I'm looking for a specific car. The dealer wanted am amount and said that they were underwater on it as they paid more than it was selling for and that they were bringing it to auction if they didn't sell it. I offered 2k under and said I'd come in the next day to pick it up. They said they wouldn't budge . Seriously, rather bring it to auction!
I will be keeping my like new 2014 F150, with only 70K miles. I own it free and clear and have for the past 5 years. $70K to $100K for a new truck is insane.
@@XFT8 Toyota Tacoma is a mid-size truck. The F150 is a full size truck. Toyota is struggling as a manufacture also. The truck may be fine, I have never owned a Toyota.
Repossession is a wake up call to stop buying out of your means. Don't get me wrong, its not just the consumers. The banks/lenders are also at fault for lending over the value which has contributed to the problem.
Yep, these banks need to lay the law down & refuse to let these dealers overcharge for these vehicles by denying loan for these B.S. market adjustment markups which is code word for how dealers can screw the customers over. They allowed this predatory behavior so what did they expect would happen. After enough denials and customers walking away these corrupt dealers with shape up somewhat.
@@JP-nq1er market adjustments aren’t “BS”. Dealers have to pay employees and have to sell based on demand. If you don’t need to buy when demand is high and supply is low… THEN DONT! It’s not the dealerships fault. Covid and raw materials being hard to get ahold of and cars barely being made isn’t dealerships faults. Just like in ‘08 and ‘20 when supply was high and demand was low, we sold for much cheaper because we had too. Now we must sell higher because we do not have the inventory to sell to make amends. Pretty simple.
@@tominator028 I stand by what I said. It’s obvious you have a vested interest in a dealership or work for one by that pointless argument you made. Dealers are predatory, lie, cheat & hoodwink people out of their cold hard cash. Charging people tens of thousands over what a car is truly worth (just because they can) with their MADE UP B.S. MARKET ADJUSTMENT FEES IS RIDICULOUS!!!! Forcing someone who may be in desperate need of a car to pay significantly over what it’s worth & now that person is stuck with extremely high payments & may possibly default on their loan because they can’t afford the payments because some shady dealership decided to screw them over by making them pay way more than what the car is worth all because of greed or they are so upside down on that loan they are forced to keep that vehicle far longer than they would have. There is nothing wrong with making a profit but be reasonable & build customer loyalty where they keep coming back for service & to purchase future vehicles. Not screw them over, leave a terrible impression & they never want to do business with the dealer again. There are a couple of dealers out who don’t play these games so it’s possible so defending their unethical practices is worrisome & shows you are not on the consumers side.
@@JP-nq1er No one is telling you to sign that deal. If you aren’t going to do your due diligence on how much a vehicle is worth then that is not a dealers fault. No one is forcing you to sign anything lol. I know when I have a smart customer they give me a hard time and I usually only make a lot less $ on a deal with them. I’m fine with that, at least they knew how much they can realistically pay and sign the deal. People who come in and don’t even try to negotiate, while making my job a lot easier and my life easier when I make a bunch of $ off of them, isn’t my or the dealerships fault. If they couldn’t afford what they signed for, they should have done more research and found something in there price range. I always ask my customers if the numbers sound okay to them, if they say yes, how is it my fault they really couldn’t afford it? I just be there financial advisor and there salesman at the same time lmao. If they want to buy a car, I’m gonna do everything in my power to get them one. It’s kinda like ya know, my job? If you have problem with dealers marking up, don’t buy from them. Our dealership does mark-up however it’s calculated based on how limited the vehicle is and how expensive it is. There’s some vehicles we don’t even mark up at all. Ford Mavericks we only usually get every 4-5 months and only get 5 or 6 at a time. Only ones that make it to the lot are ones people backed out of there pre-order. We mark-up these like $8,000-10,000 because they are so limited and people that really want them will pay extra. Many people would rather pay that than wait 8-12 months on a factory order from Ford. If those people aren’t bitching about it, why are you? Don’t buy a vehicle if you don’t need one especially a marked up one, but people besides you will.
@@tominator028 I’m over this. You proved my point. No ethical person would defend your slimy tactics. I wonder how toxic the work environment must be for you to defend your unethical behavior. I would never buy from you. Making excuses for your shady ass business practices is why your industry is despised by so many. Tons of people bitch about how corrupt you people are. You think I’m the only one who is on to the crap dealers pull. That’s why the FTC is proposing the Motor Vehicle Dealers Trade Regulation Rule, which seeks to "protect consumers and honest dealers by making the car-buying process more clear and competitive” with thousands of comments from people because of your shady ass tactics. I was literally talking to my friend who’s well versed when it comes to buying a car & first words out of her mouth was how horrible dealerships are and how she was treated so poorly because she was a woman. Every single friend or family I’ve ever talked about buying a car usually starts with how terrible experiences and how corrupt your industry is and you people are. So don’t try to come at me defending your unethical shady ass practices. You are literally changing no one’s opinion just further proving my point. I won’t continue engaging in this stupidity. Disgraceful.
Guys thank you so much. Current car of 13 years suddenly started to become questionable. This is way out my realm and I hope not to get yanked around. Not interested in switching cars every 3-4 years.
Last month I traded in my 2018 Silverado and was allowed $5800 more for it than I gave for it in 2019. The 2022 High Country that I purchased had 1K miles on it and was priced $800 under MSRP. I was happy with the deal.
My brother went to Toyota and Honda to see the Rav 4 and Crv. Both dealers had market adjustments on top of their msrp about 2-4k over MSRP. Then he went to Subaru to inquire about the Forester. Forester is being sold for MSRP. Subaru not adding market adjustments but won't budge to lower the selling price. We are from Northern NJ.
they're really not. dealerships may be packed with cars that are unpopular for one reason or another but if you're looking for something specific you better expect to wait.
I hit up a dealership like2 months ago and I saw a bunch of cars. The salesman surprisingly was honest out the gate and pointed out that most of the cars were already sold or in transit.
@@MultiNutterbutter dealers charging msrp basically pre sell all their allocations. I’m waiting on my local dealer that charges msrp to get an allocation with the packages I want.
@@psilocybemusashi good point but even the cars they have on the lot multiples of them they all have markups. Maybe they think because consumers are now used for all cars to be marked up they might as well mark up everything.
Getting none? This is the biden administration and it is election cycle and democrats are projected to lose most of their seats. Mmm I wonder what democrats usually do to "fix" issues and try to get votes even though experts tells them not to do it because it does more harm down the road?
Even if repo rates remain consistent with historical rates, losses will be larger because the amount financed is so much higher than the value that will be received upon resale.
Value is the value. The profit made is from finance, interest yada yada yada. So the dealer/bank is ultimately losing profit not base price, unless they default before and up to that point. Which I take it is what’s happening causing EVERYONE to lose initially if the car doesn’t re sell.
Nothing changing in south fla. Every dealer charging way over msrp this weekend when i went looking. Used were also still very high. Thankfully my 2015 mazda 6 now with 182k miles is still rollin along.
It’s never enough for the consumer… dealers are for profitable business. It’s no secret. People always have something to complain about. It’s just reality that most of the world’s population complains instead of increasing their income to offset their debt to income ratio. Just saying if people had a different mindset repos could be avoided. There’s multiple ways to multiply income. Self educate…
@@petelee2477 no not just investing. I do sell cars and I’m also getting into becoming a broker for insurance products. The goal for is multiple streams of income. Not just one. Investing in myself is what I do. I’m not just doing one thing. My point is that people are lazy and don’t want to do what’s necessary to have a better life
Same in DC, like still 30% higher than they should be. What’s funny is if I inquire about a car through car gurus, the dealers almost get back to you instantaneously, yet they won’t move on prices at all. Soon they’ll be begging us to buy cars and they’ll realize they’ll have to swallow their pride and finally negotiate.
