While gas is this cheap?
Maybe after all the used Escalades and Suburbans sell-out and gas creeps up $1/gal.
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Buying habits now and in the past dictate people will continue to overbuy 60k+ pick up trucks and SUVs, especially now with almost 0% financing on 84 month loans and so much government support.
I expect this to be a near death blow to small cars in the US market. Theyāll still carry on, but the truck craze will get worse.
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I agree that people arenāt going back to econoboxes voluntarily. But come July or whenever the government turns off the spigot, we are going to enter a new phase of the coronavirus economy. With likely persistently high unemployment and service sector workers seeing a big reduction in income whether they are back at work or just on standard state unemployment.
Long-term, our cornovirus response may lead the national debt to reach a level we can no longer ignore, similar to the situation after World War 2. This will require painful tax increases and/or service cuts.
All to say, I wouldnāt want to be betting the company on selling 900k full size pickups with an average price of about 50k.
I enjoy following the value of my car via Black Book - I drive a two year old Camry with about 20k miles. The car dropped from about $18k to $17k in the last two weeks. It is interesting to think about the carnage that could be still coming to the used/new markets. Makes me want to try to sell the Camry to an individual now (if there was a buyer near $18k) and jump on a new deal - lease incentives on the Toyota and Hondaās I would like to lease are somewhat lacking though.
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Sold my 6 month old bolt to vroom just before pandemic for 22.5k and it is now listed by infiniti dealer for 24.5k. Yeah good luck with that lol
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The biggest loser deal Iāve ever had on a used car when I was a salesperson was an aged bolt. If I recall correctly it was a $7,000 net loss. Priced #1 in market and no leads. Eventually went to a phone pop in SF.
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Certain brands are offering large discounts on end of lease buy outs, below the supposed depreciated value and well below Kelly blue book.
Does that mean the ānew valueā is the discounted rate, and will push the overall market for that model down? Or- is it a temporary discount to get units out of their hands/liability/books for the immediate future, only for the used prices to re stabilize in the future when things normalize and discounts are re no longer available?
More tactics. Lol.
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This has been going on for at least 4 weeks - yahoo can name a whole TEN people affected!!!
Itās more likely thousands who donāt realize they are on the hook for tags (which you can do electronically, so you must renew), insurance and potential damage liability, not to mention may be out of warranty and/or the free service intervals.
Many many people think they are getting a āfree lease for a month and get out of jail free expired tags from the DMV for 6+ weeksā
Thatās a hard nopeā¦
Canāt wait to see the headlines in a few weeks when the DMV opens, people get late payment fines, and their car throws a transmission faultā¦
āPeople DUPED into HIDDEN charges for extending their lease ONE MONTHā
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Outside of California I donāt see too many people sweating over tags or reg. Either the lease came with multi year reg, itās cheap to extend, or the state extended it for free
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Yup. Just because the lease got extended by a month, the transmission is going to blow up.
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Um no, thats clearly not what Iām saying, but If I need to explain out of warranty liability with crayons then let me knowā¦k?
Which states are providing free tag extensions??
Is it a Nissan or FCA product?
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How does this compare to the MMR data? @ethanrs is very strong on MMR.
MMR is a rearward looking average. The other chart is more biased toward real time results. https://press.manheim.com/2020-04-02-How-to-Make-Sense-of-Manheim-Market-Report-MMR-in-a-Volatile-Market
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Thanks.
I found this very important distinction in the use of MMR.
"How Does MMR Perform in Typical Markets?
MMR is intentionally designed to be highly stable and avoid over-reacting to short-term market ups and downs. During typical market inflections, such as the seasonal spring bounce, MMR reacts smoothly and takes a couple of weeks to fully normalize to new market conditions."
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Good point!!
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