New Car Prices

[TimW451]

An interesting read on how the market/supply has shifted to very expensive vehicles and economical priced new vehicles almost don’t exist. One thing that surprised me was the anecdote that car dealers are not happy about it either.

New cars, once part of the American Dream, now out of reach for many — The Washington Post

The average price of a new car in the U.S. soared to $48,008 in March, up 30 percent from March 2020, according to Kelley Blue Book.

apple.news

 

[fatboyroy]

Watch til the government push for electric cars where used cars is like time bomb (battery could die anytime), majority of the the people would suffer. They will have no options buy high price new or risk buying used that battery could go soon. Back to topic, I wanted to buy a Jeep High Tide few weeks ago but with interest rate and markup they want to put on top of it is insane - I like the car but not that much lol.

 

[BigN8]

Yeah new cars cost more, but I also think we as a society have gotten spoiled by an economy where everyone felt like they could buy anything they wanted. I think it might be good for that to come to an end. I couldn't afford a new car when my wife and I were first starting out, so several of our first cars were used. And this was back in the day where you had to sift through the used car ads in the newspaper and actually call the guy and ask questions, meet and kick the tires. Young folks today are spoiled. Honestly they don't deserve a new car in most cases. The article was interesting, but I'm not feeling any empathy.

 

[adrianp89]

Watch til the government push for electric cars where used cars is like time bomb (battery could die anytime), majority of the the people would suffer. They will have no options buy high price new or risk buying used that battery could go soon. Back to topic, I wanted to buy a Jeep High Tide few weeks ago but with interest rate and markup they want to put on top of it is insane - I like the car but not that much lol.

That push is driving costs up. R&D from EVs is being pushed to ICE cars.

 

[fatboyroy]

That push is driving costs up. R&D from EVs is being pushed to ICE cars.

sad but true

 

[BlkGS]

There are a lot of people like me sitting on the sidelines waiting for new car prices to come back to reality. I'm not paying MSRP. I'm not paying just under MSRP. 10% under MSRP with interest rates like this isn't going to get my attention.

The economy is getting worse. The automakers are mostly trying to cut production to keep prices up. It's gonna fail. I want to buy a new truck, a high spec one, but I'm not going to pay crazy high prices on top of high interest rates. I know that the fed has set the prime rate high, but I don't care. I'm not going to pay more than I should for it. I don't need to buy a new truck as badly as they need to sell me one.

Call me when you're back to 20% off MSRP with 0% for 72 months. I don't care if you need to make more money to offset EV losses. Spin that business off and wrote those losses off.

 

[adrianp89]

There are a lot of people like me sitting on the sidelines waiting for new car prices to come back to reality. I'm not paying MSRP. I'm not paying just under MSRP. 10% under MSRP with interest rates like this isn't going to get my attention.

The economy is getting worse. The automakers are mostly trying to cut production to keep prices up. It's gonna fail. I want to buy a new truck, a high spec one, but I'm not going to pay crazy high prices on top of high interest rates. I know that the fed has set the prime rate high, but I don't care. I'm not going to pay more than I should for it. I don't need to buy a new truck as badly as they need to sell me one.

Call me when you're back to 20% off MSRP with 0% for 72 months. I don't care if you need to make more money to offset EV losses. Spin that business off and wrote those losses off.

20% off and 0% for 72months - you may be waiting a very long time. We were very very spoiled for a while there. But if everyone holds out it will force them to start discounting again.

 

[@JC!]

Back to topic, I wanted to buy a Jeep High Tide few weeks ago but with interest rate and markup they want to put on top of it is insane - I like the car but not that much lol.

Just order one, there's a number of reliable dealers who are offering 6-7% off invoice on ordered Jeeps. Granger (IA), Koons (VA), Mark Dodge (LA), etc. And there are a number of national credit unions posted in threads on the Jeep and Ram sites that I frequent that offer sub-5% loans, USSFCU, PenFed, etc.