Missed the live stream again tonight due to another commitment, but able to enjoy the replay. As usual, a great show! Great job on both the YAA and Ray and Zach Streams in transferring great info. with passion; and also providing nice entertainment. Huge fan of you guys. Have a great weekend!! Shannon - Austin, Texas
Let the greedy ones crumble, and the honest ones prosper. Be fearful when others are greedy, be greedy when others are fearful. I’m seeing $4000 - $7000 price drops everywhere right now on MSRP prices at dealers in the Bay Area. The bubble has already popped in the car market, you can see it with the smart dealers removing their mark ups completely right now.
you should look at the average income of the people actually buying new cars. poor people never buy new cars. if you're buying a new car you are either rich or stupid but maybe a little bit of both.
Just priced a new 2022 Dodge Ram 1500 Limited. The Dodge dealer here locally, advertised a 2018 Dodge Ram 1500 Limited with 1500 miles. The price on this used truck was only $400 less than the new truck! Some deal!
Until it drops 5K under msrp at least then I might consider buying again until then ✌️ I drove by few dealerships today and their used inventory is loaded it’s insane they never had that many vehicles on lot this includes Ford , Chevy, GMC dealership ..
Wow, where are you? Many dealerships near me basically only have lightly used cars on their lots, mostly 2-3 years old and have them listed basically at original MSRP or a little under, depending on the make and model. Just this morning I saw a listing for a 3 year old Silverado 1500 with 45k miles for only a couple thousand below what the same trim's MSRP is new. And one of the Ford dealerships near me has such an empty lot, they now have on their lot (front and center near the busy main road) a few large travel trailers and a 5th wheel, a pair of Sea-Doo's, and a couple motorcycles. I knock on wood every day that my old SUV with 137k miles keeps running strong until the buyer's market is stronger and I can afford something reasonable.
Many vehicles do not have 5K in markups. You will be waiting a long time unless you buy a gas hog or a vehicle no one wants. Big rebates are not coming back.
@@rotart12arx3 honestly I'm fine waiting. If if comes down do it I'll drive my vehicle until the engine blows if ot means I won't get ripped off at a dealership.
Or the lenders are using CECL increases to reduce their three year net income (CECL reserves remove income from taxable income) in advance of the new 15% AMT corporations will be facing starting next year. Unrealized CECL functions effectively as a stock buyback without incurring the new nondeductible 1% excise tax on share buy backs as well. The new 15% AMT and excise tax on stock buybacks will skew transparency along with corporate investment decisions.
Interesting theory. This would just defer the income though, not permanently write it off if actual credit loses turn out better than what they reserved for.
@@XFT8 As long as it is allocated, it's exempt. There's no restriction on estimated losses. Most tax laws yield the inefficient use of capital like this. Amazon would have never been able to build itself out to what it is today, as they rolled most of their profits back into the business. With a 15% minimum and a 20% maximum, there is little incentive for forward looking investment.
@@wisenber I'm not seeing your Amazon analogy. They're not a lender, different rules. If a lender alots reserves for losses and the losses never materialize (the loans fully pay off), then then the "unexpected" income has to be recognized.
@@XFT8 I was referring to the 15% AMT beginning next year. Amazon avoided taxes for decades by investing profits back into the company. A corporate Alternative Minimum Tax makes investing back into the company ...or investing in reducing carbon emissions...or developing new types of batteries or a new drug less attractive as those expenses will no longer be deductible. That's also why a lending company would make the otherwise irrational decision to increase their CECL reserves. And CECL reserves can be rotating. New loans replace prior ones to reduce tax liability. Of course rates would also need to increase if lenders cannot pay less than 15% of their three year averages. AMTs have never been a good idea.
I had a deal last Friday on a dealer 90 miles away from home. They were giving 29K for my tarde in. Couldn’t go until today to del the deal. They wouldn’t offer more than $25K for it, said used car values just dropped, wouldn’t budge even as I left the dealer.
I live down the road from Rick Case Honda. One of the largest volume Honda dealers in the country. They’re doing everything they can to keep inventory low. It’s the last resort they have to keep prices high.
I know everybody likes to slam the dealerships for price gouging, and rightfully so, but there are good dealers out there too. I think the buyers are largely to blame for how the market's been recently. I ordered a truck this year and managed to get it for 2% under invoice - all in $12,300 below MSRP. Educate yourself, shop around, and make a dealership earn your business. . . . . . . If I started a business selling $1 bills for $100, and had a line out the door - who's the idiot?
@@Orderflow-sama Granger Ford in Iowa (they have Ram etc. also). Great people, simple process, no complaints - highly recommended. I did online research in my free time (1+ weeks), called over 100 dealerships across the country, and finally settled on them. Please do your own research, but that's what worked for me. Good luck, happy hunting!
The US needs to pass a simple law that Banks cannot originate loans for greater than MSRP. This would help to protect both the financial system (Banks) and the consumer and force prices down since customers would have to come up with cash for any values above MSRP.
Because automobile bank loans are so prone to being defaulted but are suspiciously packaged with mortgage loans then resold almost immediately from the originator of the loan, it follows that banks shouldn't be making ANY automobile loans to private individuals. It's too risky and increases the cost of automobile ownership for the rest of us (loaned and leased cars that get defaulted on don't get oil changes).
Already hundreds of financial restriction laws on the books but sure, we need more. Why don't we just let the government be your mommy, daddy & nanny and then they can completely own you. Or maybe, just maybe people, banks, car dealers can have a thing called freedom. People can exercise a thing called personal responsibility and the government can stay the F out of every aspect of our lives. It's something to wish for.
@@stevemccooleq It's not personal responsibility when banks regularly get bailed out every 10 to 15 years by the US government when they've purposefully made risky bets. All those financial restriction laws are to stop YOU (the private individual) from qualifying for compensation when making bad bets.
Went to one of the larger Asian brand dealerships in my region today and the place was like a Walmart in a poor area - full of people/families who appeared painfully lower class and certainly couldn't afford the cars they were signing up for. It is clear to me that the bubble is still inflating, as people are still spending recklessly, oblivious to the bad times ahead. When the recessionary pain fully kicks in, expect a repocalypse like we have not seen before.
I just watched a you tube video about the current condition of the RV market. It’s probably worse than 2008 and headed south. This is going to get ugly for anything RV related. They raised the prices probably the equivalent of what the auto industry has done, high fuel cost and those prices are crashing their world around them.
Gainesville FL suburb Jonesville: Mi Apa Cuban restaurant. Friendly and NEVER bad food or service. Take I-75 Exit 387 and go west about 5 miles. On your left before light
This is the back last they need to have for trying to rip people off. But to the same token people need to learn to stop giving up their money so easily and just walk out!
Hello Guys. I would like to share our experience buying a new car at Courtesy Hyunday in Tampa 8/21/22. They are selling at MSRP and we negotiated the dealer fees ($799), plus a $1000 trade-in (worth $100, transportation Veh.) So, we got the Venue SEL out the door for 24,000. I think we got a good deal, even though is not the best time to buy, we couldn't wait, as his car was a ticking bomb with repairs as high as $9000. Any other Hyunday dealers had mandatory mark ups from 2000 to 4000. We also looked at StadiumToyota and they had 5,000 to 10,000 above MSRP on new, and many other that laughed at us when we asked if they would sale at MSRP with no markups. So, Thanks for all the advices and awesome videos, we think we got a good deal.
