How much less 'should' one expect to pay for a car

[grateful1]

My girlfriend is looking at a 2006 Subaru LL Bean Edition or maybe a 'managers' 2009 model(similar).

I looked at KBB and NADA and others...but what are prices REALLY like?

I can only imagine auction prices have dropped, as I've been watching the classic car auctions dip deep....so, the late models must be following suit.

Any ideas / thoughts?

 

[cajunblaze]

Gary,

I have seen just the opposite happen in standard car auctions. The prices are throught the roof. We are paying 10 to 20% more for cars at the auction than 6 months ago. When new car sales are down the market for "program" cars skyrocket. Most car dealers are not even buying at the auction right now and just counting on trade-ins to get sales. Financing for the program car is very difficult, unless you have money to put down. We buy them way above finance value and the banks want to be 90% of value.

The average auction price for the 2006 she is looking for runs about 16k. After auction cost and transportation cost you can expect a dealer to have close to 17k invested in that car. There was a total of 7 cars sold at auction in the past 2 months, I would expect to see it on the lot for around 19k to 20k.

I hope this helps.

Rich

 

[grateful1]

Sure does...and it makes sense! <go figure>

This one was auctioned in the March timeframe....but we are coming up with the same numbers!

Thank you, VERY MUCH!

 

[SPIVY]

Gary,
I can check current auction prices for the car. Give me a sec

 

[theroberthogan]

Talk her into getting a Chrysler, Dodge, or Jeep. 44,000 of these vehicles have been stranded at the lots of the dealers who will soon be closing. These dealers literally only have a few weeks to sell these vehicles or they will have to take them as losses since Chrysler won't take the cars back.

I wouldn't be worried about Chrysler supporting their vehicles down the road. The deal with Fiat will keep Chrysler alive for a long time. If I didn't have another year left on my lease I would be purchasing a Wrangler right now.

 

[grateful1]

Talk her into getting a Chrysler, Dodge, or Jeep. 44,000 of these vehicles have been stranded at the lots of the dealers who will soon be closing. These dealers literally only have a few weeks to sell these vehicles or they will have to take them as losses since Chrysler won't take the cars back.

I wouldn't be worried about Chrysler supporting their vehicles down the road. The deal with Fiat will keep Chrysler alive for a long time. If I didn't have another year left on my lease I would be purchasing a Wrangler right now.

She took a 4dr out...too bumpy.

Yea...I tried to get he into a Charger R/T AWD...but visibility was not good....not even as good as my Magnum she said.

Oh yea, she said 'The Charger didn't have that HEMI SOUND like yours.' HEHEHEHEHE...gotta love K&N!!

Nothing else really jumps out(other than a Challenger ) ......Black on Black of course!

If my Magnum were not near upside down, I'd think about going to a dealer and buying a car for both of us.

So...she's stuck on a 2007 Solstice or an 06ish Subaru.
(She keeps her current car if she gets the Pontiac).

 

[bfreebern]

Talk her into getting a Chrysler, Dodge, or Jeep. 44,000 of these vehicles have been stranded at the lots of the dealers who will soon be closing. These dealers literally only have a few weeks to sell these vehicles or they will have to take them as losses since Chrysler won't take the cars back.

I wouldn't be worried about Chrysler supporting their vehicles down the road. The deal with Fiat will keep Chrysler alive for a long time. If I didn't have another year left on my lease I would be purchasing a Wrangler right now.

I wasn't aware of this. Either way seems they'll be taking a huge hit on the left over inventory. Wonder how cheap I can get a new Wrangler, LOL.

 

[cajunblaze]

The excess inventory that the closing dealers have, will be picked up by nearby dealers. I have committed to half of one dealers inventory on June 7th. Other dealers I know are helping others out with their inventory. By the way Jeeps are very hot right now, and getting very scarce. If a dealer calls me for one of my trucks., I'm getting a jeep back!


Rich

 

[Delta]

I have been looking to pick up a mid 90's land cruiser or a early 00's grand cherokee for a trail rig with a little bit of luxury mixed in. (wierd, i know.) The prices are not great right now.

 

[The Green Monkey]

Depending on how your girlfriend likes to drive and what her needs are for the vehicle, she might also want to consider an 05-07 Legacy GT wagon. The Outbacks have a cushier suspension, higher clearance, bigger tires, etc. to facilitate off-roading, whereas the LGT is tightened, lightened, and lowered a bit in order to excel on pavement. I've got an '07 LGT and as long as I'm at an 'only practical to own one car' stage of my life, I wouldn't trade it for anything short of an M5 wagon, an E63 AMG wagon, or an RS6 Avant. It's a total sleeper with wide-ranging practicality. Gas mileage leaves a bit to be desired, though driving style certainly makes a huge difference. My wife can get 28 easy whereas I'm pleased with 18.

 

[grateful1]

Depending on how your girlfriend likes to drive and what her needs are for the vehicle, she might also want to consider an 05-07 Legacy GT wagon. The Outbacks have a cushier suspension, higher clearance, bigger tires, etc. to facilitate off-roading, whereas the LGT is tightened, lightened, and lowered a bit in order to excel on pavement. I've got an '07 LGT and as long as I'm at an 'only practical to own one car' stage of my life, I wouldn't trade it for anything short of an M5 wagon, an E63 AMG wagon, or an RS6 Avant. It's a total sleeper with wide-ranging practicality. Gas mileage leaves a bit to be desired, though driving style certainly makes a huge difference. My wife can get 28 easy whereas I'm pleased with 18.

Yea..we tired the Legacy stuff...not into it that much.

I did look into an Avant :whistling:

 

[Rod]

Tell her to go to the dealership the last day of the month, and start negotiating 2 hrs before they close. Seems to work.