 

[kgower]

The purchase of trucks is slowing, and dealers are sitting on inventory. They don't want their allotments to be reduced, but they also don't want to lower the price of their $80 - $110K trucks. They can't have it both ways forever. I would wait 6 months to a year minimum, and then see where things shake out.

 

[BlkGS]

20% off and 0% for 72months - you may be waiting a very long time. We were very very spoiled for a while there. But if everyone holds out it will force them to start discounting again.

Possibly, but as the others said, trucks are piling up. Eventually they'll want to sell them. I might be convinced without one or the other at those exact levels, but my point is I and many others are just gonna wait them out.

 

[BlkGS]

The purchase of trucks is slowing, and dealers are sitting on inventory. They don't want their allotments to be reduced, but they also don't want to lower the price of their $80 - $110K trucks. They can't have it both ways forever. I would wait 6 months to a year minimum, and then see where things shake out.

Some dealers are already discounting, the automakers are being greedy and not providing incentives, they're trying to cut production instead. It won't work, and they'll eventually have to cave and offer incentives to keep the line running.

If not, well, I've been wrong before, and I'll just buy used, lol.

 

[YoDaddy292]

What really sucks is that this drives the used market up as well. My old strategy of buying low mileage used vehicles is getting blown out of the water. I can buy a new 3/4t 4x4 for less than a low mileage used one! I'll just have to hang on to the 2011 until this all softens up or I can't trust it to get me 20 miles down the road (which is kind of the plan anyway), but still, there aren't a lot of good options unless you want to pay house mortgage levels for a new truck. To date we've never spent more than $25k on any vehicle (besides the boat) and it looks like those days are over forever.

 

[adrianp89]

Some dealers are already discounting, the automakers are being greedy and not providing incentives, they're trying to cut production instead. It won't work, and they'll eventually have to cave and offer incentives to keep the line running.

If not, well, I've been wrong before, and I'll just buy used, lol.

I saw Ram was doing 10% and 3.99 for 72 months - so it is moving in the right direction at the manufacturer level.

 

[BlkGS]

Yeah that's the weird dynamic. Slightly.used cars and trucks in many cases cost more than the same ones new. Stuff that's 15 years old or so is starting to drop back down, but a lot is still expensive.

 

[zpaul]

We are getting there

 

[BlkGS]

I saw Ram was doing 10% and 3.99 for 72 months - so it is moving in the right direction at the manufacturer level.

Part of me wants to order a loaded up ecodiesel blackout Laramie before you can't get them anymore.10% isn't quite enough to make that work for me.

 

[fireflymedic]

Toyota is playing games. There world wide production is at normal levels but they are not sending any to North America. I think I would like to buy a hybrid camery or corolla but not if I can't test drive it. Most Toyotas are sold before they hit the lot so no test drives. So I'm waiting in the wings hoping my 2015 Buick can out last these games car dealers are playing.

 

[JC6275]

Part of me wants to order a loaded up ecodiesel blackout Laramie before you can't get them anymore.10% isn't quite enough to make that work for me.

You will be waiting a long time for an eco diesel Ram, they are all on National Stop sale.

 

[AZMark]

Yeah that's the weird dynamic. Slightly.used cars and trucks in many cases cost more than the same ones new. Stuff that's 15 years old or so is starting to drop back down, but a lot is still expensive.

Sales tax right? That adds 8-10% here depending on what city.

 

[BlkGS]

Toyota is playing games. There world wide production is at normal levels but they are not sending any to North America. I think I would like to buy a hybrid camery or corolla but not if I can't test drive it. Most Toyotas are sold before they hit the lot so no test drives. So I'm waiting in the wings hoping my 2015 Buick can out last these games car dealers are playing.

There's starting to be a good number of tundras on the ground and deals happening on them. They're also priced well under what the domestic trucks are. Maybe they're playing games with cars and loss leaders like that, but they're doing the right things for trucks.