The latest consumer-price index has confirmed that car prices are going nowhere but up. With new models selling for above sticker rates, and used-car sales hitting record highs, it can be difficult to find a good deal anywhere in the market.
Ivan Drury, an automotive analyst from the popular car website Edmunds.com says “All of what you thought you knew about car buying from last year, two years ago, six years ago, however long it’s been since you were in the market, has changed,”. He also said, “So many dealers are saying ‘We want used cars,’”.
“As is always the case, the new car and used-car markets are tied,” Cars.com executive editor Joe Wiesenfelder said. “High prices in one affect the other, and that’s where we are.”
Angela Hill, a 36-year-old Orlando recruiter with her heart set on the sleek 2021 Honda Civic Hatchback EX in white. She looked at used 2020 models and was dismayed by their high prices as well as the thousands of miles they had already driven. Despite calling around to multiple dealers who were willing to negotiate on price for new cars, she says, “They’re just not going to because it’s their market,”. She has been watching YouTube videos for help as well as help from auto consultants to assist her.
Analysts claim there are still ways to score a deal, as long as you do your research.
Here’s what to consider if you’re in the market for a vehicle:
New Vs. Used Cars, Everything Has Changed
It’s hard to find a new car that doesn’t cost an arm and leg. However, this global chip shortage has led people looking for preowned vehicles into the market. The more they buy used cars, the less available inventory there is in dealerships around town!
The Internet can help you research cars without having to go into a dealership. Car advice sites will allow you to find out information on makes, models as well as reviews and prices of used or new vehicles. Whether it be better deals for buying more expensive luxury brands or cheaper options for someone with less money, these sites give people what they need in order to make an informed decision when looking at purchasing their next car.
According to J.D Power’s research, You can save a lot of money for the same car by purchasing it used, with a 14% average increase in new cars prices since last year and 24% increases on used vehicles compared from June 2020.
You Can Consider Purchasing a Sedan or Another Older Used Car
Matt Dundas says, some consumers who can’t find new models are considering used models with low mileage. This might be a good idea for those willing to buy an older car, because they will have less competition from buyers of newer cars looking at higher-mileage vehicles and the prices may be lower than if you were competing in this.
Leasing is a Great Option
If you’re feeling discouraged after finding out that your favorite color or brand is too expensive, consider leasing a car for the short term to see if things get better.
Go For Realistic Discounts
There are many discounts available for people with certain qualifications, such as college graduates or military members. Some also offer a friends-and-family discount to select manufacturers’ products.
Trading in Your Car
According to Consumer Reports, “Many buyers prefer to trade in their current vehicle when getting another one, because it’s easy. All they have to do is drive to a dealership, sign a few papers, and drive away in a different vehicle. They can apply the trade-in credit to their down payment, reducing the amount they need to finance”.