Are Prices About To Get Better For Car Buyers? | Yossi Levi, @CarDealerShipGuy
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- เผยแพร่เมื่อ 29 ส.ค. 2024
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If you' re planning on possibly purchasing or selling a car in the near future, or just curious about how the latest action in the auto market are impacting your current car's value, you'll want to listen up to today's guest.
We're fortunate to be joined today by auto expert and car dealership owner Yossi Levi, who will give us his latest boots-on-the-ground reporting on the key trends driving supply, pricing & lending in the car market right now.
Follow Yossi at www.dealership...
Or on X/Twitter at @GuyDealership
#carprice #buycar #carlease
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We only need prices to drop 50% and we'll be good
If economic conditions lead to a 50% price drop; It won't be good.
@@privacylock855 you're right. It would be great
IMHO we get an 85% correction in all things, when all is said and done.
@@privacylock855 there has been massive asset infation due to low int rates in past. it needs to clear. all things find their real price eventually.
You're right. It would be GREAT!@@privacylock855
I hope the public wises up !!!
A NEVER ENDING CAR PAYMENT, leasing is NOT the way to get ahead financially!!!
i dont think renting cars is the way to get ahead. just another payment and then u don’t own it.
Car lots in my area are over flowing with inventory
Unless it’s a vehicle people actually want
I bet that's not the case for Toyotas! 😂
@@granitestateman942that’s because you can still get a new Corolla for mid 20ks. Trucks and suvs that use to be that price in other brands are at least 50k now…if you need a new vehicle go with the least price gouging
@@granitestateman942. Two Toyota models have defective engines; Tundra and Sequoia.
This video fits my present situation. I leased back in July 2021, my lease turn in is due by September- October 2024, unfortunately, in order to lease the same car would cost me almost double of what I’m present paying. Therefore, I’m having to extend my lease for an extra 6 months. I was told from the customer service rep I spoke with that 7-8 in 10 people are having to extend their lease’s. This all due to interest rates. I just passed a Hyundai, VW, Maserati dealerships here in the Miami area that are stacked to the guilds with cars, nobody’s shopping or buying.
Can you just do a buy out? My 20 year old car still works great. If you can't afford to pay cash for a new car, most people would be better served with a used car
The only car guy interview that makes total sense! Great job
There's a huge elephant in the room nobody is talking about! It's a bit taboo b/c it deals with UAW. salaries and 401k contributions going up by as much as 40% will be a huge cost to the legacy manufactures. Couple that with producing vehicles that arn't appealing to the masses....i hope we don't get forced to bail them out again.
Adam, first time seeing Yossi as your guest. I learned so much. The leasing car agencies have an issue because people are not bringing back their cars as the lease is expiring at the 3 or 4 year marker lease. So that shrinks inventory and builds older cars into their business model. Although, I'm not in the market to buy a new car, this information is so valuable for those that are thinking about buying one and know how to strategize in buying into the future. As a 72 year old boomer woman, my brain works on the hard wired scarcity mentality and hard work ethics that my dear parents raised me on. Not to brag, but to make the point that the last home I bought was with cash, but still drive my sweet 2013 Toyota Corolla. A home or an older car can depreciate, but taken care off and maintained during tough economic times, the opposite effect can happen. Thank you Adam for always caring to help educate all demographics but, especially the newer generations coming.
His advice is to lease a 4 year old Tesla. The car industry is doomed if he is representative of their thinking.
Not to totally discount this presentation…
The auto manufacturers have taken a lead from the dealerships.
Gouging. I bought one new truck in my life from a dealership at 21 years old, never to subject myself to such unethical behavior.
Buy used from prior owners ever since.
I suggest we go to price controls, it can’t be worse even with the government’s hands in it.
Oh wait, never mind, I like the way I do it better. I’m now 64 so 43 years never doing business with dealerships, learned my lesson early👍
💯
Price controls? 😂😂 How many times do such awful failed policies have to be tried before people learn?
Just get all these government environmental mandates (based on climate fiction) out of the way, rive the barriers to entry that protect big auto... and we'll have vastly more and better auto tech at much more affordable prices.
If it cost a higher price to manufacturer the vehicle during product inflation it’s going to cost more to buy them. Plain and simple
@@aprilgentile5438it’s more the corrupt dealers practices more than that, cut dealerships out.
