Used vehicles worth almost as much as brand new ones
#1
08-21-2012, 05:04 AM
Used vehicles worth almost as much as brand new ones
The supply of late-model used vehicles is low this year because Americans are keeping their vehicles longer than they used to. As a result, the cost of a year-old used car is now only somewhat less than that of a comparable new automobile. Have you been in the market to sell or buy a used or new auto? If this relates to you, learn more on our websites at Gus Johnson dealership Spokane.
Getting used automobiles sold
According to Kelley Blue Book, the keeper of car costs in the United States, automobiles that are a year old are selling, on average, for only 11.5 percent less than their brand new versions.
Juan Flores from KBB explained that that kind of gap had not been seen since 1998. It is just so small.
“It’s just crazy,” he remarked.
There is only a $126 savings with a 2011 Chevy Camaro that sold for $26,135, and a 2011 Toyota4Runner SR5 sold for $254 less than a new one, according to KBB. In some places, there is hardly a gap at all.
Paying more with the loan rate
You might end up paying more for a used car than you would a new car because pre owned car loan rates are much higher than brand new car rates typically.
The loan on a 2011 Honda Odyssey cost $7 a month less than a 2012, according to the Detroit Free Press.
Demand and supply curve
Customers are keeping vehicles longer and trading them in less, which is why there is an increase in used car costs, according to CBB. The used car dealers do not have a lot of inventory sitting on their lots. In 1997, the average car was 8.4 years old. Now, it is 10.8 years.
To be able to stay with demand, production has decreased by some automakers. The resale value increases when there are fewer on the industry.
The lease industry is almost non-existent at this point.
To Get The Utmost Offer On A Used Or New Car, Van, Truck or SUV Contact Honda Austin TX Without Delay!
Likelihood of lasting
The Detroit Free Press talked to used-car auctioneer Tom Kontos. He does not think the trend will last:
"At some point, something has to give."
Flores explained that the best choice right now for people is to buy new:
“As long as the consumer has not been hiding under a rock, they should get a good sense that the prices of a new and used vehicle are close together and that they should buy new.”
Older vehicles occasionally good
However, if year-old modern automobiles are comparable to new ones, as manufacturers suggest, then a bargain is still a bargain.
Jerry Ojeda, sales manager at World Jeep Chrysler Dodge Ram in Shrewsbury, N.J., said that his consumers still inquire about used vehicles more often than brand new ones. He said:
“They’ll still go with a used car to save $20, $30, $40 a month.”
Sources
Daily Record
Poughkeepsie Journal
MSN
Getting used automobiles sold
According to Kelley Blue Book, the keeper of car costs in the United States, automobiles that are a year old are selling, on average, for only 11.5 percent less than their brand new versions.
Juan Flores from KBB explained that that kind of gap had not been seen since 1998. It is just so small.
“It’s just crazy,” he remarked.
There is only a $126 savings with a 2011 Chevy Camaro that sold for $26,135, and a 2011 Toyota4Runner SR5 sold for $254 less than a new one, according to KBB. In some places, there is hardly a gap at all.
Paying more with the loan rate
You might end up paying more for a used car than you would a new car because pre owned car loan rates are much higher than brand new car rates typically.
The loan on a 2011 Honda Odyssey cost $7 a month less than a 2012, according to the Detroit Free Press.
Demand and supply curve
Customers are keeping vehicles longer and trading them in less, which is why there is an increase in used car costs, according to CBB. The used car dealers do not have a lot of inventory sitting on their lots. In 1997, the average car was 8.4 years old. Now, it is 10.8 years.
To be able to stay with demand, production has decreased by some automakers. The resale value increases when there are fewer on the industry.
The lease industry is almost non-existent at this point.
To Get The Utmost Offer On A Used Or New Car, Van, Truck or SUV Contact Honda Austin TX Without Delay!
Likelihood of lasting
The Detroit Free Press talked to used-car auctioneer Tom Kontos. He does not think the trend will last:
"At some point, something has to give."
Flores explained that the best choice right now for people is to buy new:
“As long as the consumer has not been hiding under a rock, they should get a good sense that the prices of a new and used vehicle are close together and that they should buy new.”
Older vehicles occasionally good
However, if year-old modern automobiles are comparable to new ones, as manufacturers suggest, then a bargain is still a bargain.
Jerry Ojeda, sales manager at World Jeep Chrysler Dodge Ram in Shrewsbury, N.J., said that his consumers still inquire about used vehicles more often than brand new ones. He said:
“They’ll still go with a used car to save $20, $30, $40 a month.”
Sources
Daily Record
Poughkeepsie Journal
MSN
#2
08-22-2012, 01:02 PM
I have been looking at new Corvette grand sports lately and a new GS starts at $54K for the 2013 I wanted to wait and get a break on the 2012's but they only knock off 4K. And the used 2010's are only 7k less. They used car retail is high but they win't pay you anything for them.
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