| Vegas69 |
08-07-2021 11:05 AM |
Quote:
Originally Posted by Spiffav8
(Post 714312)
My guess is new car prices (MSRP) will stay on track with inflation. Once the chip shortage is resolved (maybe end of next year) manufactures and dealers will want to move product, but also need/want to make every dollar they can after a couple of years with little coming in. I’d expect to pay close to MSRP. If that happens, I would expect the used car market to remain over priced. Or it could be a total blowout by manufactures flooding the market with new cars and destroying the used car market. I’m never right on this kind of thing.
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To a large degree, it's all relative. My used car I plan to trade went up in value 10% so the spread is less imposing to upgrade. The inflation will hurt buying power a little. It's the first time buyers and those looking for a major upgrade that will get blind sided with debt.
Perhaps the market was due for some natural inflation, but I see it as vastly overheated at the moment. When a Toyota RAV4 is selling for 5-10k over MSRP, that's red flag for me. HA That's impulse, impatience, and supply and demand at work.
As the tide goes out, it always comes back in. I agree inflation will play it's part and we'll likely settle into a more reasonable market in the short term. At some point people run out of money and optimism. But hey, I've been wrong a few times. ha Personally, I'll do my best to stay content with the perfectly fine vehicles we have in the garage. |
