In my neighborhood I witnessed 2 repossessions in 2 weeks . This problem is those vehicles are often neglected or abused because people know thier going to loose them .
I would like to purchase a 2020 C8 for next to nothing but then I opened my eyes and stopped dreaming! But seriously, this downturn can run for a few years so maybe my dream will come true!
After owning many...great cars, Hellcats, collectables, etc...gave up on them, hated payments, found myself very happy driving dependable $2,000 cars, paid cash for, even a 15 year old Harley always wanted..46 years old so enjoy the 90s cars, cringe thinking about going back to having car payments...especially after shutdown, understand how seniors who lived through depression changed how they lived, saved ..everything.
This is your best video and I couldn't agree more, this is what I thought. I saw the writing on the wall years ago, and grateful my house and 3 cars are paid for!
@@tman1129 He was talking about the government changing the basis of the American economy from a constrained, capitalist money supply to a counterfeited, debtist money supply. That happened years ago.
Im retired and I know and understand the principles youve described here, and have lived them all my adult life....so I have a comfortable living. But Im not out in the real world day to day with consumers seeing what you are. So I thank you for your on the ground active assessment.
I took the opportunity to pay off all my collections and get my credit back in good standing and throw a few bucks in the bank. Everyone else I know was spending it all and having a blast
This isn't so much because the people have a lot of extra money. This inflation is because of the trillions they've been giving themselves, banks, and wallstreet/ corporations
Sounds like there are going to be a lot of new car clubs starting up next year. " Homeless Corvette Owners Club " " Homeless Mustang Owners of America Club " Etc, etc.
I am glad I found your channel! I went to look for a used car when quarantine ended and I noticed the car I was looking at was way over priced. I am going to wait for sales to go down and get the car I want.
Being a car dealer myself, and seeing the current inflation, everyone wished they bought cars a year ago when this video came out. Its Dec 2021, and prices at still as during the summer peak at dealers auctions (usually prices are lowest right now), imagine what its going to be in a couple of month when spring comes with tax returns! Very uncertain times we live in, specially being a car dealer.
Seeing same thing in UK. Used cars at Auction crazy money. I have been out buying private sale cars from those about to sprog cash on a new car. Getting them far below book but selling at current inflated used car prices. But being cautious in building too much stock as think second lockdown on cards. Btw set my dealership up as direct result of your vids after giving up corporate job I hated. Just done my first year and love it
I have seen some of your other vids on another channel. I wouldn't care if you shine shoes. You are smart and have picked up valuable experience, knowledge and insight. Thank you for sharing it freely with others. I benefited from this. Thank you
You are sooo right. Greg I was discussing this with my wife this passed Sunday and was going to do a video to my channel in Portuguese about the same topic. And now I dont have to make one in English because will refer your video to all my US friends and abroad (those practicing English :) ) YOU ARE SOOO TRUE. This is a very unusual situation and 45 days "emergency fund" will be the crazy new saving account. All you said so true. Thank you man.
The first time I watched your video, man I thought this guy was annoying, then I watched a few more and started enjoying it. I have been watching many of your videos and completed the whole video on every single one. You're a very smart and business minded man. You're motivated me of continue expanding my real estate investment. Thank you and keep up the good work.
In the span of your 15 minute video, you have correctly assessed the state of the economy, and what people need to do to prepare for the day when "free money " stops. The only thing I would change would be to tell people to plan for the next 90 day period instead of the next 45 days. You provided a great service to those that subscribe.
Great video!I listened and paid attention to every word you said and I completely agree.All well said! You should be on the Dave Ramsey show!I do however still have all my toys my garage is packed!!I acquire 90% of my inventory by trading!That's how I conduct most of my side hussle business.I buy sell trade motorsports toys,Dirtbikes,motorcycles,4 wheelers,bicycles etc.I fix up old bicycles and flip them especially when all the stores had no bikes!
I absolutely agree with you. It’s domino effect with the market and smart move on not over purchasing. I’m selling two properties now and buying when shit hits the fan.
I love watching your videos. I enjoy watching other entrepreneurs. I own a lawn and landscape business. I’ve had so much work these last three months. Everyone and their mother want to get large landscape jobs done. I’m saving saving saving just to see what happens In the future. when this faucet a stimulus is turned off.
I absolutely agree with everything that you said! You are 1000% Correct, I am a real estate broker, and I cannot wait until people start foreclosing so that I can start purchasing.
Thanks Craig .. yes auctions are $1000 to $4000 above MMR here in Wisconsin I won’t buy Either because our customers won’t pay inflated prices..one of your best video’s 💯
Watched this video today and it's more insane now than it was when you recorded this. It's unreal how inflated the market is right now. People are out paying MSRP for new vehicles and financing them for 84 months to "afford" them. This has to implode at some point right???
The flip side to this is if we see sustained 20% inflation and the fed keeps denying it and continuing yield curve control then we will have to rethink what “overpriced” means. If a subway sandwich goes to $30 and the average wage goes up to 90k we just have to rethink what a dollar is worth. If bonds, stocks, houses, cars, gold and silver are all at all time highs it means none of them are at all time highs, the dollar is just at an all time low.