You are so addicting I love your show I learn so much- I went looking at a Lincoln yesterday just to ride in one and he was surprised I was so informed and impressed I did my homework. It felt great - I. Going to join soon as I really want to purchase a smooth soft comfortable riding suv not like my Mercedes’ glc 300
I feel bad for these morons who are actually buying or “pre-ordering” new vehicles now. Used and CPO vehicles will come back to earth far sooner than new cars due to this supply chain crap for chips. Plus, who’s going to buy a vehicle that’s been sitting on the lot for two plus years with all fluids in them, knowing that it’s basically ruining the car from sitting so long.
It’s much more useful when you use percentage vs. dollar amount increase/decrease. It’ll lends some perspective to the discussion. That’s one of the biggest annoyances of the financial networks: they insist on emphasizing the number of ‘points’ the markets are down. When tie DJIA is at 37,000, a 100 point swing is irrelevant. Great video guys; no one else out there is talking about the auto market like you are. Why is that?
I just fell onto your video and I loved it. Real people talking no BS facts and and analysis of what the F**K is going on, financially, in this country. I have subscribed and hope you continue. I have subscribed.
I see you guys keep saying that for 3 weeks or more now, but I don’t see any price drop on Autotrader or any other website. Are these eye catching phrases to increase the viewership?
@@meissnerflux Yeah, mine went up from $120 to $380 a month and that's with a perfect driving history, no tickets or at-fault accidents. Insurance companies are a scam.
@@meissnerflux This is just for one car. I was informed, by an insurance agent, that they raised the rates because of two reasons: inflation and car accidents in my zip code (like WTF). I thought it was my credit score, but my credit was poor for 4 years (pre 2020) and my rates weren't no more than $120 a month, but it's not $380 and it's killing me. I forgot to mention, my rent went up from $750 to $900 a month for a 1960s-looking 2br house I'm making $15.50 an hour and it's just not livable at all.
What I'm seeing is that, prices are staying strong and dealers are actually advertising mark up like is beneficial for consumers, anyway, Toyota announced not any changes in production until late 2023, maybe... also, they say, don't expect high volume supplies to the store because they are aware that everybody pays MSRP, no real reason to change that.
I think this relates to the used car market not new cars. Follow Dave ramsey’s advise… “only buy a new car if you have a net worth of > 1 million dollars”.
@@anniec3438 I am emotionally crippled by having been born in Yorkshire. A Yorkshireman is like a Scotsman with all the generosity stripped out. I can peel an orange in my pocket. I am as a tight as a crab's bottom---and that's watertight. When I see a $3,000 "market adjustment" I have to go and take a beta blocker to slow my heart rate. I tried to buy a house in Florida in 2021 and I offered 25k over asking. They laughed at me coz they had 5 better offers that morning and it was only 11am... Given up on cars and houses just now and I have changed the tranny fluid/oil / filter/brake pads on both our Camrys...for relative peanuts.....
MN market: Carmax offer on my Subaru Crosstrek dropped $11,400 to $9400 in 11 days(18%). Been in the market for a new Forester but nothing in the surrounding states even. Not that the retail price on new or used Subaru are coming down to match. So value of my trade is going down, nothing to buy or purchase price not matching. Not a great situation.
I was offered 41k in May, 40k in June, 39.5k in July, now I’m offered 36k in August for my 11k mile Tacoma. Trade in values are dropping like a rock while new prices are not moving.
@@bcar1ify I wish there was a way to get an offer or see differences in zipcode/states. Depending on price I would be willing to drive myself to get a couple thousand more on resale. Though Carmax and such I believe go on a nation database.
This is a helpful channel. I know I am a terrible salesman, and a wonderful consumer for them since I can't negotiate and just expect to be ripped off. This is why I don't buy new cars and have only financed 3 things that didn't work out for me too well, a bow flex, a four wheeler and a 1991 used Toyota Mr2 Turbo I still drive today. My friend came with me for the mr2, and he knew all these sales concepts such as yield spreads and the taxes they pay for leaving these cars on the lots, especially used ones despite being on a rotational turn-table and on the front page of some magazine ad that got me there in the first place. They wanted 12 grand for the Mr2, and thanks to my friend I got it for 8,900, but, that was an adjusted price from the 7 grand that we agreed to, and the 'adjustment' that took place happened immediately after he had to suddenly leave, which in turn, left me alone on the floor when the financing was being discussed. I can distinctly remember a small grin on the face of the salesman, when my buddy got up to leave right before all the paper signing was just getting started for financing after the total price, monthly payments, and trade-in for a deposit were agreed upon. Yep. They found a way to add 1,900 bucks as soon as he left and I signed away knowing they were screwing with me but since I really really wanted that car, I just accepted it. I remember them telling me that they could more easily get me into a new truck instead of the used car I wanted to buy, back during the time when the Chevy Colorado had just come out on showroom floors all over the country. I suppose despite of them wanting to get rid of that used specialty car, they could still make more money out of the deal with a new car than by selling me a used one, regardless of the difficulty they were faced with in selling a 90s Mr2. I played down my excitement for this beautiful 50k mileage 90s car, but considering I wanted it over a new truck, pretty much gave away my attempt to fool them no matter how well I acted like I was upset with its overall condition, which in reality, was superp compared to others being sold privately through car clubs; this Mr2, to my surprise, was a gem indeed. Thing is though, my trade in was an '88 Toyota, 'back to the future', Tacoma pickup, that had an engine on its way to the scrap yard and was not in any good condition at all. This old jacked up truck got me a trade in value more than I could have ever sold it for to a private party. I know it's just numbers and metal, but since I had zero deposit, they had to jack up the trade-in value that I drove to the dealership to make the deal, and as my friend stated, they really wanted to get rid of that Mr2 as much as I wanted to buy it. We did do a walk-away routine as well, and as we drove off, they called as we were leaving to come back and make a deal from an offer they originally turned down. This worked very well since they knew we would walk away if the payments weren't at 300 p/m, and the total price at 7 grand. I wish I knew more about all this or had access to a informative channel like this in my younger dayz. I'm sure I'd still suck as a consumer but I would at least be armed with knowing the game and how its played from the dealer and finance perspective. Those videos with the play by play this channel does, are excellent.
Over here in delco pa there are deff inventory going up just a lil but the prices are still to much like 24k for a 2016 r-title Silverado with 140k and 11k for a aspen with 110k and 5k for a 200k 06 accord or 60k for a basic 22 f150 stx or a 6k mark up on a 2022 kia Rio 23k for a damn Rio lol its still a joke here love you guys
The Toyota spec sheet for a car is *not* a Monroney label. Tons of scumbag Toyota dealerships near us have added a 'market adjustment' line item - anywhere from $2500-$10000 - in our quest for a Prius/RAV4 Prime, which is insane. So we just placed an order for a Bolt last week, for MSRP... First non-Toyota car I'll own, and I have no regrets.
I went to bob rohrman toyota in Fort Wayne IN and they had a $4,500 mark up on all vehicles lol Why does Toyota website have the price on there when you seach inventory if their dealers are going to mark that price up 4,500 dollars?
Tell them Ray we need you back in the dealership to get them in line-👏 I'm one that need a suv I will be purchasing soon love your channel so helpful God Bless you guys 🙏
After decades of being a successful trader the one thing you understand is anything that goes parabolic always stops and typically drastically declines in the other direction
I have been watching truck prices, and seeing they are coming down. One in particular has just dropped another $2138 since last week. So far it has dropped $10,000 in the past 2 months. Trucks are over priced, people are waking up, and dealers are getting stuck with high priced trucks they pay interest on. If you are buying a vehicle and financing, getting GAP is a must as these values you pay now will NOT stay there, and being upside down will happen rather quickly within the next year. Not only will trade/private sales will be lower than what you will owe, so will insurance payouts if it gets totaled, and you will owe the balance. You don't want to be $20,000 upside down and lose the vehicle as you will have to pay that $20,000 and not have a vehicle. GAP will save your ass.
