Discussion in 'Economics' started by wilburbear, Jun 7, 2009.
wont work. there are dealer to dealer auctions in every major city where these cars can be sold at at least close wholesale book value.
Most surviving dealers are literally stuck with as much as 380 day inventories on many vehicles as it is (yes, over a year's worth). The trucks and less popular vehicles are drowning them.
Wholesale book value? The dealers get wholesale when they order cars from Chrysler.
Watch this week. Poker bluffs will be called and there will be more blowout sales (there already have been massive fire sales).
The existing inventory will get sold off for around 40% off to public buyers, or it will go to auction if another (rare) dealer hasn't bit. If they have, don't think they're not absolutely ruthless with their offers.
Does that include Honda and Toyota... ?
not going to happen. too many used car dealers will snap them up at auctions. here is what is really happening. when i was in the used car business i used to travel long distances to auctions to find low mileage vehicles.
Of course the dealers are going to deny they're giving half off.
I can tell you as a matter of fact that it's happening.
I know a concrete contractor who just bought a 42k turbodiesel Ram for 24.6k.
Maybe not exactly half off, but nearly.
There are tons of people posting on Edmunds right now getting Dodge Nitros that had an MSRP of $29k for $14,800 (there's 50%), Jeep Compass's with MSRPs of $22k for $12,400 and Chrysler Sebrings with MSRPs of $25k for $13k.
Go to Inside Line and look at all the postings.
Got a local Chrysler dealer who's slated to close...basically given next to no time to sell off existing inventory.
The reality is, that about a week ago, it was reported due to sales, other dealers cherry picking inventory by other dealers and things like that, there were under 2,000 Chrysler cars on closing dealer lots that had not yet been spoken for. One Chrysler dealer said he was down to 2 cars, and had no plans of selling them at fire-sale prices...
Dealers facing tight supply of SUVs, trucks
Lots of people are getting 50% off sticker for a new car. And the price can go all the way down to the cost to store the car. The manufacturers can make fewer cars - or none - but that is a large weight on the U.S. economy if the auto industry becomes extinct.
I've had to sell a few nice cars because the cost to store them wasn't worth it. Holding them becomes painful - as it is now for dealers as prices decline daily.
Hold out for a price that equals the cost of storage!
Separate names with a comma.