Will Vehicle Prices Ever Decrease?

[treillw]

I'm wondering if now is the best possible to buy a vehicle. Prices are crazy, but will they get worse? Will they ever come down?

Based on the fattened pig mentality, dealerships are getting used to fetching premiums for vehicles and will probably do everything in their power to keep prices high and stay fat and happy.

• Vehicles I looked at purchasing 6 years ago are selling for more now than they were back then.
• 20 years ago a Z71 pickup was ~$22k new, now they are three times that.

What do you think? Get in now before it continues to climb or keep driving the beater and crossing fingers that things get better?

 

[TCUHunter34]

I don’t see why it would come back down. Worsening inflation and people are already buying at these prices. Higher interest rates can help. But, supply costs drive a higher price to end consumer and those likely won’t come down for a long time.

 

[cmahoney]

Automotive supply chain in for slow normalization in 2022

Manufacturers are feeling the pressure to up their production big time, and that means finding ways to get around continued hurdles like shortages.

www.freightwaves.com

Sent from my iPhone using Tapatalk

 

[WCB]

When supply gets back towards normal or interest rates go up...etc I think they will come down...nothing will be back down to where it was before. Glad I bought my truck just over a year ago and sill got a "deal" with no sticker shock...Hell 3 months later and I would have paid 20-30% more and had zero options.

 

[flatlanderhuffandpuff]

Most of the people buying new cars 5 years ago couldn't actually afford them. Even more the case now.

I think we are so far up S creek we don't even recognize it as such anymore.

I don't know if they will come back down but I wouldn't be taking a note one one right now.

 

[CorbLand]

To much uncertainty in anything right now to "know" what will happen.

Part of what is pushing pricing up on everything is lack of supply. As supply comes up, prices should go down as dealers will have to compete to get business. Unless all dealerships agree to keep pricing high (illegal), one will undercut the others and then that will push pricing down.

The floor has been raised, it will never go back to what it was but pricing should come back down. The question is when and how much? Its the same question with housing right now.

 

[timmymac24]

Well they can offer 120 month loans and make that the new normal. People would take the bait.

 

[svivian]

Well they can offer 120 month loans and make that the new normal. People would take the bait.

The boat market has been doing that for a while now. Don't give them any ideas.... lol

 

[mlgc20]

IMO, the prices will come back down. We are in a perfect storm of high prices at the moment. There was a lot of pent up demand for vehicles this past summer and fall leftover from the height of the pandemic and the shut downs. Now there is a shortage of new vehicles. Many of the dealerships near me hardly have any new inventory to sell. Total vehicle sales are down 30% since April of last year. That's a huge drop that the car manufacturers want to fix. Even with these higher prices, they need to get the volume back up.

 

[Sccritterkiller]

I think it's a great time to buy new if you can pay at or below MSRP. I got a new truck 6 months ago, financed 40% of the cost because the rate was so good..I can sell it right now for more than paid for it....It will go back down eventually but at least depreciation isn't a problem today.

Due to Cafe standards trucks are going to be more complicated so they can get better MPG, think twin turbo V6s that the cab has to be removed for a waste gate issue. Plus they have the active driver monitoring thing coming in 2025, IIRC.

I bought now simple 7.3 gas motor and pulled all the fuses on the modems/tracking devices while I still can.

Lot of things to consider than just cost...

 

[DAOutfitters208]

Why do you need a new truck right now?

I don't understand why so many people feel compelled to buy at this time? The used vehicles are overpriced high mileage crap and people are buying them. Just fix what you have and wait this out.

 

[kravguy]

I would wait until the economy takes a dump. Then things will come back down.

 

[jjohnsonElknewbie]

Economic downturn and rising interest rates are probably the only things that will bring retail prices down. Once people cant finance less than 3% for 7 years, they will start getting a little smarter.

On a different note, I just saw the '23 Sequoias and they are bad a$$!

 

[MattB]

Prices will come back down once supply normalizes.

 

[flyfisher117]

I'm wondering if now is the best possible to buy a vehicle. Prices are crazy, but will they get worse? Will they ever come down?

Based on the fattened pig mentality, dealerships are getting used to fetching premiums for vehicles and will probably do everything in their power to keep prices high and stay fat and happy.

• Vehicles I looked at purchasing 6 years ago are selling for more now than they were back then.
• 20 years ago a Z71 pickup was ~$22k new, now they are three times that.

What do you think? Get in now before it continues to climb or keep driving the beater and crossing fingers that things get better?

Doubt they will drop anytime soon. People are too willing to bend over for the dealer. In my offroad groups so many people are trading in their used rigs for these over priced new rigs. They act as if the extra price dealers are paying is benefitting them.

I guess when you are trading debt for different debt it makes sense.

I will keep rocking my paid off shit boxes.

 

[Ucsdryder]

The simple answer? YES! What goes up will come down. It won’t come down until the end of summer at the earliest. Good chance October will see some relief.

 

[Rimneck]

I hope they do, but have a hard time seeing that actually happen.

 

[guylaga]

When have prices for anything ever came down? Outside of gas prices that have fluctuated from the early 2000s to now everything I can think of has only increased in price.

It will take a major economic upheaval to bring the prices down to what we payed a few years ago. And if that happens new vehicle costs will be the least of your concerns

 

[Mtnboy]

The boat market has been doing that for a while now. Don't give them any ideas.... lol

Beat me to it. I was in Dallas for work last year and the Cabelas was offering 120 months on the bass boats they were selling. I don't remember the exact numbers but it was something like if you made just the minimum payment you end up paying 2.5x the price of the boat before it was paid off.

People are crazy.

 

[treillw]

I think it's a great time to buy new if you can pay at or below MSRP. I got a new truck 6 months ago, financed 40% of the cost because the rate was so good..I can sell it right now for more than paid for it....It will go back down eventually but at least depreciation isn't a problem today.

Due to Cafe standards trucks are going to be more complicated so they can get better MPG, think twin turbo V6s that the cab has to be removed for a waste gate issue. Plus they have the active driver monitoring thing coming in 2025, IIRC.

I bought now simple 7.3 gas motor and pulled all the fuses on the modems/tracking devices while I still can.

Lot of things to consider than just cost...

What is the active driver monitoring thing?