Used cars are hot right now, so deals aren't that great unless you work over the salesman. If they're not willing to negotiate that much, go elsewhere. End of the month, late at night does indeed help. Good luck!

 

[themoneycollector]

For used cars, I would look into private sales only. I think right now used-car sales are selling well at retail and auctions.

I'm curious to see if there will be any significant price reductions on new car sales on closing dealers? On one hand, they have inventory to sell, but on the other, they are losing the mfg incentives & promos which would offset the price.

 

[theroberthogan]

For used cars, I would look into private sales only. I think right now used-car sales are selling well at retail and auctions.

I'm curious to see if there will be any significant price reductions on new car sales on closing dealers? On one hand, they have inventory to sell, but on the other, they are losing the mfg incentives & promos which would offset the price.

Dealers will do everything in their power to sell their inventory before they shut their doors, even if they have to sell below cost. It's better for them to write off a small loss on a car they get out of inventory as opposed to a big loss on a car that sits in inventory.

The excess inventory that the closing dealers have, will be picked up by nearby dealers. I have committed to half of one dealers inventory on June 7th. Other dealers I know are helping others out with their inventory. By the way Jeeps are very hot right now, and getting very scarce. If a dealer calls me for one of my trucks., I'm getting a jeep back!


Rich

Rich, what is the logic behind picking up the extra inventory? I can't imagine that the majority of the Chrysler models are selling well enough right now to have excessive inventory on the lot. Unless you are getting the extra inventory way below invoice or you are picking up some hot models that you can actually move quickly, what's the reasoning?

 

[Marco-Polo]

I can only imagine auction prices have dropped, as I've been watching the classic car auctions dip deep....so, the late models must be following suit.

I would be surprised if "normal" car prices didn't rise significantly, especially for late models. They're an alternative to new car purchases (which have fallen), but people aren't driving any less. Especially for fleet, lease, and rental cars, which are turned over on a regular basis and are not "held on to longer", so to speek.

Classic cars are luxury items, not daily drivers, so they'll be falling like any other luxury good.

 

[grateful1]

Rich, what is the logic behind picking up the extra inventory? I can't imagine that the majority of the Chrysler models are selling well enough right now to have excessive inventory on the lot. Unless you are getting the extra inventory way below invoice or you are picking up some hot models that you can actually move quickly, what's the reasoning?

He'll still get the kick backs...and a good price?

Correct me if I'm wrong, but dealer to dealer transfers are not sales...regarding kickbacks/incentives?

Rich - you don't have to answer this one.

 

[Mr Peat]

I can definitely say used cars are becoming hot. I've had many offers on my poor ole 1981 Caprice Classic this year. People are actually stopping at the house and asking if its for sale. :0

 

[Les Nessman]

Generally speaking, both the KBB & NADA are high with KBB being the highest w/ respect to vehicle values.

I would suggest auto trader to get an idea for pricing. If its a new vehicle, I visit edmunds.com

They have a forum called buyers experience & prices paid (or something like that).

I found this very very useful when looking for my last car.

 

[cajunblaze]

For used cars, I would look into private sales only. I think right now used-car sales are selling well at retail and auctions.

I'm curious to see if there will be any significant price reductions on new car sales on closing dealers? On one hand, they have inventory to sell, but on the other, they are losing the mfg incentives & promos which would offset the price.

Dealers will do everything in their power to sell their inventory before they shut their doors, even if they have to sell below cost. It's better for them to write off a small loss on a car they get out of inventory as opposed to a big loss on a car that sits in inventory.

The excess inventory that the closing dealers have, will be picked up by nearby dealers. I have committed to half of one dealers inventory on June 7th. Other dealers I know are helping others out with their inventory. By the way Jeeps are very hot right now, and getting very scarce. If a dealer calls me for one of my trucks., I'm getting a jeep back!


Rich

Rich, what is the logic behind picking up the extra inventory? I can't imagine that the majority of the Chrysler models are selling well enough right now to have excessive inventory on the lot. Unless you are getting the extra inventory way below invoice or you are picking up some hot models that you can actually move quickly, what's the reasoning?

Due to the situation of not knowing what was coming, dealers for the most part, ordered very light from the start of the year, or just cars they knew would sell well,(ie I only oredered Jeeps one month)so inventory was lower than usual. Since the bankruptcy will delay orders for atleast 8 to 16 weeks, you will need the extra inventory just to have something to sell. Even customer orders placed 4 weeks ago can not be delivered until the court case is done. We are actually doing very well and things are selling. But if you want a Chrysler product within the next 2 to 3 months the inventory will be slim.

Rich

 

[cajunblaze]

Rich, what is the logic behind picking up the extra inventory? I can't imagine that the majority of the Chrysler models are selling well enough right now to have excessive inventory on the lot. Unless you are getting the extra inventory way below invoice or you are picking up some hot models that you can actually move quickly, what's the reasoning?

He'll still get the kick backs...and a good price?

Correct me if I'm wrong, but dealer to dealer transfers are not sales...regarding kickbacks/incentives?

Rich - you don't have to answer this one.

I don't mind.. :laugh:

Dealer to dealer tranfers are based on invoice and are not counting as sales. Dealers do not like to transfer because in most cases they do not get the holdback, which helps the cost of thier floorplan. The selling dealer will get the incentives when the sale is reported as a retail sale.

The kickbacks are gone, they go to the customers, if you don't give them to the customer you will not sell many cars. Believe me, dealers wish there was kickbacks. I do know Ford has stairstep programs if you meet your quota, but not gm or Chrysler, and that is only certain times of the year.

The dealers going out of business are offering the units at invoice minus the holdback, so it's just like if I ordered it myself for our inventory.

Rich