These are words that I live by year after year and is also the reason why my wife and I are financially in a great place. Guess what I just purchased is what I've been hearing for months. People are out buying new and used things impulsively for too much money. I have to believe come next year that there is going to be amazing deals when people finally realize the mistakes they have made.
I was looking into bidding on a VW Tiguan today at Adesa seattle. The consigner a VW dealership had it listed on there website for $8,500. Sold today at Adesa seattle for $8,900! Prices are insane right now! Our lot is also empty
I sold late last year in Redmond. In December, bought a brand new house in one of the best areas in the RDU for $65k off the ask. I saw what was coming on the radar in Seattle. Redfin shows the outflow in the region to have increased by 1500+% and that apartment prices are deflating. So, so glad to have cashed out (over $600k equity) and bailed. Sad to see & hear what a hole it is nowadays
The Government providing stimulus is idiotic, Business owners assume a financial risk when starting a venture, theirs nothing written in the fine print of a business start up or a large family that continues over indulging that when the crap hits the fan to not worry the government will keep you afloat.
We are buying repo's from Westlake Financial; we have to work harder on these units, but once they run it through the auction once and they have a "no sale", they will generally sell it no matter the loss. I have always said that repo's occur in the F&I office at the new car stores.
Nothing makes sense right now. All used cars are up, not just toys. Even $3,000 cars are now $4,500 cars, etc. It’s not people financing. Cash buyers too. Weird times.
I’m down on the cape.... seeing a lot of NY plates on October... more than usual. Also have a small business, and LOST EVERY employee because they were/are making more money being unemployed. Some of my customers are already complaining and are worried about their missed rent payments because they were not smart (aka stupid) and thought the missed months would be forgiven. We are headed for a disaster and some representatives want to bail out failing states along with people. Ugh
12:1814:36 its interesting you talk about this and put something like this up, as a dealer tech i was literally looking at the guy next to me and asking him "what do you think will happen during the winter months?", i have no idea what will happen but im scared of what will happen next/ how bad it may/will get, thanks for the share, i agree with you, really interesting to hear your thoughts from a dealer/car lot owner perspective
Not sure about some of your early generalizations, but good thinking and planning on how things are likely to fall apart and how to take advantage. "Be fearful when others are greedy and be greedy when others are fearful" --Warren Buffet
Here's one for you...sold at Copart just a couple of days ago. 2002 Chevy 2500, 6.0L gas engine, 4WD, crew cab, 86k miles...sounds great, right?!?! Well...it had severe hail damage, rockers completely rusted out, bed sides rusted, scratches and dents all over, interior trashed w/ pieces missing and couldn't drive it to see if, for example, the trans was ok. Literally the kind of truck I would have passed on for $1500.00. Sold for...$7500.00!!!!!!!!!!!!!!!!!!!!!!!!!! WTF is wrong with people???
Preaching To The Choir Brother I Couldn’t Like This Video Enough. As A Small Shop / Business Owner These Are all The Same Things I Say. Keep Up The Content!
Very well said. I work on the wholesale side of the Powersports industry. It’s been a dumpster fire for two years. Hoping for some sort of normalcy in ‘22. And hoping my 2014 pickup lasts because I’m not buying a new one for a good long while.
You are so right on about being careful with money. I've seen so many people buying new cars it's hard to believe. All I can say is getting into the repo business is going to be very lucrative shortly. I have been hanging onto my 💰money💰
I just stumbled across your boat videos good luck with that thing that’s awesome I’m in New Hampshire resident as well but this video right here speaks volumes to how people are self missed lead about what is going on in the economy awesome information brother
Good advice and video , also it's nice to see someone who's trying to do the right thing ,make a living and still help others along the way . Too bad I'm 1300 miles away or I'd definitely stop by next time I need a vehicle . Good Job Bob
I spoke to a car saleswoman just 3 days ago...the reason used cars prices are high is because all the manufacturers shut down production. No new cars means no more units coming to market which means people who need to replace their clunker can't buy new. The GM dealer next to my shop has so few cars they have turned their trucks along the front sideways with a full car space in between just to make it look like they have inventory. The rep I was talking to said that normally you couldn't put one more car on their lot if they turned it sideways. Now? They have space for over 80 cars.......
The Toyota dealership I work for normally has room for 800 cars but we are now hovering around 300, if that. We don’t have any Tundra’s. Only 5 new Tacoma’s
@@thecedars0612 Yeah, that's it. 800 and that's a pretty big dealership. I bet the only toyota dealer in my area probably has room for 150 max and I bet they don't have 30. The big gm dealer next to my shop has room for mayeb 300 new and 150 used and I bet they don't have 30 new. They usually have 80 or so pickups and I bet they don't have 10.
I see alot of people at work spending money on toys. I am saving for the next 2 years at least until I see the situation getting better ,and then I will continue to save .
