- Joined
- Apr 21, 2021
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- Prestonburg,KY.
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- Ford Tempo, Ford Mustang,FFR,Crown vic.
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- #31
Nah, There might be a lack of off lease units but dealers and oem's will use that fact to push new car leases , "look miss so and so, we can get you into a new vehicle. For the same monthly payment as that off lease used vehicle."ATM?
The market is going to be screwed for years with a ton of people upside down with loans, both used and new. The low production for 21-22, maybe 23 is going to cause a lack of off lease used cars 24-26. Just as production is normalizing those customers will probably be looking at new instead of off lease. I wouldn’t expect the pre covid new car market to return for ages if even. The used market will probably cool off slowly as we feel that chip shortage trickle down. It'll be mostly propped up by low incentives and an increasing move to build to order.
wink wink.
As soon as interest rates start the climb upwards, more and more will be forced into leases anyways, sure the smart buyer would lower their wants needs, but most won't and will want that new vehicle.
And even if there is a shortage of off lease units, every rental car company had to restock their fleet and will be selling them off in 2 years. As they sold off more than normal in 2020. and had to buy triple what they normally would at once. All these units will hit the get them off the books, age out at the same time, and flood the used car market with 2-3 year old vehicles.
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