Was This Finally “Peak Insanity” in Used Vehicle Prices? And all other crystal ball questions

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7336

Believe it or not bmw lease rates were in a similar range on many models about 4-5 years ago.

So if the target is still double digit discount where scarcity isn’t a factor, we are certainly getting closer to that market dynamic again however you’ve got three (four if loaner) things that make it impossible to replicate a 2019 deal on a similarly equipped car today.

  • Base price and options price have gone up by a fair amount.

  • Residuals are down an average of 5% on most models.

  • Incentives are down on most models significantly with the exception of BEV’s

  • In the instance of loaners, the programs aren’t as generous as they used to be and thus there’s less write down and stipend, starting mileage due to minimum time in service can wipe out a big portion of the added savings.

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7337
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7338

“median weeks of income needed to purchase the average new vehicle declined to 42.2 weeks from an upwardly revised 42.6 weeks”

sad…prob due to a combination of people not making enough to afford their cars and/or spending too much on their cars

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7339

Is the pre or post tax income? Imagine working a job you hate 8-10 hours, m-f for a year to buy a Camry . :joy: fooked

7340

Lol that better be a post-tax statistic.

Do you all remember when the rule of thumb for car buying was 20% down with a loan financed over 48 months? And then the monthly car payment + insurance + fuel + maintenance should only be 10% of your monthly gross (pretax) income?

When are we going to see those record defaults and a bunch of repos coming in?

7341

F it, as hydrogen cars will be the answer no matter the car’s cost.

So says @drdvrgs and Gavin.

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7342

Peak insanity…Evs might be the biggest price gouge/scam ever perpetrated on auto consumers. It’s amazing these prices.

I mean I’m sure this is going to be a very nice Kia, but it’s still a Kia. And notice it’s priced just under that 80k tax credit threshold :thinking:

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7343

why you reserve this LOL

7344

Not me just saw it on a forum…these will prob go for 5k over msrp too

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7345

I’d rather take 20K+ off an iX or a Q8 etron than pay a penny over holdback for one of these.

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7346

Funny thing is the Kia will prob be worth more then those in a year or 2 after purchase…know what you mean though.

I’d guess 95% of ev shoppers look at the msrp and have no clue the discounts they can get on German cars right now.

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7347

The worst kept secret about luxury is that it’s often not that much more expensive (and in some rare instances cheaper) than a loaded mainline/domestic.

Some folks even seem to shy away from them despite following a consumer pattern that’s close perfect to convert to leasing.

Perpetual cycle of (Buy, Keep till B2B warranty ends, Trade-in)

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7348

Can
that deal be replicated? PM me the dealer!

7349

I can order one for you if you can pickup or ship from the NE. Pm me

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7350

KIA EV9 is poised to dominate with no competition. The closest competitors are Model X and Rivian R1S. Early reviews indicate that the EV9 is spacious and larger than the Palisade and Telluride.

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7351

As interest rates continue to rise, this will pressure car values. With 48-month new car loan rates at 8.30% and 72-month rates well over 10%, higher interest rates paired with higher credit security will result in fewer approved applications.

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$50K 72-month auto loan at 4%
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$50K 72-month auto loan at 10%
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7352

Plenty of CUs have loans far below the rates you posted for both 48 and 72 month loans.

7353

That’s a daily Starbucks habit worth of difference.

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7354

What’s the best you have seen on 72 months?

7355

It really is so bad how much these plug-in hybrids and EVs cost. A new Jeep GC Summit Reserve 4xe is $83,790 after the Protech package. I’d be embarrassed to tell someone I spent that much on a Grand Cherokee :joy:

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