You might not be taking into account that no one can travel. You can't go to Europe, you can't go on a cruise. You probably aren't going anywhere so you spend your money close to home. This is why RV sales are insane right now. What I could buy last year is doubled now and RV parks are full. I think it will take a year or so to get back to normal. I agree on unemployment. The money is way more than most would make normally.
Yes, you are correct in visual perception. The markets are oversold and currency quantitative easing or money printing will eventually stager the economy. Forclosures and repos will be coming quite soon.
Awesome Info man, really appreciate it. Especially as a new Used car dealer myself. With your videos/help it doesn't feel like I'm going in this alone. Plus stepping foot in the water im getting a feel for the industry.
You just posted up from straight-up facts right there... And people are not realizing that once the faucet closes you're going to realize how many buckets of Gallons could have had
We sold our home near Microsoft last year, took our chunk of equity to the RDU area in the Fall/Winter. I knew what was coming, so we had been shopping around for somewhere to move that we would like & would thrive. Bought an F350 SD (friend's dad passed) and a 20' cargo trailer to move our stuff- not spending $30k to have United or such to move across the country-and at half the expenditure, & I keep the assets. No toxic debt, no increase in lifestyle, no car payments, and not planning to go nuts
I noticed that a number of the area used dealers were low on inventory. Now I understand why. My wife got laid off and then let go. We put every cent of the extra stimulus in the bank in case it gets worse. Now I know I am not crazy. My sister works with a lot of low income folks who are now coming in to her office saying that they are being evicted because they put off their rent and also blew the money. You have to be smart about money whether you have it or not. Getting it doesn't suddenly make you smart about it.
I like your statement You are not an economist, but you are because you are seeing what is happening and realizing it and doing something about it. I agree bad times are coming, be prepared.
Hey bro! I'm super into your channel. I've been watching for a few days now and I'm just getting in the game. Hoping to provide for my wife and 7 kids with something like this. Thank you for being honest and showing us what you do and how you do it. I thank God for the insight I get from watching your videos! I hope to have my dealer license soon! I already bought 4 cars hawking fbm in my area. Going to clean them all up and get them sold! See you on the mountain top! First, let's get through this valley! Peace and blessings be upon you and your family in these dark times!
A lot of businesses are doing the same things that the customers are doing. Multi- billion companies have gotten used to being bailed out, remember 2008 & used certain programs to do it again. Watch.
You are right Craig, I can't get my employee back to work and can't find a good replacement employee because of these stimulus checks, or at least partially because of that, and I have other friends that own business' that are having a similar issue.
Summer 2021 and the situation with overpriced cars is even worse, at least here in Europe. I'm emptying my yard and going to take a long holiday, rather than find myself with an overpriced snd unselling stock.
So I have to agree with exactly what you said with the used car market. I had been looking for a 15-17 F150 supercrew. Everything around here in New England is low 30k to mid 30s. I ended up expanding my search in the end of December and found a 15 supercrew XL with less than 50k miles for less than $26,000 (sat on lot for about 4 months when I bought it) Drove the 600 miles and bought it. Retail current on her (asked my local Ford dealer what they would put her on the lot for) is around 29,500 to 31k due to low mileage and excellent condition. Paid to wait and drive 10 hours one way to the middle of no where. Oh, and she is very nicely optioned out for an XL package. 42k when brand new.
I watch your channel frequently because I'm a gear head, but I'm also an economist, and although you are not, your advice on this topic is as sound and wise as I've heard from any economist, maybe more so since you seem to have a better understanding of how consumers have actually been behaving during this pandemic. Your take here reinforces my long-held view that the realities of operating a small business provide as much, if not more, insight into the economy than most formal books, classes, or research reports. A+
This is hands down the most informative video I’ve seen you make. Also, have to say you were right a few months back when you said prices were going to increase as prices were tanking.
Lots of good points. The economy is not as thriving as you have lots of people unemployed. They are not creating goods and services to society, but they are consuming goods and services that society produces thanks to cheap money from the Federal Reserve. This is creating asset inflation all over the place. It is completely unsustainable.
I understand your reasoning with unemployment. What about me? I’m unemployed and losing a whole lot of money being unemployed so when some are “making money” a lot are barely making it by.....I thank god have a saint of a wife and she has saved and saved and saved all of our money! I’m in a good spot almost debt free with a house and 4 vehicles, but I am saving every penny and not spending! Ty for your video!
I haven't bought a single car at auction in 2 months. I agree with you, I'm not paying retail to sell at retail! Everything I have is paid for, so I have very little overhead....I'll wait out the madness!
The problem with your analysis is that with all the money being printed inflation will ensure car prices will not drop in the next 6 months. If the banks repossess the cars from the unemployed, it will not change this fact. Your empty lot will keep getting more and more expensive to fill.