Been shopping for a second car for about a year, prices have dropped a ton
🤣 sure they have
Where do you live?
Southern California. Shopping for a Hyundai sonata Hybrid, 8-9 months ago it was full price, then about 3-4 months ago it was 2k off, then it was 5k off. For a while the 1-2 year used was more than the new but now used is cheap. My goal was 20k out the door less than 15k miles, it was zero chance 8-9 months ago. Now I see 2021-2023 models around 22k sticker so I’m very close but may wait because it may overshoot or get very nasty soon
@@jeremiahbond2810 first, sad you liked your own post, second why would anybody on earth lie about this?
@@dangood2287 i dont like my own posts so it just proves you are a fool.
I know a lot of good UAW people, but I can't afford UAW prices. I want a toyota or honda at these price points. Its simply value :(
We have teenagers that drive and yes!!!! Car insurance has skyrocketed!
When you lease a car there is often a large payment to exit the lease and once again several thousand dollars if you go into a new lease and/or another big chunk of cash to purchase register excise tax and sales tax. There is no win for the consumer
The ford Maverick is not that small... It's about the size of pick up trucks of the 80s and 90s, which were ACTUALLY used for work. Today most pick up trucks circulate with empty cargo beds 90 to 100 % of the time... They're mainly for dudes who do not feel masculine and for some reason associate manliness with being in everyone else's way and running over children.
I absolutely love this guest.. and particularly what he said at the end!! I believe it is so much in line with Adams philosophy. Provide the service. enjoy the process and profit will come.
Great interview as always. Thanks, Adam.
75 million Boomers are no longer commuting to work. At 5,000-10,000 miles a year a car can last a long time. Add interest, insurance and gas. Who wants a new car.
Reminds me of the late 70's and early 80's with high inflation, interest rates and gas prices. At least in California contractors drove 4 cylinder Japanese trucks of all brands. The hot ticket for a young guy was to buy a Datsun 510 and turn it into a slot car with sway bars, spoilers, tuned exhaust and Weber carbs. The days of the Holley 4 barrel carb and big 8 cylinders were gone. It looks like those days are going to return. The same thing needs to happen to houses. My first house was 1230 square feet with three bedrooms. Worked fine for young family. Was happy to have it.
Exactly right. More people working from home too so there shouldn’t be as much car inventory needed. And if like the 70s we built smaller homes in grid pattern instead of cul de sac we'd quickly solve housing issues.
Excellent discussion, tank you for having Yossi on
Thank you both
You can work an entire car deal remotely! Then you’ll go into the dealership sign and leave with your new car. I would’ve recommended going with the #1 sales person. Many are that way because of preferential treatment. Read the staff reviews and choose a person who matches your criteria and values.
This is really insightful! You can actually get a very good understanding of the current economic condition, as the sales of most of the goods are correlated. When people have money, they buy everything; when they don't, they stop buying. This episode is better than looking at some of the economic reports and numbers, which can be manipulated and inaccurate.
Good interview, nice to hear from a specific industry-good indicator.
The chicken tax is keeping us from gettong the new 15k toyota work truck. So we are forced to settle for the POS ford maverick for a cheap work truck
Adam, Do you really think that the tiny stimulus check made any real difference in car buying?? Mine wouldn't even pay the sales tax.
The PPP loans and ERCs. The rich people are the ones who benefited most and are still spending their money.
@@frankmarsh1159 Some businesses where really hurt from the lock downs, but there were some that were helped and they could still get the money and did.
It’s not only about the buying price but the total cost of ownership for however long you keep the vehicle. EV’s are heavier and get through tires quicker. The more complicated the vehicle the higher the maintenance costs. Always do the math before stepping into a dealership.
The most interesting fact is that SuperCharging electrical rates can be higher than the cost of gas. There is a video of a Cyber Truck towing a load vs and F350 and the fuel cost was lower in the F350 for the same 85 miles (the longest distance the Cyber truck could tow.
@@politics4816 I hope more companies start investing and scaling up the Efuel movement so we aren't forced to buy only electric. It would be better for everyone since electrics are so damn heavy and don't last very long
My math is that I will sell my EV after 10 years at winter/summer tires life end. Charging at home level 1 is 85% cheaper than previous gas car. Always do your own math.
