Subprime Auto Bubble Bursts As "Buyers Are Suddenly Missing From Showrooms"
It was less than a month ago when we showed a series of "10 charts revealing an auto bubble on the brink", and which laid out several very troubling trends, including i) the average new vehicle loan hit a record high $31,099; ii) the average loan for a used auto climbed to a record high $19,589...
I unsuccessfully tried to make a deal here at Pohanka Honda and ultimately ended up driving out of town to make my purchase. Their mantra was, "they were selling me a payment" and I said "no you are selling me a car".
What's important to me is what I pay for the car because I don't need to take a bath on it when I go to trade it off in a couple of years.
When I went to Pohanka Toyota they wouldn't even give me a legitimate price for the car until I affirmed I was buying it because they didn't want me going to Koons. I said how can I possibly know I am buying it if I don't know what it will cost me.
It's a sleazy business and they brought this on themselves.
The gluttony of used cars (lease turn ins) is starting to spike....went on the other side of the bridge and found a 2015 4dr Honda Accord EXL 17000 miles and paid less than $20K.
Looked at the base model 2018 Honda Accord (no frills) with MSRP at $24K, they wanted $28000. Honda did a body change in 2018 but the biggest difference, the accords come with only 4 cylinders now.
It was easy buying the loaded 2015 with low miles and 6 cylinder engine.
Just have to find your car, if they don't have it - leave and go elsewhere! Dealers bank on folks who cannot leave!
You can do better. I purchased a 2013 Prius for $10k in Salisbury. All depends what you are willing to accept.
ReplyDeleteI unsuccessfully tried to make a deal here at Pohanka Honda and ultimately ended up driving out of town to make my purchase. Their mantra was, "they were selling me a payment" and I said "no you are selling me a car".
ReplyDeleteWhat's important to me is what I pay for the car because I don't need to take a bath on it when I go to trade it off in a couple of years.
When I went to Pohanka Toyota they wouldn't even give me a legitimate price for the car until I affirmed I was buying it because they didn't want me going to Koons. I said how can I possibly know I am buying it if I don't know what it will cost me.
It's a sleazy business and they brought this on themselves.
The gluttony of used cars (lease turn ins) is starting to spike....went on the other side of the bridge and found a 2015 4dr Honda Accord EXL 17000 miles and paid less than $20K.
ReplyDeleteLooked at the base model 2018 Honda Accord (no frills) with MSRP at $24K, they wanted $28000. Honda did a body change in 2018 but the biggest difference, the accords come with only 4 cylinders now.
It was easy buying the loaded 2015 with low miles and 6 cylinder engine.
Just have to find your car, if they don't have it - leave and go elsewhere! Dealers bank on folks who cannot leave!
The article is more about the general trend of the Auto Business.
ReplyDeleteNot someone's actual experience with a specific dealer.
The trend in America is this: Higher and higher list prices caused by "easy money" financing.
It is the BANKERS who are ruining the auto business. And the housing business. And the economy in general.
Get it?
Everyone is Not Stupid anymore & have learned how these
ReplyDeleteDealers RIP you off & Rape you on Vehicle "DEALS"
The Only Deals are for THEM , the Dealer ,just like in a
Casino , where the House Always WINS !!! Not YOU