This all remains to be seen. Printing money tends to devalue the dollar, but recessions prevent inflation pretty well, and depressions carry the risk of deflation. I remember thinking that all the money Reagan printed would lead to inflation, but instead it led mainly to national debt without the expected inflation/devaluation. The balance of new vs used car prices is strongly affected by how loose the supply of credit for car loans. As new car sales totally crash, the carmakers or government might make that supply of money very very loose, even to people whose credit got destroyed during the crisis. If they qualify people who are poor with good credit, or middle class with good credit turned bad, or anyone recently unemployed, for 0% loans and no payments for a year, then suddenly everyone buys new, and used car prices come back down to Earth. Sure, it kicks the can down the road, but since when have politicians from both parties not been willing to kick the can down the road with bandaid solutions? Buying a new car when you don't even have a job to drive it to, isn't smart unless you need the car to live in. But with the right incentives, people will buy now and worry later. And you're totally wrong about a big flood of repos not putting downward pressure on used-car prices. Simple supply and demand, it pumps up the supply, and the now-carless people who lost those cars clearly can't afford to buy them back, so it doesn't raise demand in any meaningful way, except on super-cheap cars they can get for cash. The prices of the very cheapest used cars will remain very strong, everything else will suffer from mass repos.
We need to educate our young. They can benefit now being at home if parents present lessons about economy and being able to live without the frills. Thanks so very, very much for your insights on many levels. You educate where it will count if folks wake up and see what you see. God bless you!
you are totally right, but the people that should be listening and paying attention and heeding your advice won't, they will live hand to mouth there whole lives, most folks have no savings, and then other folks have a five year bank roll, it will never change, feast or famine.
I think that’s one view about the stimulus and people leaving these metro cities. I saved my stimulus check and spent it on mostly repairs around the house and my car...
I agree 100%, but it's disappointing that 3 months after this video was made, we're still in exactly the same boat. Everyone is still spending like there is no tomorrow. Like you, I've paid attention to enough boom/bust cycles to know what's coming, but I get impatient.
a used car dealer who is actually a closet economist, and one who can dumb it down for the rest of us
I like Manhattan?
Beach? 🌴
Edit: He's in New Hampshire?
The exodus from Los Angeles and New York, wasn't because of foregoing rent... With COVID, people wanted to get out of population dense areas.
Their is a flood of repossessed cars on the way once banks start repossessing cars again.
pbreedu There???
In my neighborhood I witnessed 2 repossessions in 2 weeks . This problem is those vehicles are often neglected or abused because people know thier going to loose them .
@@quasar3210 i don't mind grammar mistakes..however i cannot stand sentences like ." UR 2 cool IMO ,we need to hang IRL.. stop it...stop it
Where do I buy a repo?
@@quasar3210
Yah dey arrggh
Watching this 7 months after and it was still solid advice
Yea Ik
I’ve saved up 20k since March. Fellow car guy here. I work as a buyer for 2 used car lots.
Same.
And same.
Nice work!
I would like to purchase a 2020 C8 for next to nothing but then I opened my eyes and stopped dreaming! But seriously, this downturn can run for a few years so maybe my dream will come true!
You are so transparent thank you so much for all the info....peace ✌
After owning many...great cars, Hellcats, collectables, etc...gave up on them, hated payments, found myself very happy driving dependable $2,000 cars, paid cash for, even a 15 year old Harley always wanted..46 years old so enjoy the 90s cars, cringe thinking about going back to having car payments...especially after shutdown, understand how seniors who lived through depression changed how they lived, saved ..everything.
This is your best video and I couldn't agree more, this is what I thought. I saw the writing on the wall years ago, and grateful my house and 3 cars are paid for!
You saw the writing on the wall years ago? When? When the economy was terrible, prior to 2017? Wish you would have told us about covd!
I remember seeing the bumper sticker on old cars "Don't laugh it is paid for." Don't see them anymore.
@@tman1129 He was talking about the government changing the basis of the American economy from a constrained, capitalist money supply to a counterfeited, debtist money supply. That happened years ago.
I like cash!!! Aswell!!
House and three cars? Cmon buddy you're slacking.
It's funny to read all these comments. Craig, you give great insight. I appreciate you being honest to anyone that is considering buying right now.
Today is March 15th, 2021... and things have gotten MORE expensive. This can't continue, but it doesn't seem to be getting better
Im retired and I know and understand the principles youve described here, and have lived them all my adult life....so I have a comfortable living. But Im not out in the real world day to day with consumers seeing what you are. So I thank you for your on the ground active assessment.
Everyone: wow my income inflated
Me: wow my savings inflated
I took the opportunity to pay off all my collections and get my credit back in good standing and throw a few bucks in the bank. Everyone else I know was spending it all and having a blast
I'm betting you paid your bills too.
@@christopherc1976 yes
This isn't so much because the people have a lot of extra money.
This inflation is because of the trillions they've been giving themselves, banks, and wallstreet/ corporations
Sounds like there are going to be a lot of new car clubs starting up next year. " Homeless Corvette Owners Club " " Homeless Mustang Owners of America Club " Etc, etc.
