Soaring prices at the pump, new car prices 12% higher than last year --- and used car prices are 16% higher...and still drivers are creating more demand than the supply can handle. Classic Chevrolet Sales VP Frank Rios says he sees it every day - especially for certain models. Plus used cars are 16% more expensive this year than last year. From what he's seeing at his dealership, gives 3 reasons why.:
- These people have a gas guzzler or they are driving a vehicle that is bigger than their needs...
- 4-Cylinder trucks are in great demand because of the steadily rising cost of gasoline.
- We're seeing higher invoice prices from a manufacturer every day!
Why so much for used cars? Rios: "People want their cars and they want them NOW. The fastest way to get a car now can be buying a pre-owned vehicle. Otherwise, they would have to order a car and that takes time. So, this alone is driving up the demand, and then the price, of used cars."
He sees the demand grow every day - especially with certain vehicles. "There's a lot of demand for smaller, more economical cars which are not as expensive as the $47,000 national average for a new car. Rios says that includes the demand for 4 cylinder trucks. And then he says there are supply chain issues adding to those growing prices.
photo:GettyImages
Expensive gas. Expensive cars. People still buying!Photo: Getty Images