Used Cars (Dealer) AFTER COVID-19

KirkZ24

KirkZ24

Well-known member
So I were looking at a Used car just prior to COVID-19 but decided to wait to see how things would work out through this whole pandemic.

When the dealerships start to open up.... Do you in the used market they will be more thirsty to make deals? Will the loan rates go lower? higher?

What do you think the used market at the Dealerships will look like Post Covid-19?
 
Logically the market prices could go lower because the demand will lower down, but in the other hand the dealers are packed with new cars that keep coming in and no cars are coming out, so the deals will be way more agressive in the new cars market and that's going to hurt the used cars market since the gap between the 2 will be marginal and not worth going with a slightly used car

I don't think the interest rates will go lower but they won't go higher
 
Le marché de l'usagé dépend du marché du neuf. Comme dans le marché neuf, les lignes de production ont été fermées quasi en même temps que les dealers, ceux qui voulaient changer leur véhicule pour un neuf n'ont pu le faire. Conséquence, c'est le statu-quo. Il ne faut pas s'attendre partout à des deals dans le marché de l'usagé. Au pire, les proprios de véhicules vont down-sizer pour un autre véhicule mais pas de deal du siècle!

De toute façon, quand t'as une MINI Cooper S, pourquoi tu voudrais changer? Kirk, t'as vendu ta Cooper S??
 
Manufacturers will subsidize the interest rates / offer incentives on new cars. They won't cut a check to Jimmy's user car emporium "for their troubles".

I think used dealers will go by the idea that used car shoppers either think they're already getting a great deal or wouldn't qualify for the gucci finance terms on a new car. Make it look like a steal by comparing to the MSRP (that even most new car shoppers wouldn't have paid) and hope that people don't cross shop / compare too much.

They'll be eager to get back in business and shift those units, but they don't have a truckload of 2021s coming in late august early september they need to make room for either.

I think interest rates will be ever so slighly lower, mostly on account of the central bank rates having been lowered. There has to be some healthy profits to offset the risk of these loans to make it work for the banks.
 
OEM wholesale will be around 10-20% less, maybe median 15% just to clear up the lease return inventory. The actual deals will be at dealers that have had stuff getting close to 90days.. 60-90 days is a long ass time in inventory. They might even take a small loss to clear up the floorplan.
 
Also in the market. Have sent of few request for CarFaxes to some dealers and no-one responded yet. Also looking to see how low the interest rates will be, might be a good time to pick a car up if they're willing to play ball.
 
I think some people will let go of perfectly good cars for pennies on the dollar through a trade in so that they don't "miss out" on the discounted new cars.

That's gonna funnel even more inventory into the used dealerships. It's got to drive the prices down. Question is: will now be as low as it goes for used cars? or will this be a longer term process. It'll be interesting to see how it plays out.
 
The only people who will be trading in stuff are those that are driving something 8-10 years old in questionable shape. Those cars will then end up on St Jacques at Ali Baba Car Warehouse, buy here pay here at 30% interest. Actually those people will just likely go there directly
 
Gregster said:
The only people who will be trading in stuff are those that are driving something 8-10 years old in questionable shape. Those cars will then end up on St Jacques at Ali Baba Car Warehouse, buy here pay here at 30% interest. Actually those people will just likely go there directly
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Doubt it. Big discounts and easy credit will mean lots of late model ram 1500 sport with the hood scoops getting traded in on newer ram 1500 sport with the hood scoop AND black rims.

New Car! Same payments! Bro/ Dude! (on 96 months)
 
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Honestly I was going to lease a Genesis G70 AWD last winter but I decided to wait until spring 2021 - boy am I glad I did. I'd have a new car with new car payments and nowhere to go.
 
Yea and those people drive cars in the range i posted... Usually with high ballon payments. What do I know
 
J'ai 2 chums qui se sont ouvert un petit garage de used/wholesale

Le wholesale est mort mais ils en profite pour laver et refaire la mise en marché des used et il en vend régulierement.

IMO ceux qui veulent et qui travaille vont s'en sortir.
 
Il va peut-etre y avoir plus de monde qui voudront s'acheter une voiture car ils ont la chienne de prendre le transport en commun...
 
Gregster said:
Yea and those people drive cars in the range i posted... Usually with high ballon payments. What do I know
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8-10 year old is pretty old. The average truck around here is much newer. Big advertised discounts, new models/generations, low gas prices?

Gainfully employed truck fans will go for it big time. The Hyundai Sonata owners club tho? less likely.

It will impact different segments/markets differently that's for sure.
 
kahos said:
Doubt it. Big discounts and easy credit will mean lots of late model ram 1500 sport with the hood scoops getting traded in on newer ram 1500 sport with the hood scoop AND black rims.

New Car! Same payments! Bro/ Dude! (on 96 months)
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It was already like that before the pandemic
 
Jeentonik said:
It was already like that before the pandemic
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Yeah but wouldn't it amp it up? Get the message out in the papers / radio / tv that these are "once in a lifetime discounts" and people that were looking for places to go to dispel the cabin fever will end up at the dealership again.

I bet you they have the cheapo block lift kits and wrong offset wheel packages all lined up to be bundled in.
 
Well, just to be clear... my question was more aimed towards Dealerships that sell NEW cars (BMW, VW,) . Not those Mom and Pop places that sell 8-10 year old cars.
 
I'll def be going into a few dealers to see if they are willing to buyout my lease in order to put me in another car.
 
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