Are used car prices rolling over?

[chassis]

Alfisti, yes, and the numbers of listings are decreasing, curiously. Maybe dealers aren’t listing all of their inventory to avoid prices crashing? That doesn’t seem likely though.

I have seen high performance models sit at my local dealer for over a year, so in my geography that is nothing new.

[backhill]

Originally Posted by chassis

Alfisti, yes, and the numbers of listings are decreasing, curiously. Maybe dealers aren’t listing all of their inventory to avoid prices crashing? That doesn’t seem likely though.

I have seen high performance models sit at my local dealer for over a year, so in my geography that is nothing new.

Likewise to the above posts. I'm seeing the inventory count diminish with a lot of the same vehicles still available and little replenishment. I think some of these could be reasons: dealers are hesitant to pick up more inventory due to low general demand, less inventory is available as people extend leases, or there is a bottleneck as auctions are not taking place to replenish inventory.

[allinon72]

I'm not seeing any real decrease in prices yet. Dealers have procured their current inventory stock at a certain price point and need to get a certain selling price out of the vehicle to turn a profit. They'll just assume sit on their current inventory and hope the economy rebounds quickly before they'll have a fire sale. Dealers are rejecting new stock and manufacturers are just letting the inventory pile up in arena parking lots.

It takes a while to get some slack into the car market, it doesn't happen immediately. If we had more of a true free market economy, it would happen quicker, but alas we don't.

Also look out for a Cash for Clunkers 2.0, or some type of gubment program.

[Flacht3]

It's interesting re-reading this thread, going back 2+ months. Seems we haven't hit the "doom and gloom" that some predicted, but that doesn't mean the worst isn't yet to come.

Regardless, super interesting to me to see how various perspectives on this thread have played out. We're only two months in and have many more to go, but let's hope that this is about as bad as it'll get. Either way...not seeing those fire sales on Ferrari's and Rolexes that some predicted too bad because I wouldn't have minded being a buyer at the right price.

I'm actually most cautious to see how this impacts the real-estate market for years (forever?) to come. If X% of companies decide to shift to WFH, staggered work weeks etc. will major cities continue to see the demand and appreciation of decades past or is the landscape forever changed? Will high-density areas like NYC be taboo for many folks for the coming years? Worrying about toys (cars, watches) is one thing but many folks have the majority of their livelihood sunk into housing.

[chassis]

Flacht3 Real estate will change. I have some recent, peripheral, experience in this. WFH will strongly impact the business furniture industry, as well as construction and building materials companies.

Real estate itself will change but might take longer to play out. Industrial land and buildings in my view will remain strong, as will residential construction and development. All other sectors will likely evolve. I am speaking from a United States point of view.

[aerostar]

Originally Posted by chassis

Flacht3 Real estate will change. I have some recent, peripheral, experience in this. WFH will strongly impact the business furniture industry, as well as construction and building materials companies.

Real estate itself will change but might take longer to play out. Industrial land and buildings in my view will remain strong, as will residential construction and development. All other sectors will likely evolve. I am speaking from a United States point of view.

Yup.

A lot of commercial real estate is already dead. Those strip malls near office buildings that shift to WFH are fucked.

The question is, with all the people who invested into commercial real estate. WTF are they going to do now? The demand for new restaurants etc. is going to die down pretty sharply after this.

[chassis]

Yes lunch restaurants and to a lesser degree breakfast restaurants will be affected by WFH. Maybe this is an opportunity for dinner-oriented restaurants to use quality as a differentiating factor to attract customers. Goodness knows it (quality) is needed in my part of the world.

Strip malls were dying 5 years ago, WFH is only an accelerant.

The question about how all of this affects high performance used car prices remains to be answered.