According to studies, most of the cars getting repossessed now are mostly cars purchased during the height of the pandemic. I wonder why? I guess they were feeling very "stimulated" to buy a car. 🤣😂😂🤣
@@iwillrateyou9375 wasn’t just 1500. Don’t forget about unemployment the federal gov handed out too. People were making bank siting home not working. Also many took mortgage forbearance for 18 months. Money was burning a hole in their pocket.
Daily drivers declare deflation delivers deals to dope dudes/dudettes and declare decisive delivery of frankly fabulous factory Ford, GM and also hemi hellcats.
Hey, I have a question about building your car through manufacturer site(say toyota) and there is a msrp comes down from there say 48000$ for sienna. My question is after you find a dealer how do you negotiate that msrp price that you got from manufacturer site ? Dealers say I have pre-installed options if you order this car through us. Like Paint-protection film 2495$ and Protection package 1995$ . How do you negoiate your entire package and get the deal you want ?
They were able to drive very nice cars for the entire pandemic (when they weren't locked down), and they can turn them in with no lease mileage fees. They take a ding on their credit, but do they really care about their credit? "For now, not forever" is the motto of the repo bogue.
You should run the numbers on C8 corvettes. Every dealer's got one right next to a hot rod challenger and they're started to knock prices down approaching factory MSRP cause no one is buying.
maybe it has to do with the fact that rates are astronomical as are prices? I mean look at the prices of cars now versus twenty years ago. cost is up so loss is going to be up as well
I think some great points have been made, such as people buying outside their means, lower income/credit people getting loans, etc. will play a part. Looking at all that's going on with inflation, banks are probably also taking into account the rising monthly cost of living (some states rose over $1,000 more than what the normal monthly cost of living is), and they're just foreshadowing that customers will not be able to pay bills, i.e., their car payments. I think it's a smart analysis, but it's just a projection. Obviously, the future will tell the story, but I think the financial people are telling the story without physically saying the words.
The person who bought it, thanks you. Walking away just proves you don't NEED it as badly as someone who, well, DOES need it and pays through the nose.
Repo will not solve anything as only 30% may default and that is not ENOUGH to satisfy demand of 2 years backlog… some will get lucky to buy repos at MSRP as banks will wait till get ALL of their money back as they know that car chip shortage will last for 2-3 more years
do you feel that people are flipping new vehicles - order a vehicle and then take delivery and then sell it for more then they paid for it (making a profit)?
I hope all the dealers go out of business for the way they’ve treated the customers not just from the last few years but the last 50
I also have a 450 credit score
@@connorF3417 😂
Not all dealers….let me tell you, if you think they treat customers badly, imagine how they treat their salespeople. It’s terrible
@@Happylifenow781 just wait till you see what it’s like for a technician at a dealership
Once the car is sold its the banks risk not the dealers lol
I'm looking for a specific car. The dealer wanted am amount and said that they were underwater on it as they paid more than it was selling for and that they were bringing it to auction if they didn't sell it. I offered 2k under and said I'd come in the next day to pick it up. They said they wouldn't budge . Seriously, rather bring it to auction!
I will be keeping my like new 2014 F150, with only 70K miles. I own it free and clear and have for the past 5 years. $70K to $100K for a new truck is insane.
I think Tacoma's are going for under $40k
@@XFT8 Thanks but no thanks
@@trunkmonkey4938 I don't know trucks. Are Tacoma's not good?
@@XFT8 Toyota Tacoma is a mid-size truck. The F150 is a full size truck. Toyota is struggling as a manufacture also. The truck may be fine, I have never owned a Toyota.
They are legendary regarding reliability. It’s just not a big truck
Repossession is a wake up call to stop buying out of your means. Don't get me wrong, its not just the consumers. The banks/lenders are also at fault for lending over the value which has contributed to the problem.
Yep, these banks need to lay the law down & refuse to let these dealers overcharge for these vehicles by denying loan for these B.S. market adjustment markups which is code word for how dealers can screw the customers over. They allowed this predatory behavior so what did they expect would happen. After enough denials and customers walking away these corrupt dealers with shape up somewhat.
@@JP-nq1er market adjustments aren’t “BS”. Dealers have to pay employees and have to sell based on demand. If you don’t need to buy when demand is high and supply is low… THEN DONT! It’s not the dealerships fault. Covid and raw materials being hard to get ahold of and cars barely being made isn’t dealerships faults. Just like in ‘08 and ‘20 when supply was high and demand was low, we sold for much cheaper because we had too. Now we must sell higher because we do not have the inventory to sell to make amends. Pretty simple.
@@tominator028 I stand by what I said. It’s obvious you have a vested interest in a dealership or work for one by that pointless argument you made. Dealers are predatory, lie, cheat & hoodwink people out of their cold hard cash. Charging people tens of thousands over what a car is truly worth (just because they can) with their MADE UP B.S. MARKET ADJUSTMENT FEES IS RIDICULOUS!!!! Forcing someone who may be in desperate need of a car to pay significantly over what it’s worth & now that person is stuck with extremely high payments & may possibly default on their loan because they can’t afford the payments because some shady dealership decided to screw them over by making them pay way more than what the car is worth all because of greed or they are so upside down on that loan they are forced to keep that vehicle far longer than they would have. There is nothing wrong with making a profit but be reasonable & build customer loyalty where they keep coming back for service & to purchase future vehicles. Not screw them over, leave a terrible impression & they never want to do business with the dealer again. There are a couple of dealers out who don’t play these games so it’s possible so defending their unethical practices is worrisome & shows you are not on the consumers side.
@@JP-nq1er No one is telling you to sign that deal. If you aren’t going to do your due diligence on how much a vehicle is worth then that is not a dealers fault. No one is forcing you to sign anything lol. I know when I have a smart customer they give me a hard time and I usually only make a lot less $ on a deal with them. I’m fine with that, at least they knew how much they can realistically pay and sign the deal. People who come in and don’t even try to negotiate, while making my job a lot easier and my life easier when I make a bunch of $ off of them, isn’t my or the dealerships fault. If they couldn’t afford what they signed for, they should have done more research and found something in there price range. I always ask my customers if the numbers sound okay to them, if they say yes, how is it my fault they really couldn’t afford it? I just be there financial advisor and there salesman at the same time lmao. If they want to buy a car, I’m gonna do everything in my power to get them one. It’s kinda like ya know, my job? If you have problem with dealers marking up, don’t buy from them. Our dealership does mark-up however it’s calculated based on how limited the vehicle is and how expensive it is. There’s some vehicles we don’t even mark up at all. Ford Mavericks we only usually get every 4-5 months and only get 5 or 6 at a time. Only ones that make it to the lot are ones people backed out of there pre-order. We mark-up these like $8,000-10,000 because they are so limited and people that really want them will pay extra. Many people would rather pay that than wait 8-12 months on a factory order from Ford. If those people aren’t bitching about it, why are you? Don’t buy a vehicle if you don’t need one especially a marked up one, but people besides you will.
