What price point did you lock it in at ? And what state ?
November pricing 52,440 + tax (6.6% in GA). Hoping cost to own minimal for the next 12 to 18 mo’s
1 Like
Does GA have any state rebates?
That’s the goal, there’s a reason why it’s also called “Demand Destruction”
That profit could almost lease him a free car for 3 years…
im going to book mark this comment. I set a reminder for January 1st 2028 in my calendar for you lol
2 Likes
outside of the fact that your post ultimately became politically-motivated in the last sentence, everything about it is blatantly wrong. supply will (and already is) normalizing due to falling sales, which are going to continue to fall as interest rates rise. while that doesn’t really bode well for our business, it ultimately will steady dealer inventory (several dealers i work with are actually building inventory, as their new cars sales have dropped and cars continue to trickle in).
regarding chips, wire harnesses, metal, etc, you’re simply parroting things you hear dealers say. chips ARE being produced and their supply is starting to normalize after record demand in 2021, wire harnesses ARE being produced (still in ukraine, actually, though replacement vendors have been sourced), and china IS producing magnesium. it’s popular for dealers to blame perceived shortages of input materials to justify their pricing, that’s it.
who is in power has absolutely no impact on the price of cars or inflation. if you’re going to blame the stimulus from last january, remember that DJT was the first to propose it (not b/c he cared about people, but b/c he thought it would get him reelected). that contributed to inflation some, but the real driver of inflation was the broken supply chain, further exacerbated by delta-related shutdowns in China / SE Asia, which threw shipping out of whack. if you’re going to blame prolonged low rates, I can maybe agree with you, but also remember that it’s increasingly difficult for the fed to raise rates due to the amount of debt the US carries and the incremental costs of servicing it with higher interest rates.
i’m not saying that things are going to normalize overnight, but there will be a slowdown over the next year+, and that will normalize several industries, including the car industry. it’s not going to be pretty and it’s very likely going to hurt. a lot of people are going to struggle. it’s possible that our business is going to go away - i’m sure you’ve already seen the dozen or so brokers on this platform who have gone out of business over the past few months. however, things will ultimately normalize.
26 Likes
I actually think all this craziness makes good brokers more valuable… it’s like when we had that real estate slump in 2006+, all the fly-by-night agents and mortgage brokers disappeared but the quality ones are still around today.
Key statement is cost to service our national debt.
That could be done internally through bonds and completely eliminating the fed. Let the free market determine rates that way. We shouldn’t be paying a private institution any interest at all when the constitution gives the govt the power to mint currency.
1 Like
agree with you completely. our service, when done right, does provide a massive value-add. that said, i do prefer the past when numbers practically sold themselves and you could slam dozens of cars a month without even trying.
4 Likes
3 Likes
Markets will normalize but to what degree, especially with incentives being a huge question mark. Differing viewpoints on this from different institutions; some see it as an avenue to limit excess ground inventory and instead focus on reinvesting on improving the customer purchasing experience, while others view it as when can we bring back business as usual. Depends on the region and the demographic the mfgs caters to. I’d wager incentives are coming back for the low end, while higher end vehicles move towards a more tasteful experience.
Or who knows MSRP+ADM-incentives that equate to ADM=Blessings granted.
2 Likes
If cars, in the future, somehow hold their value (or even appreciate!), then buying and holding is going to be vastly superior to virtually any lease…especially with lease companies not allowing third party sales.
And, IHMO, it will be much better for our wallets as a leasing expense (which in the not so recent past was 100% loss effectively) will be eliminated for our household expenses!
Of course, it won’t be as much fun to drive a car for 5-10 years. And this forum is going to get very lonely!
Anecdote: 10% haircut on a 2018 Lexus IS 350 since January. Carmax Socal. Could be a reflection of people shunning gas guzzlers, though
Or banks pulling back on loaning way over book.
8 Likes
A post was merged into an existing topic: Off Topic Landfill 5
Running into that issue with us bank and ally leases now on vehicles being sold over msrp…
Also on states like nj and ny that tax upfront. They don’t want us going over 105% of msrp with the tax included. So I can’t do sign and drive leases anymore with certain states
2 Likes
I’m sure it has nothing to do with the shaming ritual we’re imposing on ourselves regarding energy dependence and cost. 
3 Likes
if only this were true.