Thank you for finally covering automobiles. I think your guest undersold the effects of repos and oversold the positive benefits of leasing. But at least you finally covered the sector. YaY
I hope you do more interviews about assets outside of stocks, bonds and housing and the lag effects of interest rates.
The commercials have taken over Thoughtful Money!!!
I don't think the 'bad' decisions the car companies were bad. They benefited the CEOs by giving them bigger bonus checks.
Wow! Never in my life have I seen such inflated car prices and insurance costs! Also EV’s and leasing what a wast of money! I would rather ride my bike! Yes gas will probably sky rocket but here in the Midwest not many charging stations and EV’s do not do well in cold weather. Hopefully we can catch up with other countries with high speed rail!
Have held off buying since last year but it is still high
Why not just recommend the folks at CarEdge?
Top sales person does the most volume & has the highest referrals with the most customer retention.
The guest says short term leasing will help move cars, which is probably true, but buyer beware that the monthly payment on many of these leases are only attractive because they're based on ultra low miles, like 10k per year, which is below the national average of 15k. So if you drive over that pre-determined allotment of miles, you must pay ALOT of money to the dealer at the end of the lease, just to hand over the keys. This puts the average driver in an upside down situation.
People are tired of buying over priced junk and go for reliability and quality
Kia and Nissan are doing terribly this year as well
Nissan has always been garbage. Not even close to the same league as Toyota and Honda.
Really not enthusiastic about buying any new vehicle these days. Prices too high, built with substandard parts to cut mfg cost, insurance price hikes, and low dependability are some of the reasons. If the engines run hot because of a radiator problem, the engine is never the same afterwards. Personally, I think the general public are pretty much fed up with cheaply made vehicles being sold at such high prices. And you know it's going to get harder to sell automobiles in the near future because the job market is about to have a fall out. I saw, just today, where nurses are leaving the medical profession in record numbers. I remember that nurses did this back just before the US went on Fiat currency in 1972. And I suspect that this time, it's going to be worse. It seems to me that the auto manufacturers that don't start producing economical vehicles will go out of business. If the car industry tries to hold higher for longer like the government, it's going to get really difficult for employers to hire people. They may have no alternative but to use AI robotics to do the work because people will have to spend a long time saving up to buy a vehicle and even that may pose a challenge because inflation could hit double digits due to a lack of consumers. The less consumers you have, the higher the price has to go to keep manufacturing. At that point, we're not talking about recession, we're talking about depression. We may be looking a a huge tax jump which might make many more people homeless by 2030. I think it will be sooner. I could be wrong, but I don't see where the federal government can avoid it much longer.
I do not buy his Lease/Buy logic, as everything is factored into the lease price and terms. Leasing would be the equivalent of buying and selling the car forward, with loan cost and leasing company's return on capital and profit factored in. The leasing company will be factor in ALL the risk he talks about, PLUS an extra risk premium for the risk. It would only make sense if the prospective buyer has more specific information on these risk than the leasing company. But, the leasing company is in this business and would have more information than 99+% of the prospective buyers, and they have extra costs and require extra profit. The leasing company will also factor in the option value of the residual price.
As cardealership guy, what should I do with my outstanding lease on a Chrysler where the buy out value (1 year from now) is completely out of whack-likely 1/2 of what they are telling me now-- I could use a second car in the next year, but don’t have to preserve my credit score.
I don’t think he told us what he truly thought when it comes to getting the best deal seeing as though his financial interests are not aligned with ours in such a transaction
I will drive a buggy and learn its macanics if i have to, i will not lease a car.
Government intervention in the automotive world is really messing with the market. Reduce or eliminate the draconian laws and you'll see an improvement in all aspects of automotive sales, tech, quality, quantity, performance, reliability, etc.
A good topic, thanks Adam! We have a decade old hybrid from Ford, and two Subarus, two of the three are paid off! Fortunately we have a great local mechanic shop near us, and also a trustworthy Subaru dealer. Not promoting those brands, but we go for the long haul and reliable.
Seems like the obvious answer is for Ford to bring back the Model T in all its carburated glory. Sell it for $2000 and anything that breaks is 20 minutes tops to replace with simple tools. Make cars that are simple and affordable even if it is yesterday's technology.
a-FORD-able "Maverick"
👍👍👍.