@@tominator028 I’m over this. You proved my point. No ethical person would defend your slimy tactics. I wonder how toxic the work environment must be for you to defend your unethical behavior. I would never buy from you. Making excuses for your shady ass business practices is why your industry is despised by so many. Tons of people bitch about how corrupt you people are. You think I’m the only one who is on to the crap dealers pull. That’s why the FTC is proposing the Motor Vehicle Dealers Trade Regulation Rule, which seeks to "protect consumers and honest dealers by making the car-buying process more clear and competitive” with thousands of comments from people because of your shady ass tactics. I was literally talking to my friend who’s well versed when it comes to buying a car & first words out of her mouth was how horrible dealerships are and how she was treated so poorly because she was a woman. Every single friend or family I’ve ever talked about buying a car usually starts with how terrible experiences and how corrupt your industry is and you people are. So don’t try to come at me defending your unethical shady ass practices. You are literally changing no one’s opinion just further proving my point. I won’t continue engaging in this stupidity. Disgraceful.
Guys thank you so much. Current car of 13 years suddenly started to become questionable. This is way out my realm and I hope not to get yanked around. Not interested in switching cars every 3-4 years.
You would be better off investing money in your old car then being ripped off big by these dealers.
I wish I could find a valve body for my 1992 Volvo 960. Odometer just reached 100000
still don't see much of a price drop at dealerships.
The only thing dropping is sweat off their brow. They know they paid too much for those cars.
There is no price drop because most dealers have zero new inventory. Until inventory levels build up there will be no price drops.
Last month I traded in my 2018 Silverado and was allowed $5800 more for it than I gave for it in 2019. The 2022 High Country that I purchased had 1K miles on it and was priced $800 under MSRP. I was happy with the deal.
I still wonder if the dealers are increasing the cost of the new car you’re buying to compensate for the high trade-in value
They definitely are!
If you stopped in Colorado Springs I'd certainly hang out with you both! You are a great father son team and that makes you guys fun!
My brother went to Toyota and Honda to see the Rav 4 and Crv. Both dealers had market adjustments on top of their msrp about 2-4k over MSRP. Then he went to Subaru to inquire about the Forester. Forester is being sold for MSRP. Subaru not adding market adjustments but won't budge to lower the selling price. We are from Northern NJ.
Some Subaru dealerships are adding mark ups. Mine is not. Some are
Subaru dealers in CT are adding mark ups
Same here in MD. Subaru dealerships consistently offer MSRP. I’m considering switching from T & H. Plus Subaru has shorter wait times here.
Subarus are garbage, chronic head gasket problems.
@@robjohnson8662 I’m sure you realize that is not a thing any longer….but they sure got hit with a long memory like yours.
Noticed car dealerships are packed with cars but still every car on their lots they want more then msrp 😕
they're really not. dealerships may be packed with cars that are unpopular for one reason or another but if you're looking for something specific you better expect to wait.
Try looking for tacomas, 4Runners, Tellurides, palisades. Those are basically presold before they are even built.
I hit up a dealership like2 months ago and I saw a bunch of cars. The salesman surprisingly was honest out the gate and pointed out that most of the cars were already sold or in transit.
@@MultiNutterbutter dealers charging msrp basically pre sell all their allocations. I’m waiting on my local dealer that charges msrp to get an allocation with the packages I want.
@@psilocybemusashi good point but even the cars they have on the lot multiples of them they all have markups. Maybe they think because consumers are now used for all cars to be marked up they might as well mark up everything.
I cant wait for these dealers to cry for government assitance and get none in return. Their greed has no limits.
I'm waiting for that day. These dealers have gone too far and have gotten way to arrogant.
Getting none? This is the biden administration and it is election cycle and democrats are projected to lose most of their seats. Mmm I wonder what democrats usually do to "fix" issues and try to get votes even though experts tells them not to do it because it does more harm down the road?
Modern day Gov't is loose with bailouts. They'll pass the bill and not let anyone read until after its passed including the members of congress
Even if repo rates remain consistent with historical rates, losses will be larger because the amount financed is so much higher than the value that will be received upon resale.
Value is the value. The profit made is from finance, interest yada yada yada. So the dealer/bank is ultimately losing profit not base price, unless they default before and up to that point. Which I take it is what’s happening causing EVERYONE to lose initially if the car doesn’t re sell.
I am probably wrong. I’m new to this whole ordeal. I find it interesting. Sad but interesting still.
Nothing changing in south fla. Every dealer charging way over msrp this weekend when i went looking. Used were also still very high. Thankfully my 2015 mazda 6 now with 182k miles is still rollin along.
When a dealer marks up $10k over msrp, then drops its $2k, technically its a " price drop" but consumers don't consider that a real price drop.
< The intelligent consumers >
It is a drop and it's def a step in the right direction.
It’s never enough for the consumer… dealers are for profitable business. It’s no secret. People always have something to complain about. It’s just reality that most of the world’s population complains instead of increasing their income to offset their debt to income ratio. Just saying if people had a different mindset repos could be avoided. There’s multiple ways to multiply income. Self educate…
@@joesephhernandez5271 if you mean investing then I challenge you to find me a completely risk free and passive form of income
@@petelee2477 no not just investing. I do sell cars and I’m also getting into becoming a broker for insurance products. The goal for is multiple streams of income. Not just one. Investing in myself is what I do. I’m not just doing one thing. My point is that people are lazy and don’t want to do what’s necessary to have a better life
Used prices in western NY state are still OUTRAGEOUS!
Same in DC, like still 30% higher than they should be. What’s funny is if I inquire about a car through car gurus, the dealers almost get back to you instantaneously, yet they won’t move on prices at all. Soon they’ll be begging us to buy cars and they’ll realize they’ll have to swallow their pride and finally negotiate.
Same in northern VA
How crazy? Could you give an ex
Missed the live stream again tonight due to another commitment, but able to enjoy the replay. As usual, a great show! Great job on both the YAA and Ray and Zach Streams in transferring great info. with passion; and also providing nice entertainment.
Huge fan of you guys.
Have a great weekend!!
Shannon - Austin, Texas
Let the greedy ones crumble, and the honest ones prosper. Be fearful when others are greedy, be greedy when others are fearful. I’m seeing $4000 - $7000 price drops everywhere right now on MSRP prices at dealers in the Bay Area. The bubble has already popped in the car market, you can see it with the smart dealers removing their mark ups completely right now.
However at that point competition is driven out and then the “honest” ones would become the only ones and at that point good luck getting a good deal
@@aron6998 There are no honest dealers and all manufacturers build nothing but overpriced garbage.
Subaru still refuses to negotiate in North Texas; however, they ARE selling at MSRP but insisting on dealer installed "add-ons" with no discounting.
With an average car payment of plus 700 dollars a month and an average household income of around 70k. The math says that repossessions are coming.
you should look at the average income of the people actually buying new cars. poor people never buy new cars. if you're buying a new car you are either rich or stupid but maybe a little bit of both.
@@psilocybemusashi Or you can take a tax deduction because you use it for your business.
If you make 70k and you can't make a 700 dollar payment, the problem is not the market. It's the individual with terrible budgeting....
Just priced a new 2022 Dodge Ram 1500 Limited. The Dodge dealer here locally, advertised a 2018 Dodge Ram 1500 Limited with 1500 miles. The price on this used truck was only $400 less than the new truck! Some deal!
Until it drops 5K under msrp at least then I might consider buying again until then ✌️ I drove by few dealerships today and their used inventory is loaded it’s insane they never had that many vehicles on lot this includes Ford , Chevy, GMC dealership ..
