below sticker. It has the 3.0 Eco Boost and Off Road package. Maybe it is the beginning of a slightly softer market.
 
Keep in mind rate increases on smaller purchases like vehicles are going to have a lesser effect on buying power for most. For example: on a $35K vehicle loan over 48 months moving from a 2% to a 4.5% rate only increases monthly payments by around $40. For most people that's not going to change their purchase decision. Compare a rate increase of the same amount to a $400K mortgage and it does begin to dictate decisions.
 
Been lousy for a while now. But I think the beater market might finally be coming around? The same junk is now starting to sit on CL, so maybe the market is improving (slightly).
 
tbm5690 said:
Keep in mind rate increases on smaller purchases like vehicles are going to have a lesser effect on buying power for most. For example: on a $35K vehicle loan over 48 months moving from a 2% to a 4.5% rate only increases monthly payments by around $40. For most people that's not going to change their purchase decision. Compare a rate increase of the same amount to a $400K mortgage and it does begin to dictate decisions.
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Great breakdown in analysis. I'm ready for this mayham to end, though will most likely end up buying new based on market conditions once I find out what i want.
 
I'm setting here in St Louis and just drove across MO from KC... I no longer believe the lots are empty. Every car dealer I could see from I70 was packed to the gills, even RV and motorcycles. If a dealership doesn't have inventory they're doing it for a reason.
 
joegreen said:
My local Mazda dealer is always full with new cars. I don’t know why. Maybe no one wants Mazda
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Just out of interest, I checked the websites of the two dealers in town and the one in a nearby smaller city.

Dealer #1 - 5 new cars in stock

Dealer #2 - advertises 39 new cars in stock, but then lists most of them as "incoming" and/or "sold". Actual available cars may be 0. Hard to tell.

Dealer #3 - 11 new cars in stock.
 
samven said:
A friend just bought a New Ford Explorer for $1000 below sticker. It has the 3.0 Eco Boost and Off Road package. Maybe it is the beginning of a slightly softer market.
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well even the explorer in todays market cant draw full msrp...;)
 
tbm5690 said:
Keep in mind rate increases on smaller purchases like vehicles are going to have a lesser effect on buying power for most. For example: on a $35K vehicle loan over 48 months moving from a 2% to a 4.5% rate only increases monthly payments by around $40. For most people that's not going to change their purchase decision. Compare a rate increase of the same amount to a $400K mortgage and it does begin to dictate decisions.
Click to expand...
that would buy you one hellava house in ND that's for sure...
 
Eric Smith said:
I'm setting here in St Louis and just drove across MO from KC... I no longer believe the lots are empty. Every car dealer I could see from I70 was packed to the gills, even RV and motorcycles. If a dealership doesn't have inventory they're doing it for a reason.
Click to expand...
yeah but, they were late model used right, and not new inventory...that's what their doing these days...
 
Inventories are starting to come back. Dealerships here in DFW TX are starting to keep a decent amount of inventory on hand. No where near prior to the shortages and in no way what I would call acceptable. But it is getting better.
 
For the last 10 years, I have not found used cars to be a good value. 2-3 year old cars only have a few thousand dollar discount off of new, and vehicles with 100k are going for over half of MSRP. Bite the bullet and buy new.
 
dishdude said:
For the last 10 years, I have not found used cars to be a good value. 2-3 year old cars only have a few thousand dollar discount off of new, and vehicles with 100k are going for over half of MSRP. Bite the bullet and buy new.
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In the last 10 years you haven't seen vehicles with under 100k and listed less than half MSRP? You haven't looked too hard I guess.
 
tbm5690 said:
In the last 10 years you haven't seen vehicles with under 100k and listed less than half MSRP? You haven't looked too hard I guess.
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Nothing I've been interested in buying. Used car prices really spiked after the recession and just haven't recovered.
 
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