New car prices

[vito]

Back in June I wanted to buy a specific car, a Mini convertible. I called 11 dealerships, covering a sizeable distance from where I live, and not one had a new convertible on the lot. I finally found a dealer relatively close to us that had an allocation of two more convertibles coming from the Mini factory in the Netherlands, and that they would arrive with whatever colors and accessories the factory determined were appropriate, OR if I bought one my specs could be sent to the factory to get the car exactly as I wanted. I chose to go with that means of getting the car, and was not surprised that I had to pay full MSRP for this car, less a small incentive still in effect from Mini. Never before in my life have I paid full MSRP, always negotiating a discount, or negotiating a better than normal trade in value. In this case the car ordered was the only one that my wife had been desiring for years, and no trade in was involved, so I lived with paying MSRP.

I bring the above experience up because much to my surprise, paying full MSRP may have actually been a pretty good deal. One of my sons lives in southern CA, and he and his wife have been looking at new cars. He told me that routinely they are seeing cars on the showroom floor with anywhere from $3,000 to $15,000 added in dealer mark-up, above the MSRP sticker price. He has tried to negotiate and gotten nowhere. Apparently the supply of new cars, at least in that area, is so low that dealers can get away with this outrageous pricing.

Things have sure changed since my last new car purchase back in 2016 of a Dodge Durango where I was able to negotiate a price 15% below MSRP as well as a decent trade in for a Subaru Impreza that I used for the down payment.

 

[BearBio]

Check out 4Runners!! I've seen $26K "market demand" mark-ups posted! Used 4Runners are going for above MSRP!

We got a 2019 SR5 4Runner in Nautical Blue with less than 18K miles. Paid $42K=no dealing, take it or leave it price!! We were looking 1/2 hour after is was listed and bought it an hour later=2 other couples were "thinking it over".

 

[Jeepnik]

Last year at the start of covid I bought my new truck. Lock down was just put in place and sales had plummeted. The dealer made me a very, very good deal. Then the supply chain started to dry up just about the time folks started to by cars again. The cost of a one year old model of my truck is worth considerably more than I paid new.

But eventually supply will catch up with demand.

 

[Captain America]

...eventually supply will catch up with demand.

We're being told 10-12 months from now.

 

[john14_18]

Not sure about your area of the country but in Alabama, new and used cars are out of sight. Most new car dealerships that normally carry 150-200 cars may have 20 or 30 on their lot. And trucks are even worse. A friend of mine bought a fully loaded Silverado 2 years ago and the dealer called him last month and offered him $5k more than he paid for it. One problem is there are literally thousands of new cars sitting in storage waiting on computer chips that can't get from China.
They need to go back to the old days where there were no computers, 3 speed on the column or 4 in the floor with carbuerators

 

[protoolman]

Spoke to a friend who is a large volume ford dealer. Used cars are 40 percent higher than last year and no rebates on anything. He said they took a lincoln in that was a few years old and sold it for more than new price. He said wait at least 6 months and prices will start falling drastically.

 

[Enigma]

There's a YouTube channel called The Homework Guy, who is a former car salesman who advises consumers on how to avoid getting raped by car salesmen and dealerships. His take is if you bought a car during 2021, you got hosed on the price. He admitted that basically none of the tactics he recommends will work in today's market due to lack of product availability. It's still very good information; just not necessarily relevant in today's market.

 

[nvbirdman]

I ordered a car in July and the saleslady told me maybe by the end of the year, but the good news is that I get to choose the color, the interior, and what accessories I want.

 

[mike7mm08]

I have a 2012 F150 I bought used. Probably going to sell. I have driven it for three years. Will be no problem to get about three to five grand more than I paid for it. Going to buy something cheap and wait for the bubble to pop.

Sister inlaw is leasing a Toyota Tacoma. Had it about six months. Dealer wants it back bad so they can sell it. Offered to let her out of the lease and give her 5 grand.

 

[6GUNSONLY]

I could currently sell my 2004 F-250 Powerstroke for more than I paid for it 3 1/2 years ago.

 

[Mobuck]

Honestly, I have no desire to buy a 'new' vehicle. In fact not much interest in buying anything less than about 10 years old. All the gadgetry just doesn't hold up and begins to fail within 3-5 years.
If my job hadn't been on hold for 2 years, I'd be looking for my next 10-12 year old pickup beginning now through the new year model roll out. With the 2 year hiatus, my replacement won't be required until at least next year so there may be a ton of choices sitting around.

 

[338reddog]

Dealer offered me $32500. For our 2017 Ford Expedition. We only have 26,000 miles and extended warranties and service packages. Said he give us more if we traded it in. On what hardly a new car on a lot. Thought about shopping it around if I can get $36 I might do it

 

[SamV]

All this has me thinking a bit. I have a vehicle that I have been thinking about selling. I really am not quite sure that I can get by with one less car right now, but perhaps I could be persuaded to sell it and wait for the supply to catch up to buy another car. Maybe I should check some dealers for an offer. Would Kelly Blue Book have accurate pricing?

 

[RSIno1]

Ford is for the most part still out of chips for their electronics. All their storage lots are full and they have started sending cars/trucks to dealers that don't run and they'll send the control units when they get them. I saw an item today that used car prices are up 41% nationwide. A friend works at a Ford dealer in NV and they sold a 3 year old F250 diesel for $4,000 over what it cost new. They have gone as far as FL to find stuff to put on the lot. The owner even pulled a couple of Mustangs out of his personal collection to sell and so the showroom wasn't empty. They made a deal with the buyer of their last Mustang Mach-E to sell at MSRP if they could keep it as a demo for 6 months.

 

[Kevin]

I bought my truck in January 2020, and haven’t paid much attention to new cars in a while. Until this thread. Holy Cow! I drove by the Dodge dealer where I bought my truck, their lot must only have 25% inventory in stock, if that. They’ve spaced what few cars and trucks they have out to make it look full. I didn’t see one Jeep Wrangler.