Wow, where are you? Many dealerships near me basically only have lightly used cars on their lots, mostly 2-3 years old and have them listed basically at original MSRP or a little under, depending on the make and model. Just this morning I saw a listing for a 3 year old Silverado 1500 with 45k miles for only a couple thousand below what the same trim's MSRP is new. And one of the Ford dealerships near me has such an empty lot, they now have on their lot (front and center near the busy main road) a few large travel trailers and a 5th wheel, a pair of Sea-Doo's, and a couple motorcycles. I knock on wood every day that my old SUV with 137k miles keeps running strong until the buyer's market is stronger and I can afford something reasonable.
@@HypoLuxa13 I am in georgia and dealers filling their lots with used cars / trucks ..
Many vehicles do not have 5K in markups. You will be waiting a long time unless you buy a gas hog or a vehicle no one wants. Big rebates are not coming back.
@@rotart12arx3 honestly I'm fine waiting. If if comes down do it I'll drive my vehicle until the engine blows if ot means I won't get ripped off at a dealership.
You are 100% correct about response to comments in forum - I have been thoroughly impressed with the follow-up (and knowledge)!
Or the lenders are using CECL increases to reduce their three year net income (CECL reserves remove income from taxable income) in advance of the new 15% AMT corporations will be facing starting next year.
Unrealized CECL functions effectively as a stock buyback without incurring the new nondeductible 1% excise tax on share buy backs as well.
The new 15% AMT and excise tax on stock buybacks will skew transparency along with corporate investment decisions.
@Your Advocate Alliance wow 😳 you see this
Interesting theory. This would just defer the income though, not permanently write it off if actual credit loses turn out better than what they reserved for.
@@XFT8 As long as it is allocated, it's exempt. There's no restriction on estimated losses. Most tax laws yield the inefficient use of capital like this.
Amazon would have never been able to build itself out to what it is today, as they rolled most of their profits back into the business. With a 15% minimum and a 20% maximum, there is little incentive for forward looking investment.
@@wisenber I'm not seeing your Amazon analogy. They're not a lender, different rules. If a lender alots reserves for losses and the losses never materialize (the loans fully pay off), then then the "unexpected" income has to be recognized.
@@XFT8 I was referring to the 15% AMT beginning next year.
Amazon avoided taxes for decades by investing profits back into the company. A corporate Alternative Minimum Tax makes investing back into the company ...or investing in reducing carbon emissions...or developing new types of batteries or a new drug less attractive as those expenses will no longer be deductible.
That's also why a lending company would make the otherwise irrational decision to increase their CECL reserves.
And CECL reserves can be rotating. New loans replace prior ones to reduce tax liability. Of course rates would also need to increase if lenders cannot pay less than 15% of their three year averages. AMTs have never been a good idea.
I had a deal last Friday on a dealer 90 miles away from home. They were giving 29K for my tarde in. Couldn’t go until today to del the deal. They wouldn’t offer more than $25K for it, said used car values just dropped, wouldn’t budge even as I left the dealer.
You didn’t play their game.
To clarify, they told you $29k for your trade in over the phone but when you went in, only offered $25k?
@@XFT8 You snooze, you lose. If someone offers you the price you want, don't wait a week and complain if the deal is gone.
A lot changes at a dealership in one week. Maybe they took in a few comparable trades over the week you were sleeping?
Too bad the pricks didn’t tell you over the phone to save you a trip.
Saturday night, baseball and fighting on, and here I am watching this video. You and pops 👍
I live down the road from Rick Case Honda. One of the largest volume Honda dealers in the country. They’re doing everything they can to keep inventory low. It’s the last resort they have to keep prices high.
My 2001 Golf with 178,000 miles is more valuable than ever. I’d rather keep her running than gives dealerships any of my hard earned $$$
They're not going down in Nebraska at all....please show me where they are??? The prices listed by dealers here are still over MSRP.
Don’t read too much into it. They come to a conclusion and look for data to support it later
I know everybody likes to slam the dealerships for price gouging, and rightfully so, but there are good dealers out there too. I think the buyers are largely to blame for how the market's been recently.
I ordered a truck this year and managed to get it for 2% under invoice - all in $12,300 below MSRP. Educate yourself, shop around, and make a dealership earn your business. . . .
. . . If I started a business selling $1 bills for $100, and had a line out the door - who's the idiot?
What dealership and what state
Can you drive a dollar bill to work?
@TEE WHY Yeah exactly, people need a car. It's not really a choice in many places
Maybe you should start a business buying and selling cars being you have the knack.
@@Orderflow-sama Granger Ford in Iowa (they have Ram etc. also). Great people, simple process, no complaints - highly recommended. I did online research in my free time (1+ weeks), called over 100 dealerships across the country, and finally settled on them. Please do your own research, but that's what worked for me. Good luck, happy hunting!
The dealerships always take the original tag off and mark up price by printing there own label price to the customer
The US needs to pass a simple law that Banks cannot originate loans for greater than MSRP. This would help to protect both the financial system (Banks) and the consumer and force prices down since customers would have to come up with cash for any values above MSRP.
Sounds fantastic initially, but then just raises MSRP.
Because automobile bank loans are so prone to being defaulted but are suspiciously packaged with mortgage loans then resold almost immediately from the originator of the loan, it follows that banks shouldn't be making ANY automobile loans to private individuals. It's too risky and increases the cost of automobile ownership for the rest of us (loaned and leased cars that get defaulted on don't get oil changes).
Already hundreds of financial restriction laws on the books but sure, we need more. Why don't we just let the government be your mommy, daddy & nanny and then they can completely own you. Or maybe, just maybe people, banks, car dealers can have a thing called freedom. People can exercise a thing called personal responsibility and the government can stay the F out of every aspect of our lives. It's something to wish for.
@@stevemccooleq It's not personal responsibility when banks regularly get bailed out every 10 to 15 years by the US government when they've purposefully made risky bets. All those financial restriction laws are to stop YOU (the private individual) from qualifying for compensation when making bad bets.
@@stevemccooleq You must work for a dealer.
Car buying rule should be, if your current car doesn't have 200,000 on it don't buy a new (or new used) car.
Went to one of the larger Asian brand dealerships in my region today and the place was like a Walmart in a poor area - full of people/families who appeared painfully lower class and certainly couldn't afford the cars they were signing up for. It is clear to me that the bubble is still inflating, as people are still spending recklessly, oblivious to the bad times ahead. When the recessionary pain fully kicks in, expect a repocalypse like we have not seen before.
Great diving deep into the literature to better understand credit losses. Interesting.
I just watched a you tube video about the current condition of the RV market. It’s probably worse than 2008 and headed south. This is going to get ugly for anything RV related. They raised the prices probably the equivalent of what the auto industry has done, high fuel cost and those prices are crashing their world around them.
Does this include campers/trailers? I hope so.
Love all the information! I'm from Wentzville, MO and the best place to get a great meal is Stephania's get the baked cavatellie and a Supreme pizza.
So how much do you think a new diesel truck will go down in price over the next 90 days, 6 mo. or 1 year, 2 year? Used?
Gainesville FL suburb Jonesville: Mi Apa Cuban restaurant. Friendly and NEVER bad food or service. Take I-75 Exit 387 and go west about 5 miles. On your left before light
This is the back last they need to have for trying to rip people off. But to the same token people need to learn to stop giving up their money so easily and just walk out!
Hello Guys. I would like to share our experience buying a new car at Courtesy Hyunday in Tampa 8/21/22. They are selling at MSRP and we negotiated the dealer fees ($799), plus a $1000 trade-in (worth $100, transportation Veh.) So, we got the Venue SEL out the door for 24,000. I think we got a good deal, even though is not the best time to buy, we couldn't wait, as his car was a ticking bomb with repairs as high as $9000. Any other Hyunday dealers had mandatory mark ups from 2000 to 4000. We also looked at StadiumToyota and they had 5,000 to 10,000 above MSRP on new, and many other that laughed at us when we asked if they would sale at MSRP with no markups. So, Thanks for all the advices and awesome videos, we think we got a good deal.