What’s happening in the US is criminal. In the name of free market customers are fleeced by manufacturers and dealers alike. And manufacturers keep ending production lines for cheaper cars.
And government regulations requiring higher mileage standards and safety features make these cars last less longer and more expensive.
Prices up a lot, wages not so much. Doesn't work.
I do automotive consulting in Florida you locate the car I take care of all your negotiating 35 years in the biz. Majority of my clients are women & bussiness as they hate dealing with auto dealers.
There were also a lot of liar loans when prices were sky high so the can get a higher LTV approval now those people can’t afford the payments
Many have used the excessive stimulus as income. Crazy
The wagoneer is the aspen on steroids !
Average vehicle age ain't 14 years. I've got the 14-year-old car & I don't see many of his brothers. Obviously a 14 yr old car isn't going to have his average of 71k miles. Mine is 180k with an historical commute of 15 minutes.
What brand? I have an '01 Toyota Tundra with 296,000 miles so i'm sure my truck helps the stats! 😂
@@granitestateman942 2008 & 2010 RAV4s. I'll have them another 10 years so that the liability insurance stays low ($588 this year for both). Not to mentioned never needing a mechanic.
Prices are dropping not sure how much lower they will gp
IMHO there are going to be so many used cars hit the market the banks will not have any room from them. If I was to guess, I would say prices drop up to 75% from the top... which was 6 months ago. We will see.
Say "no" to EV-only regulations and govt investments in EV. Let the market decide
They will learn when people refuse to buy them. The govt always has to budge when it gets messy
Hondas & Toyotas haven't dropped much 🙃
Which sux cuz i'd love to get a 2019-ish Toyota Tundra 4x4 with the 5.7L V8, a pre-pandemic truck, but they are going for all the money still where i live, because the smart buyers know they are insanely reliable!
EVs are going to low end and hybrid are going to get the rest of the market.
Always need cheap cars. We gotta live somewhere!
I have a premium lock on my car insurance since 2018. My premium will not increase if I don't change my vehicle. In other words, I will have to drive my current vehicle forever. Whatever it takes, I will fix it.
What company is that? I never heard of such terms. Just don't get a ticket or file a claim or I bet they could still cancel.
@@politics4816 I have Erie insurance. They offered this premium lock back in 2018 for a small cost. I had small 2 claims during these 6 years totalling about $5000. I have never gotten a ticket in 35 years of driving.
Like housing its all inflated and based on ever more debt to sustain....... 6 year car loans???
Time stamps be nice, long video
More car content.
Used cars will always hold value. There’s an A$$ for every seat !
It’s all about the bottom line ! $$$$
I thought he was about to say Look at Ford Maverick this little pos 😂
Barely a truck!
This guy must be a used car dealer, claiming the chart is skewed by EV and then using the less expensive vehicles as a comparison. Could use trucks, vans, Lamborghinis all have lost significant value. Of course the Hondas and Camrys have lost less proportionate to the 60k+ vehicles.
Do not buy a new car foreign or domestic above msrp. Car dealers are waiting on suckers. Research before you buy.
This guest is an "Up-Talker". Cannot stand that.
For maverick It’s tow capacity is 4500 lbs definitely not a work truck ‘
I had a 2002 toyota tundra that I sold for a 2023 Toyota tundra, last truck I will ever need.
Someday Taggart's channel will be about gardening or sewing.
EV;s are junk. overpriced battery car with -0- resale value. Can you say scrap. with over priced ticket.. dealers blew it! Manufacturers are lost. 45% cost cut to move the lots
Any one think Chewy has bottomed?
Someone in the comments said they can't afford "UAW prices" but overlooked Mary Barra's 29 MILLION compensation package. MSM union hate works!
Ford Maverick
Tesla battery 🔋 has 8 years 100miles 70% guarantee. While price could come down in the very short term, I doubt it will be cheaper after your 3 years lease with money devaluation. Leasing new EV is I think bad advice.
U seem like a nice guy Adam. Love hearing from your guests BUT it's very painful listening to you jumble n bumble ur words all the time!
2nd, 30 May 2024
Sometime it is better not see the person …..