Kind of glad I have an SUV. Much more comfortable to sleep in than a Vette or Stang.
@@mikelemoine4267 A much more sensible choice.
@@eldiablo8019
"I Use Ta Have Stang Non-Owners Club". I Use To Have A Vette Non-Owners Club.
Pulled my deposit on c8 vette, spot in order line...during shutdown, waiting from back in December, happy with $2k cars again...
Very well said,I hope we get over this pendimic soon!
We will! The presidential election will be over soon....
🐑
The rest of the world got it under control in a few months.
Think Fauci said 5 years.
@@blackwulf8793 he would!!
I am glad I found your channel! I went to look for a used car when quarantine ended and I noticed the car I was looking at was way over priced. I am going to wait for sales to go down and get the car I want.
Is this why I have drove same truck for 20 years parts to fix thing that break cost less then a car payment and I buy extra parts from junk yards
Wow so wise
no people gave up the want to fix things and now just like the ability to be irresponsible and impulsive and still seem responsible.
i do the same thing.... i love having cash !!!!
@@tp360 me three
I just bought a 17-year-old car that somebody took good care of for cheap.
Being a car dealer myself, and seeing the current inflation, everyone wished they bought cars a year ago when this video came out. Its Dec 2021, and prices at still as during the summer peak at dealers auctions (usually prices are lowest right now), imagine what its going to be in a couple of month when spring comes with tax returns! Very uncertain times we live in, specially being a car dealer.
Seeing same thing in UK. Used cars at Auction crazy money. I have been out buying private sale cars from those about to sprog cash on a new car. Getting them far below book but selling at current inflated used car prices. But being cautious in building too much stock as think second lockdown on cards. Btw set my dealership up as direct result of your vids after giving up corporate job I hated. Just done my first year and love it
I have seen some of your other vids on another channel. I wouldn't care if you shine shoes. You are smart and have picked up valuable experience, knowledge and insight. Thank you for sharing it freely with others. I benefited from this. Thank you
You are sooo right. Greg I was discussing this with my wife this passed Sunday and was going to do a video to my channel in Portuguese about the same topic. And now I dont have to make one in English because will refer your video to all my US friends and abroad (those practicing English :) ) YOU ARE SOOO TRUE. This is a very unusual situation and 45 days "emergency fund" will be the crazy new saving account. All you said so true. Thank you man.
One of the smartest dealers I've ever watched. No one thinks about what's going to happen next
The first time I watched your video, man I thought this guy was annoying, then I watched a few more and started enjoying it. I have been watching many of your videos and completed the whole video on every single one. You're a very smart and business minded man. You're motivated me of continue expanding my real estate investment. Thank you and keep up the good work.
In the span of your 15 minute video, you have correctly assessed the state of the economy, and what people need to do to prepare for the day when "free money " stops. The only thing I would change would be to tell people to plan for the next 90 day period instead of the next 45 days. You provided a great service to those that subscribe.
First video I've ever seen from this guy and he's absolutely right.
I am so glad I am not alone on this! I told my wife the samething, imagine the deals we will be able to get in a month or two.
Any luck, are you still waiting?
Well said. We were looking at buying an apartment building last summer and are holding off due to excessively high prices on real estate right now
Great video!I listened and paid attention to every word you said and I completely agree.All well said! You should be on the Dave Ramsey show!I do however still have all my toys my garage is packed!!I acquire 90% of my inventory by trading!That's how I conduct most of my side hussle business.I buy sell trade motorsports toys,Dirtbikes,motorcycles,4 wheelers,bicycles etc.I fix up old bicycles and flip them especially when all the stores had no bikes!
Thanks a lot!
@@FlyingWheels Your Welcome.I watch all your videos and a subscriber!Love the channel!
I absolutely agree with you.
It’s domino effect with the market and smart move on not over purchasing.
I’m selling two properties now and buying when shit hits the fan.
Now that's what i call caring for your brothers...well said bruh👏👏👏👏
I love watching your videos. I enjoy watching other entrepreneurs. I own a lawn and landscape business. I’ve had so much work these last three months. Everyone and their mother want to get large landscape jobs done. I’m saving saving saving just to see what happens In the future. when this faucet a stimulus is turned off.
I absolutely agree with everything that you said! You are 1000% Correct, I am a real estate broker, and I cannot wait until people start foreclosing so that I can start purchasing.
I am all cash,gold and ammo right now
Thanks Craig .. yes auctions are $1000 to $4000 above MMR here in Wisconsin I won’t buy Either because our customers won’t pay inflated prices..one of your best video’s 💯
same here, most of the sub 6k cars in my market of Charlotte NC are at or near NADA clean retail.
So glad to found this video I thought my mind was playing trick on me at the auction.
I build lab equipment. I worked through the pandemic. Essential healthcare business. I loved the commute.
Watched this video today and it's more insane now than it was when you recorded this. It's unreal how inflated the market is right now. People are out paying MSRP for new vehicles and financing them for 84 months to "afford" them. This has to implode at some point right???