I would like to buy a newer car, but I don't need a new car.
You are so addicting I love your show I learn so much- I went looking at a Lincoln yesterday just to ride in one and he was surprised I was so informed and impressed I did my homework. It felt great - I. Going to join soon as I really want to purchase a smooth soft comfortable riding suv not like my Mercedes’ glc 300
Video Topic....do a deep dive into Cox Automotive and their darn near "monopoly" of course their economist doesn't see a bubble...
I feel for those that have paid an ADM, and then financed. "Upside down" will take on a whole nuther meaning when car prices level out.
I feel bad for these morons who are actually buying or “pre-ordering” new vehicles now. Used and CPO vehicles will come back to earth far sooner than new cars due to this supply chain crap for chips. Plus, who’s going to buy a vehicle that’s been sitting on the lot for two plus years with all fluids in them, knowing that it’s basically ruining the car from sitting so long.
It’s much more useful when you use percentage vs. dollar amount increase/decrease. It’ll lends some perspective to the discussion. That’s one of the biggest annoyances of the financial networks: they insist on emphasizing the number of ‘points’ the markets are down. When tie DJIA is at 37,000, a 100 point swing is irrelevant. Great video guys; no one else out there is talking about the auto market like you are. Why is that?
I just fell onto your video and I loved it. Real people talking no BS facts and and analysis of what the F**K is going on, financially, in this country. I have subscribed and hope you continue. I have subscribed.
I see you guys keep saying that for 3 weeks or more now, but I don’t see any price drop on Autotrader or any other website. Are these eye catching phrases to increase the viewership?
Nothing has popped and prices have not come down one bit.
why am i watching the 100th video in a row from these clowns about it then?
True I just read an article that the prices are up
@@psilocybemusashi A lie told enough becomes the truth in a weak mind.
Absolutely, road trip. Heck ya. If your stopping in Utah please let me know.
dealers still selling used Honda Civics for $30,000 here in California
There are so many places in NJ. Depends on what type of food you like.
Plus there is nothing like NJ pizza
Car insurance rates have gone up as well. 📈
Mine increased by about 25% . I'm with State Farm.
@@meissnerflux Yeah, mine went up from $120 to $380 a month and that's with a perfect driving history, no tickets or at-fault accidents. Insurance companies are a scam.
@@Austin-wz5xk that's nuts! Mine went up from around 90 to 120 but I only have one car .
@@meissnerflux This is just for one car. I was informed, by an insurance agent, that they raised the rates because of two reasons: inflation and car accidents in my zip code (like WTF). I thought it was my credit score, but my credit was poor for 4 years (pre 2020) and my rates weren't no more than $120 a month, but it's not $380 and it's killing me. I forgot to mention, my rent went up from $750 to $900 a month for a 1960s-looking 2br house I'm making $15.50 an hour and it's just not livable at all.
What I'm seeing is that, prices are staying strong and dealers are actually advertising mark up like is beneficial for consumers, anyway, Toyota announced not any changes in production until late 2023, maybe... also, they say, don't expect high volume supplies to the store because they are aware that everybody pays MSRP, no real reason to change that.
Agreed. Im in the market for a new car and these addons are strong and not budging
I think this relates to the used car market not new cars. Follow Dave ramsey’s advise… “only buy a new car if you have a net worth of > 1 million dollars”.
@@anniec3438 my mom needed a car. Less than 60,000 miles in a a couple year old model was same price or more as msrp on new. Crazy times.
@@anniec3438 I am emotionally crippled by having been born in Yorkshire. A Yorkshireman is like a Scotsman with all the generosity stripped out. I can peel an orange in my pocket. I am as a tight as a crab's bottom---and that's watertight. When I see a $3,000 "market adjustment" I have to go and take a beta blocker to slow my heart rate. I tried to buy a house in Florida in 2021 and I offered 25k over asking. They laughed at me coz they had 5 better offers that morning and it was only 11am... Given up on cars and houses just now and I have changed the tranny fluid/oil / filter/brake pads on both our Camrys...for relative peanuts.....
Toyota is making some good vehicles right now. Too bad you can’t get your hands on one without paying ridiculous fees and non-refundable deposits!
MN market: Carmax offer on my Subaru Crosstrek dropped $11,400 to $9400 in 11 days(18%). Been in the market for a new Forester but nothing in the surrounding states even. Not that the retail price on new or used Subaru are coming down to match. So value of my trade is going down, nothing to buy or purchase price not matching. Not a great situation.
I was offered 41k in May, 40k in June, 39.5k in July, now I’m offered 36k in August for my 11k mile Tacoma. Trade in values are dropping like a rock while new prices are not moving.
It’s all market driven. DC metro trade in prices still high
@@bcar1ify I wish there was a way to get an offer or see differences in zipcode/states. Depending on price I would be willing to drive myself to get a couple thousand more on resale. Though Carmax and such I believe go on a nation database.
This is a helpful channel. I know I am a terrible salesman, and a wonderful consumer for them since I can't negotiate and just expect to be ripped off. This is why I don't buy new cars and have only financed 3 things that didn't work out for me too well, a bow flex, a four wheeler and a 1991 used Toyota Mr2 Turbo I still drive today.
My friend came with me for the mr2, and he knew all these sales concepts such as yield spreads and the taxes they pay for leaving these cars on the lots, especially used ones despite being on a rotational turn-table and on the front page of some magazine ad that got me there in the first place.
They wanted 12 grand for the Mr2, and thanks to my friend I got it for 8,900, but, that was an adjusted price from the 7 grand that we agreed to, and the 'adjustment' that took place happened immediately after he had to suddenly leave, which in turn, left me alone on the floor when the financing was being discussed. I can distinctly remember a small grin on the face of the salesman, when my buddy got up to leave right before all the paper signing was just getting started for financing after the total price, monthly payments, and trade-in for a deposit were agreed upon.
Yep. They found a way to add 1,900 bucks as soon as he left and I signed away knowing they were screwing with me but since I really really wanted that car, I just accepted it. I remember them telling me that they could more easily get me into a new truck instead of the used car I wanted to buy, back during the time when the Chevy Colorado had just come out on showroom floors all over the country. I suppose despite of them wanting to get rid of that used specialty car, they could still make more money out of the deal with a new car than by selling me a used one, regardless of the difficulty they were faced with in selling a 90s Mr2. I played down my excitement for this beautiful 50k mileage 90s car, but considering I wanted it over a new truck, pretty much gave away my attempt to fool them no matter how well I acted like I was upset with its overall condition, which in reality, was superp compared to others being sold privately through car clubs; this Mr2, to my surprise, was a gem indeed.
Thing is though, my trade in was an '88 Toyota, 'back to the future', Tacoma pickup, that had an engine on its way to the scrap yard and was not in any good condition at all. This old jacked up truck got me a trade in value more than I could have ever sold it for to a private party. I know it's just numbers and metal, but since I had zero deposit, they had to jack up the trade-in value that I drove to the dealership to make the deal, and as my friend stated, they really wanted to get rid of that Mr2 as much as I wanted to buy it. We did do a walk-away routine as well, and as we drove off, they called as we were leaving to come back and make a deal from an offer they originally turned down. This worked very well since they knew we would walk away if the payments weren't at 300 p/m, and the total price at 7 grand.
