Is this a good time to buy a used car?

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May 26, 2007
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West Michigan
Been considering a 2nd vehicle for a while now and found a couple that catch my eye. Dealers have not reduced the price on either since our current social situation. I keep hearing new/used car prices are going to go down, but as of yet, that hasn't really happened. I got no problem waiting a few months if need be. We all want a good deal! What are your thought's? Prices going to drop, hold steady, or maybe even go up?
 
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High prices are an illusion, bargain hard and they'll come down. They'll try to push crazy financing deals first, but there's meat on the bones to be cut.
 
While the dealers have some cost that they can reduce such as cutting back on staff, they have other cost that can not be reduced as much if at all such as utilities, the cost of the property they are using, and taxes. I do not see the dealers as desperate to lower the cost of the vehicles they are selling, as much as I see them as desperate to recoup the cost of acquiring the vehicles and paying for the overhead. When they are desperate for more money to be coming in the door it is hard for them to sell their product at a lower price.
 
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One would expect car prices to go down as employment is reduced; people have less to spend and must make hard choices.
There could be a series of loan repossessions; who knows?

We all want the best price. I try and balance price with the best car I can get; you are generally bucks ahead with a better car.
If you find the car you want, I would try and make it happen.

Having said that, if you are not in a hurry, waiting just may be the best choice.
That's my 2 cents. Good luck.
 
Not yet, 2021 models are just hitting dealers now, I'd give it till mid to late May when they will have 2019,2020 and 2021 models crowding up the lots. Also if you own an empty parking lot near a dealership, it's about to be your lucky day.
 
I've been looking at used GT350's. Every few days the average price seems to climb $2000. Cars that were under $40K are now solidly $45K and they get angry if you offer last weeks price.
 
Originally Posted by JeffKeryk
One would expect car prices to go down as employment is reduced; people have less to spend and must make hard choices.
There could be a series of loan repossessions; who knows?

We all want the best price. I try and balance price with the best car I can get; you are generally bucks ahead with a better car.
If you find the car you want, I would try and make it happen.

Having said that, if you are not in a hurry, waiting just may be the best choice.
That's my 2 cents. Good luck.


My gut feeling too. The current situation is too new to affect some business or they pretend they can hold out for a while. We'll see where the banks , loans and financing goes and where consumer confidence is regarding major purchases. I think time is your friend but it won't be a long wait.
Sometimes the fun in that shopping is waiting for the right price by offering lowball and leaving them your # .
 
Im not sure about your area but the auctions are closed in mine... which means that there is no place to dump their used cars.

If there is a particular car you like, use every trick in the book to get the lowest price.. good chance it will be yours.
 
Remember that the "stay in place" orders are govt imposed rather than an economically driven softening of the economy. My understanding is that the dealers have been given accommodations from the manufacturer with regards to inventory and other expenses. There's no reason for the dealers to dump inventory via fire sale, at least not yet. Besides the auction system is essentially frozen.


Oh and the banks don't want to start repossessing vehicles because of too may unknowns which could cause them to loose a ton of money once the auction system re-opens.

IMO the best time will be when govt restrictions are lifted. This will force businesses to carry the unemployment insurance on their employees or they'll have to re-open their doors. Expect the dealers to start dropping prices after that.
 
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Depends what brand you are buying. I am negotiating on a new Toyota Camry and have been for the past 2 weeks. Very tough to negotiate. I went to the dealer yesterday and they sold 47 new units on Saturday alone beating same month sales the year prior. Going used I would buy private party. We are still early on this economic downturn. With a great 11 year run people and businesses should still be in decent shape right now. That will change as time goes on.
 
I elected to reduce my car payment now, rather than wait & see if I actually need to. Got rid of the Mustang and picked up a 2017 Focus ST, 23,000 miles, $17K. The used car market may be stronger than you think at the moment due to people being proactive about their money situation. For the folks that aren't covid-impacted, this is when they begin to shop for their kids' graduation presents.
 
Two of the cars that I considered sold. I don't need to replace the 2er so I can wait. I‘m tempted to increase my budget by 25% and get something I really want.
 
High advertises prices are fake.

Or at least padded so they can appear to give you "more" for you trade-in that is worth less than bluebook wholesale.

Best plan is don't Trade and use their friendly bank for finance - even if the rate is 2x going.

When I traded my 2014 Nissan rogue at the VW dealer

they gave me $6800.. cash.

It was on the lot for $14,000. one week later.

All they put on it was 4 cheap tires and a wash and spray wax.

Start by offering 1G over wholesale on a commodity vehicle - and bargain from there.

Any "insult" expressed by a Dealer Seller is FAKE also.

This is just a plain vanilla commodity trade done all day long.

Now if you are looking for something in very high demand or quite rare you'll need a different stratagem.

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Originally Posted by Cujet
I've been looking at used GT350's. Every few days the average price seems to climb $2000. Cars that were under $40K are now solidly $45K and they get angry if you offer last weeks price.


Yup, because they know the only people really buying cars right now, are those who want them.
 
I would wait a while. It's too soon to expect bargains. People are holding on to their prices until they realize the market has changed.
 
I have two people in my circle that just got deals that seem to be too good to be true for decent sub $10K used cars. They both seemed to be recent trade-ins as they were not cars that those dealerships would normally sell. They had both been looking for months for the right deal. So maybe there are deals to be had in the second or third-hand market.
 
I recently offered $6k cash for a used car with 100K+ miles and 15 years old with a list price of $7,777. I even talked to them in person on the phone. They were going to call me back...never got a response.
 
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I purchased a used car(2015 Honda Pilot LX 4wd 69k) from a Ford dealer in last few weeks. They asked KBB dealer however I easily dropped it to a bit above KBB private sale price. They also did not look deeply at my trade which is a 2007 Acura MDX(200k) that was not able to pass NH state inspection(severe rust) and gave me $1.5k for it. Dealer did put money into Pilot it with new tires, tie rods, alignment.

Not my dream ride but full fills the need for 8 passenger vehicle/4wd that I wrote a check out for and own outright.
 
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