Boy did you hit the nail on the head !!! I made no major purchases during that time ... I'm glad I held off ....
The flip side to this is if we see sustained 20% inflation and the fed keeps denying it and continuing yield curve control then we will have to rethink what “overpriced” means. If a subway sandwich goes to $30 and the average wage goes up to 90k we just have to rethink what a dollar is worth. If bonds, stocks, houses, cars, gold and silver are all at all time highs it means none of them are at all time highs, the dollar is just at an all time low.
These are words that I live by year after year and is also the reason why my wife and I are financially in a great place. Guess what I just purchased is what I've been hearing for months. People are out buying new and used things impulsively for too much money. I have to believe come next year that there is going to be amazing deals when people finally realize the mistakes they have made.
I was looking into bidding on a VW Tiguan today at Adesa seattle. The consigner a VW dealership had it listed on there website for $8,500. Sold today at Adesa seattle for $8,900! Prices are insane right now! Our lot is also empty
I sold late last year in Redmond. In December, bought a brand new house in one of the best areas in the RDU for $65k off the ask. I saw what was coming on the radar in Seattle. Redfin shows the outflow in the region to have increased by 1500+% and that apartment prices are deflating. So, so glad to have cashed out (over $600k equity) and bailed. Sad to see & hear what a hole it is nowadays
The vw r32s pre Covid were selling at 7- 9k now they’re asking 14k along with the gtis 2012 absolute looneys
Don’t ever buy VW 🥴
THANK YOU for saying this! It is hard to be disciplined, but we need to do it!
You’re making total sense of this. We are seeing the same thing here in Texas. Just kick back and ride it out
The Government providing stimulus is idiotic, Business owners assume a financial risk when starting a venture, theirs nothing written in the fine print of a business start up or a large family that continues over indulging that when the crap hits the fan to not worry the government will keep you afloat.
We are buying repo's from Westlake Financial; we have to work harder on these units, but once they run it through the auction once and they have a "no sale", they will generally sell it no matter the loss. I have always said that repo's occur in the F&I office at the new car stores.
Lol i been seeing some people who never had money for nothing buying bottles and good food splurging and going out like its nothing
I'm right there with you, people are not financially littered. I'm gonna wait all this out and come out with deep pockets
Nothing makes sense right now. All used cars are up, not just toys. Even $3,000 cars are now $4,500 cars, etc. It’s not people financing. Cash buyers too. Weird times.
I’m down on the cape.... seeing a lot of NY plates on October... more than usual. Also have a small business, and LOST EVERY employee because they were/are making more money being unemployed. Some of my customers are already complaining and are worried about their missed rent payments because they were not smart (aka stupid) and thought the missed months would be forgiven. We are headed for a disaster and some representatives want to bail out failing states along with people. Ugh
12:18 14:36 its interesting you talk about this and put something like this up, as a dealer tech i was literally looking at the guy next to me and asking him "what do you think will happen during the winter months?", i have no idea what will happen but im scared of what will happen next/ how bad it may/will get, thanks for the share, i agree with you, really interesting to hear your thoughts from a dealer/car lot owner perspective
finally uv been revealed u know how to hustle and arent afraid to call people lazy i respect u 2 my grave
I’ve been telling my wife the same thing! Good video!
Thank you you are right no question about it god bless
Not sure about some of your early generalizations, but good thinking and planning on how things are likely to fall apart and how to take advantage. "Be fearful when others are greedy and be greedy when others are fearful" --Warren Buffet
Here's one for you...sold at Copart just a couple of days ago. 2002 Chevy 2500, 6.0L gas engine, 4WD, crew cab, 86k miles...sounds great, right?!?! Well...it had severe hail damage, rockers completely rusted out, bed sides rusted, scratches and dents all over, interior trashed w/ pieces missing and couldn't drive it to see if, for example, the trans was ok. Literally the kind of truck I would have passed on for $1500.00. Sold for...$7500.00!!!!!!!!!!!!!!!!!!!!!!!!!! WTF is wrong with people???
You hit the nail on the head, but so many people are going to spend the money like they hit the lottery and then the bottom will fall out
Preaching To The Choir Brother I Couldn’t Like This Video Enough. As A Small Shop / Business Owner These Are all The Same Things I Say. Keep Up The Content!
Very well said. I work on the wholesale side of the Powersports industry. It’s been a dumpster fire for two years. Hoping for some sort of normalcy in ‘22. And hoping my 2014 pickup lasts because I’m not buying a new one for a good long while.
great video.. very much appreciated. most realistic outlook.. definitely sharing your video.
You are so right on about being careful with money. I've seen so many people buying new cars it's hard to believe. All I can say is getting into the repo business is going to be very lucrative shortly. I have been hanging onto my 💰money💰
I just stumbled across your boat videos good luck with that thing that’s awesome I’m in New Hampshire resident as well but this video right here speaks volumes to how people are self missed lead about what is going on in the economy awesome information brother
And I just hit the subscribe button and notifications bell brother
Good advice and video , also it's nice to see someone who's trying to do the right thing ,make a living and still help others along the way .