I wish I knew more about all this or had access to a informative channel like this in my younger dayz. I'm sure I'd still suck as a consumer but I would at least be armed with knowing the game and how its played from the dealer and finance perspective. Those videos with the play by play this channel does, are excellent.
Over here in delco pa there are deff inventory going up just a lil but the prices are still to much like 24k for a 2016 r-title Silverado with 140k and 11k for a aspen with 110k and 5k for a 200k 06 accord or 60k for a basic 22 f150 stx or a 6k mark up on a 2022 kia Rio 23k for a damn Rio lol its still a joke here love you guys
The Toyota spec sheet for a car is *not* a Monroney label. Tons of scumbag Toyota dealerships near us have added a 'market adjustment' line item - anywhere from $2500-$10000 - in our quest for a Prius/RAV4 Prime, which is insane. So we just placed an order for a Bolt last week, for MSRP... First non-Toyota car I'll own, and I have no regrets.
I went to order a kia carnival msrp at 41k they came back with a 60k invoice lmao.
👌🏾👍🏾👏🏾🙂 keep on plugging-love your show!
I don’t understand why we can’t find Employees and the repo market is booming
Southern California dealers have cars with 100+ days on the lot not much price drop. They are definitely holding firm lol
Come to Chicago western suburbs, we will come ..Oak Brook, Naperville, Il...
I went to bob rohrman toyota in Fort Wayne IN and they had a $4,500 mark up on all vehicles lol Why does Toyota website have the price on there when you seach inventory if their dealers are going to mark that price up 4,500 dollars?
im looking for a scat pack but theyre still kinda expensive... hoping they drop to the low 30s..
Ray bringing the 🤣 HEAT I luv it PASSIONATE🔥
Tell them Ray we need you back in the dealership to get them in line-👏 I'm one that need a suv I will be purchasing soon love your channel so helpful God Bless you guys 🙏
Yes on the meet ups.... Edina Minnesota meet up at Original Pancake House.... I'll buy for you guys.
After decades of being a successful trader the one thing you understand is anything that goes parabolic always stops and typically drastically declines in the other direction
I have been watching truck prices, and seeing they are coming down. One in particular has just dropped another $2138 since last week. So far it has dropped $10,000 in the past 2 months. Trucks are over priced, people are waking up, and dealers are getting stuck with high priced trucks they pay interest on. If you are buying a vehicle and financing, getting GAP is a must as these values you pay now will NOT stay there, and being upside down will happen rather quickly within the next year. Not only will trade/private sales will be lower than what you will owe, so will insurance payouts if it gets totaled, and you will owe the balance. You don't want to be $20,000 upside down and lose the vehicle as you will have to pay that $20,000 and not have a vehicle. GAP will save your ass.
Call yourselves "DND" Dudes Negotiating Deals! Lol 😆
Even these repos go to dealers who then markup big time
Damn I loved that zdx but I didn't drive yet when they came out and they cost to much lol
According to studies, most of the cars getting repossessed now are mostly cars purchased during the height of the pandemic. I wonder why? I guess they were feeling very "stimulated" to buy a car. 🤣😂😂🤣
Underrated comment lmao
Yea that $1500 was very helpful on buying a new car 😂
Stimulus ballers lol
@@iwillrateyou9375 wasn’t just 1500. Don’t forget about unemployment the federal gov handed out too. People were making bank siting home not working. Also many took mortgage forbearance for 18 months. Money was burning a hole in their pocket.
If y’all think the unemployment is making bank y’all must be joking… 😂
Could this be a response to the increase in the average car price?
Dad's dominating data destroys dastardly dealers definitively.
Daily drivers declare deflation delivers deals to dope dudes/dudettes and declare decisive delivery of frankly fabulous factory Ford, GM and also hemi hellcats.
Hey,
I have a question about building your car through manufacturer site(say toyota) and there is a msrp comes down from there say 48000$ for sienna.
My question is after you find a dealer how do you negotiate that msrp price that you got from manufacturer site ? Dealers say I have pre-installed options if you order this car through us. Like Paint-protection film 2495$ and Protection package 1995$ . How do you negoiate your entire package and get the deal you want ?
YES to a 2023 tour!!!
They were able to drive very nice cars for the entire pandemic (when they weren't locked down), and they can turn them in with no lease mileage fees. They take a ding on their credit, but do they really care about their credit? "For now, not forever" is the motto of the repo bogue.
You should run the numbers on C8 corvettes. Every dealer's got one right next to a hot rod challenger and they're started to knock prices down approaching factory MSRP cause no one is buying.
maybe it has to do with the fact that rates are astronomical as are prices? I mean look at the prices of cars now versus twenty years ago. cost is up so loss is going to be up as well
Cooper, Texas here Tajano’s Mexican Restaurant. Beef, Chicken, or Shrimp Fajitas.
I would 1000% meet up and would gladly get you guys a meal for everything you've provided
Still trying to be patient for a Hellcat charger. Thanks for the info guys. #Florida resident
Don’t be too patient. 2023 will be the last year Dodge will be making Chargers & Challengers with ICE engines. 2024 & later will be electric crap.
@@rocker1889 yea I know
Go to La Fonda on Main, in San Antonio, Tx, or Cappy’s. One is good Mexican, the other is Sea food and Steaks.
If new cars sales are slow because well there aren't any new cars .wouldn't used cars( resale prices anyway) stay high?
You would think unless there is that big of a gap between people that want new cars and people that simply need a car.
ZDX…1980 Chevy Citation… tomatoes -tomahtoes 🤷🏽♀️
I think some great points have been made, such as people buying outside their means, lower income/credit people getting loans, etc. will play a part. Looking at all that's going on with inflation, banks are probably also taking into account the rising monthly cost of living (some states rose over $1,000 more than what the normal monthly cost of living is), and they're just foreshadowing that customers will not be able to pay bills, i.e., their car payments. I think it's a smart analysis, but it's just a projection. Obviously, the future will tell the story, but I think the financial people are telling the story without physically saying the words.
I'm supposed to be on vacation but I'm in my hotel room getting schooled by you two...thanks....🙂🙂🙂🙂🙂😄😄🤣🤣
Interesting stuff but how much of increased loan losses is just that prices are so much higher. Is it a percentage change?
Arrowhead Grille is right down the street from my house, and has excellent food.
Toyota wanted to sell me a V6 Tacoma for $49k, $39 for the4 cylinder. I walked away
The person who bought it, thanks you. Walking away just proves you don't NEED it as badly as someone who, well, DOES need it and pays through the nose.
@@EfficientRVer And that, in a nutshell, is free markets at work.
Repo will not solve anything as only 30% may default and that is not ENOUGH to satisfy demand of 2 years backlog… some will get lucky to buy repos at MSRP as banks will wait till get ALL of their money back as they know that car chip shortage will last for 2-3 more years
I tried the YAA page, and it only worked for being able to do one search then it was telling me pardon the interruption.
This video is primarily addressing the used car market for those that haven’t caught on
Yes I’d love to meet and greet. Come to Long Island.
the lancer sold well for mitsubishi why would they get rid of it makes no sence to me
About the road trip. Would be so awesome to do it like “impractical jokers” style. Like “now tell him On the R.I for the P.D.O N.A.DA” XD
Was not here for the live show. Wish I had been! I love you Ray. You are too cute when you get going!!
Thank you Lisa, you're too kind. All the best, Ray
do you feel that people are flipping new vehicles - order a vehicle and then take delivery and then sell it for more then they paid for it (making a profit)?
I love the way Ray says Mur-a-land
That is the influence of south Philly
This stuff should be taught in High School. I need to take a class to understand this stuff that you are talking about.