I don’t get that chart either.
Yes, Y/Y price change (as the title says), for the different classes of vehicles by age.
In an interim settlement with their creditors during the ongoing bankruptcy, Hertz has agreed to allow their creditors to sell nearly 200k vehicles by EOY.
https://www.sec.gov/Archives/edgar/data/47129/000110465920086142/tm2025510d1_8k.htm
THC in its capacity as servicer, shall dispose of at least 182,521 lease vehicles between June 1, 2020 and December 31, 2020, inclusive. The proceeds of the dispositions, subject to certain exclusions set forth in the order, will be used to repay debt incurred under the ABS;
· THC, in its capacity as lessee, will pay in cash a total of $650 million of rent in equal monthly installments from July to December, which rent will result in additional principal
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Ok, update and I also learned a few things.
Closed a deal this weekend. What I learned.
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The market is hot right now. Every dealers here are low on inventory on both used and new. That’s the biggest surprise. Why this is, no one seems to have any idea.
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The days of haggling seems to be gone. Even small dealers won’t budge on price.
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One can still get a deal, assuming it’s not a hot selling vehicle by saving a list of the cars interested and keep checking prices. They all seems to use a system that automatically change price every few weeks.
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Car dealers have all gone Amazon on us? What’s the world coming to…
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I’m guessing the hot market is the reason why haggling appears to be dead right now.
COVID has oddly benefited white collar workers. We all WFH, eat at home much more often, aren’t taking vacations, aren’t paying for kids activities, etc. That’s a bunch of money that can now be spent on things like new cars and home improvements. HD, Lowe’s, and the local nurseries are packed every weekend with people buying stuff up. The government also cut a check for $2400 to most families. If you didn’t lose your job, there’s a nice chunk of change you can use on a car. RVs are also selling like hotcakes.
The vacations that people are actually taking… you guessed it, are road trips. Why not buy a new (or new to you) car and take one with you? When we were out in Utah in June, we saw more temporary tags than I could count. We thought it was crazy at the time, but it makes some sense if you think about it.
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When I looked a couple of months ago, a couple of the dealerships were sending most of their trade-ins to auction. They were keeping a few, but the used car inventory was lousy.
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good analysis, sullim4.
This hold true for the meantime, I just wonder when the whole economy is going to take a hit except for a few that works for cloud based operation. I work in critical infrastructure but our budget is getting wiped. All these will impact people’s life, even if it’s 10 years down the road.
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Supply was disrupted. So less demand but also less supply. Thats my take on it anyways.
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Planning to buy a new (to me) car in the next 2-3 months. Been hunting around… Read an article in Kiplinger magazine about a new search site. It seems interesting and did turn up some cars not found on cargurus and other search engines. Thought others may want to check it out also.
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They steer you to the app but you can search through web site. It is a bit hard to find!!
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Pretty crazy I can sell my car to Carvana through their instant offer for more than I paid for it (including sales taxes), 14 months after I bought it new. $2k more than I paid for it if I were to drive it to CA to sell it to them… ( They apply a “market adjustment” based on zip code)
Edit: actually that was as of a few weeks ago. Looks like the market adjustment in CA went from +$2k to -$500.
Now I would lose $200 if I gave it to them locally or lose $700 if it were CA.
2018 Honda Clarity Touring, 7000 mi, paid $28,400-$7,500 tax credit = $20,900. Carvana offer is currently $20,723.
Still pretty insane. Though I did find a unicorn deal when I bought it (~$2-3k under the best sale prices I saw in owners forums at the time)
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True, Carvana might give you an instant offer.
We have dealt with them in the past & Carvana does not give you the best price. But if you are in a hurry, & want cash fast, it might be the best way to go. In our case, we used Carvana to get a reasonable selling price. Then sold the car on our own.
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as my moniker attests…i was in the auto repair/diagnostic biz for 20 years. My advice…if you need basic trans and seating for 4 with all the new safety features…a new 2019 or 2020 Elantra. My family had had 4 of these and not 1 trouble item. No trips to dealers for warranty work…Each elantra had over 100k when we traded in. A 2020 Elantra SE (lowest of the line of 5 models) has all the safety features of the most expensive ones…and can be had for 18k. or less.They are out there with the 100k warranty
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Interesting. Carvana offer for my car came in almost $1800 more than the KBB instant offer. I would have to drive it to them. 400 miles one-way.
It does make me wonder if I should sell private party instead of trading it in.
There’s numerous statements in a reddit car salesman subreddit claiming that carvana is often paying more than any dealer would (with the lax inspection, too). And saying that it’s usually better to just sell to carvana than the dealer, even if it’s a trade-in situation with a potential sales tax credit. And they even tell their customers to do so if they like them. Or at least to check the offer there.
Carvana is a company still losing money because it’s in disruptor/start-up mode.
Private party probably varies by model how much difference, but you’d think it’d still be the highest
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I was offered less on CarVana and CarMax than on Car-aiglsList.
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Now, two weeks later they offer me $1k more, $22k…
And mfr incentives on new are a little higher than last month. I think I could sell and buy a 2020 of the same vehicle for a small profit if I drove to CA to purchase. (Assuming incentive valid with me not registering or living in CA. They told me it was last year – it’s a mfr to dealer incentive that Honda has region-limited, not mfr to purchaser.). Dealer in CA was ~$1k under invoice, then the incentive is $4500 = under $30k after CA sales tax, then $7500 tax credit.
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I put my car in Carvana just out of curiousity. 2012 Mitsubishi Outlander SUV with 125k miles. I paid $6,000 in 2018. Their offer is 3,148 and it says the KBB is 2,446… I am looking at cars in a 500 mile radius and almost all are around 6-7k.
I doubt I could buy a reliable car for $3,148 or $2,446… and I could definitely not get a reliable SUV for that price.
Seems like a super lowball offer. I imagine most people selling their car on Carvana are doing it for convience rather than trying to get a good price.
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Well, sure you arent going to find anything for the price they’re offering to buy it from you for; they cant pay $6k then sell it for $6k, there’s always going to be a buy/sell spread of $2-3k. Most of those options you see listed for $6-7k are ones that were purchased for $3k - be it cash or trade equity - just like yours (had you accepted).
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