Too bad I'm 1300 miles away or I'd definitely stop by next time I need a vehicle .
Good Job
Bob
Im continents away but im blowm by him
I spoke to a car saleswoman just 3 days ago...the reason used cars prices are high is because all the manufacturers shut down production. No new cars means no more units coming to market which means people who need to replace their clunker can't buy new.
The GM dealer next to my shop has so few cars they have turned their trucks along the front sideways with a full car space in between just to make it look like they have inventory.
The rep I was talking to said that normally you couldn't put one more car on their lot if they turned it sideways. Now? They have space for over 80 cars.......
The Toyota dealership I work for normally has room for 800 cars but we are now hovering around 300, if that. We don’t have any Tundra’s. Only 5 new Tacoma’s
@@thecedars0612 Yeah, that's it. 800 and that's a pretty big dealership. I bet the only toyota dealer in my area probably has room for 150 max and I bet they don't have 30.
The big gm dealer next to my shop has room for mayeb 300 new and 150 used and I bet they don't have 30 new. They usually have 80 or so pickups and I bet they don't have 10.
This is different from usual I really enjoyed this, great advice for people to think about.
Good points. Watch your cash flow and build cash for times when good deals become plentiful.
You just gave me the most helpful information that I didn’t realize I needed
Makes sense, I wondered why cars were going higher than usual at the auctions!
I see alot of people at work spending money on toys. I am saving for the next 2 years at least until I see the situation getting better ,and then I will continue to save .
You might not be taking into account that no one can travel. You can't go to Europe, you can't go on a cruise. You probably aren't going anywhere so you spend your money close to home. This is why RV sales are insane right now. What I could buy last year is doubled now and RV parks are full. I think it will take a year or so to get back to normal. I agree on unemployment. The money is way more than most would make normally.
100% facts...you are so right on it
Yes, you are correct in visual perception. The markets are oversold and currency quantitative easing or money printing will eventually stager the economy. Forclosures and repos will be coming quite soon.
Awesome Info man, really appreciate it. Especially as a new Used car dealer myself. With your videos/help it doesn't feel like I'm going in this alone. Plus stepping foot in the water im getting a feel for the industry.
You just posted up from straight-up facts right there... And people are not realizing that once the faucet closes you're going to realize how many buckets of Gallons could have had
We sold our home near Microsoft last year, took our chunk of equity to the RDU area in the Fall/Winter. I knew what was coming, so we had been shopping around for somewhere to move that we would like & would thrive. Bought an F350 SD (friend's dad passed) and a 20' cargo trailer to move our stuff- not spending $30k to have United or such to move across the country-and at half the expenditure, & I keep the assets. No toxic debt, no increase in lifestyle, no car payments, and not planning to go nuts
I'd never thought about the "45 days" topic. Great idea!
I noticed that a number of the area used dealers were low on inventory. Now I understand why. My wife got laid off and then let go. We put every cent of the extra stimulus in the bank in case it gets worse. Now I know I am not crazy. My sister works with a lot of low income folks who are now coming in to her office saying that they are being evicted because they put off their rent and also blew the money. You have to be smart about money whether you have it or not. Getting it doesn't suddenly make you smart about it.
Sold my SUV and bought a new car with the proceeds since prices are crazy. Don't spend money you don't have and have a plan B
Brand new @ 0%?
Hank W actually got the Mazda with zero percent. Free money if you take inflation into account
I like your statement You are not an economist, but you are because you are seeing what is happening and realizing it and doing something about it. I agree bad times are coming, be prepared.
Wow my guy I really appreciate this one. 💯 thanks for the positive and knowledgeable advice.
Hey bro! I'm super into your channel. I've been watching for a few days now and I'm just getting in the game. Hoping to provide for my wife and 7 kids with something like this. Thank you for being honest and showing us what you do and how you do it. I thank God for the insight I get from watching your videos! I hope to have my dealer license soon! I already bought 4 cars hawking fbm in my area. Going to clean them all up and get them sold! See you on the mountain top! First, let's get through this valley! Peace and blessings be upon you and your family in these dark times!
45days from now. Stop dwelling on the past. Keep moving, be smart. Thanks bro
A lot of businesses are doing the same things that the customers are doing. Multi- billion companies have gotten used to being bailed out, remember 2008 & used certain programs to do it again. Watch.
You are right Craig, I can't get my employee back to work and can't find a good replacement employee because of these stimulus checks, or at least partially because of that, and I have other friends that own business' that are having a similar issue.
Summer 2021 and the situation with overpriced cars is even worse, at least here in Europe.
I'm emptying my yard and going to take a long holiday, rather than find myself with an overpriced snd unselling stock.
So I have to agree with exactly what you said with the used car market. I had been looking for a 15-17 F150 supercrew. Everything around here in New England is low 30k to mid 30s. I ended up expanding my search in the end of December and found a 15 supercrew XL with less than 50k miles for less than $26,000 (sat on lot for about 4 months when I bought it) Drove the 600 miles and bought it.
Retail current on her (asked my local Ford dealer what they would put her on the lot for) is around 29,500 to 31k due to low mileage and excellent condition.
Paid to wait and drive 10 hours one way to the middle of no where.
Oh, and she is very nicely optioned out for an XL package. 42k when brand new.
I'm seeing this late but your information is spot on confirmation. Thanks for the insight.
I watch your channel frequently because I'm a gear head, but I'm also an economist, and although you are not, your advice on this topic is as sound and wise as I've heard from any economist, maybe more so since you seem to have a better understanding of how consumers have actually been behaving during this pandemic. Your take here reinforces my long-held view that the realities of operating a small business provide as much, if not more, insight into the economy than most formal books, classes, or research reports. A+
Thanks, very nice wake up call video to see the economy from the business mindset.
This is hands down the most informative video I’ve seen you make. Also, have to say you were right a few months back when you said prices were going to increase as prices were tanking.
Thank you for taking the time to make this comment
People aren't buying new Cars so the trade in market is dead Hence limited supply of used cars.
Lots of good points. The economy is not as thriving as you have lots of people unemployed. They are not creating goods and services to society, but they are consuming goods and services that society produces thanks to cheap money from the Federal Reserve. This is creating asset inflation all over the place. It is completely unsustainable.
I understand your reasoning with unemployment. What about me? I’m unemployed and losing a whole lot of money being unemployed so when some are “making money” a lot are barely making it by.....I thank god have a saint of a wife and she has saved and saved and saved all of our money! I’m in a good spot almost debt free with a house and 4 vehicles, but I am saving every penny and not spending! Ty for your video!
I haven't bought a single car at auction in 2 months. I agree with you, I'm not paying retail to sell at retail! Everything I have is paid for, so I have very little overhead....I'll wait out the madness!
Craig, sounds like a great time to sell the R8 and buy a Jeep for the winter.
And a Motor Home 🏡
The problem with your analysis is that with all the money being printed inflation will ensure car prices will not drop in the next 6 months. If the banks repossess the cars from the unemployed, it will not change this fact. Your empty lot will keep getting more and more expensive to fill.
This all remains to be seen. Printing money tends to devalue the dollar, but recessions prevent inflation pretty well, and depressions carry the risk of deflation. I remember thinking that all the money Reagan printed would lead to inflation, but instead it led mainly to national debt without the expected inflation/devaluation. The balance of new vs used car prices is strongly affected by how loose the supply of credit for car loans. As new car sales totally crash, the carmakers or government might make that supply of money very very loose, even to people whose credit got destroyed during the crisis. If they qualify people who are poor with good credit, or middle class with good credit turned bad, or anyone recently unemployed, for 0% loans and no payments for a year, then suddenly everyone buys new, and used car prices come back down to Earth. Sure, it kicks the can down the road, but since when have politicians from both parties not been willing to kick the can down the road with bandaid solutions? Buying a new car when you don't even have a job to drive it to, isn't smart unless you need the car to live in. But with the right incentives, people will buy now and worry later. And you're totally wrong about a big flood of repos not putting downward pressure on used-car prices. Simple supply and demand, it pumps up the supply, and the now-carless people who lost those cars clearly can't afford to buy them back, so it doesn't raise demand in any meaningful way, except on super-cheap cars they can get for cash. The prices of the very cheapest used cars will remain very strong, everything else will suffer from mass repos.
Interesting guy - personally I think it’s good advice - I love just watching him talk about buying cars
We need to educate our young. They can benefit now being at home if parents present lessons about economy and being able to live without the frills. Thanks so very, very much for your insights on many levels. You educate where it will count if folks wake up and see what you see. God bless you!
You earned yourself a sub here my friend, well spoken
I really appreciate you and your channel . god bless your family and you.
you are totally right, but the people that should be listening and paying attention and heeding your advice won't, they will live hand to mouth there whole lives, most folks have no savings, and then other folks have a five year bank roll, it will never change, feast or famine.
I think that’s one view about the stimulus and people leaving these metro cities. I saved my stimulus check and spent it on mostly repairs around the house and my car...
This weeks episode of money matters
I agree 100%, but it's disappointing that 3 months after this video was made, we're still in exactly the same boat. Everyone is still spending like there is no tomorrow. Like you, I've paid attention to enough boom/bust cycles to know what's coming, but I get impatient.
Yep I’ve put buying cars on hold at the moment in Australia 🇦🇺 crazy prices here and can’t make any money on the crappy cars that are out there
I just bought my first 6 cars in three months, most of May, all of June, all of July, and part of August:
No wholesale purchases.
And the steering wheels are on the wrong side
Aussie prices are almost always way higher
If ya can make it in Australia ya can make it anywhere 😁
I saw this inflated pricing from where cars were at last year!!! Some cars are higher priced that they were a year ago by $8k
Especially trucks