Car Dealers Are Doomed!

Today I talk about the increase in car repossessions!
Learn How To Save Time And Money The Next Time You Buy A Car: benjaminhardy....
Main Review Channel: / @benhardycars

[@bradbowles1153]

My current mortgage rate is 2.5%. I couldn’t move even if I wanted to.

[@bigeherb]

2.2% 💪

[@jimmulderig743]

The insurance rates also went up 20% across the board.

[@johnkonde1975]

What's becoming obvious without doubt is the greed of these carmakers. Rather than increasing rebates and manufacturer incentive spend, some of these carmakers would rather restrict vehicle production and maintain an environment of artificial scarcity so they can keep hiking up MSRP and still sell all their inventory without increasing rebates For example, Toyota USA produced 182,000 new Corollas between January and July 2016. Unfortunately, Toyota USA only produced 121,000 new Corollas between January and July 2024. This is why Corollas have one of the lowest market day supply in the entire market!

[@davidporter7051]

cry. This post is literally a pure entitlement post. No one is entitled to purchase a new vehicle.

[@lot2196]

If people keep paying, there is no reason for them to stop. The problem is that the whole damn industry, manufacturers, dealers, UAW workers, will get a fat government bailout when, or if, this crashes. It won't crash.

[@davidporter7051]

@@lot2196 it doesn't matter. Prices will not drop

[@Megdan1111]

Up here in Toronto Toyota Corolla is selling for 40 grand... enough said...car prices are insane.

[@musclesmouse]

New Camrys are going as low as 25000 USD. Give it a month or 2. People don’t have money to buy new cars.

[@stockey]

We always get screwed in Canada.

[@Fevebblefester]

People buy way more than they can afford. Talked into buying way too much car at prices that are way too high. Peer pressure and dealers pushing people into higher priced cars by selling by monthly payment.

[@stephkent2736]

Step 1: limit loan-to-value to 115%. One of the reason people are walking away is the 150-170% loan to value loans being written in 2021-2023.

[@1linkbelt]

They just buy a cheap car and keep going to work, end of story.

[@davedave2941]

💯 oversold depreciating liability

[@BigBadJohnDiesel]

Stop allowing people to roll over negative equity, into a new loan!!

[@daveymcc1421]

No, no, no loan to ratio over 100%. Live within your income and social standing

[@stephkent2736]

@@daveymcc1421I’m willing to accept people needing GAP or tax support for their purchase. Industry is going to fight a lot harder if people can’t finance car + tax + GAP

[@stepheno.2730]

Reminds me of why we left California, it’s just unsustainable. Crash is inevitable

[@RAM-KINGOFTRUCKS]

Cmon ben 60% of America lives week to week 😮

[@williamhicks2763]

My understanding is that the car manufacturers cannot lower prices because they are loosing so much money on the government mandated electric vehicles. In fact some have suggested that the car manufacturers are being destroyed on purpose. Don’t know.

[@mikemurphree1348]

Bingo!

[@antonio576]

Absolutely correct assessment. Until mfr greed stops, we are in this situation. I guess it is really going to take close to 0 sales to change anything in the new car market or an influx of foreign vehicles 🚗 spurring competition

[@AustinBruner]

Hearing that the dealers hands are tied until the manufacturer starts releasing more incentives is actually a crazy take. That’s like saying the home sellers hands are tied until the Fed cuts interest rates, like uhm no? Lower the dang price! These companies would rather go bankrupt than provide actual value to the marketplace, hope they still feel as strongly about that strategy when they’re unemployed. 😂

[@Lewismotorsports]

Their hands are tied, and they have an invoice price they pay if they go below that they lose money and they are already losing money by not selling cars. The rebates allow them to go below the invoice and still make a little money when the rebates come back from the manufacturer. They are truly in a no-win situation. I would not want to be a dealer. Plus, they pay inventory fees just to have cars sit on the lot.

[@AustinBruner]

@@Lewismotorsports exactly. So if they do nothing they are paying insane floorplan costs on the cars, the vehicles lot rot out, they get sold at auction and the dealership goes under anyways. It’s time for them to take all that COVID money that they made and use it as an offset to sell all these vehicles (just got to accept that this is no longer that market). For lack of a better metaphor, the dealership is a patient who has been diagnosed with terminal cancer. They are afraid that the chemo (the cure aka lowering prices) will be too painful, which is understandable. However what they fail to realize is that they are terminally ill and to stay this course will only end in their own demise. When you are put into an impossible situation, wouldn’t you at least want to try? It seems like they are perfectly relegated to watching their company blow up into smithereens and sputtering out of history in a slow and sad way.

[@davidporter7051]

nothing you posted makes business since. It's an Emo post. You literally said business should go out of business because I don't like the prices.

[@AustinBruner]

@@davidporter7051 you still don’t get it. They’re going out of business now my guy -_-

[@AustinBruner]

@@davidporter7051 what I’m suggesting is that they take the record profits that they made the last two years and use them to improve their business and yes if need be, sell cars at a loss 🤦🏼‍♂️ Why are you fighting so hard for a company that doesn’t fight for you? Kind of sound like a corporate shill tbh

[@coldnorthAK]

Insurance premiums are killing us too.

[@jimmulderig743]

Absolutely 💯

[@reggiesingleton7024]

Thanks, keep up the good work.

[@retiredafce3373]

I’m not surprised! Dealers really haven’t gotten the memo yet!

[@GMCTIM]

Dealers self inflicted all there troubles Screwing ppl ! They just tried screwing my son Yesterday on a truck !

[@ChosenOne6666]

How long did they think the fun wasnt going to last.

[@misterscruffle]

Also insurance rates and interest rates are insanely high

[@musclesmouse]

Nissan is being aggressive on incentives on the Titan. Not seeing as much in the rest of the market

[@michaeln4018]

When you see a brand new Escalade and Mercedes sports car at the trailer park because they qualified for a 72 month loan, is it really a surprise what happens next?

[@mictdave1]

It’s frustrating seeing a dealership offer 16,000 off only to see the original price was $70k. It’s like they were stupid. I’m not drinking the koolaid.

[@JohnDeLorme-g7d]

I wanted a 23 Accord EX last year. I had 8200 equity in my trade. In Texas, my insurance in my 6 months was going up 445. The Civic was 440 more. The lowest insurance increase was 235 on a 24 HRV EXL blind spot. I bought the HRV on the lower insurance alone. I refused to pay 320 a month for insurance on the Accord. I paid 29,000 for the HRV. No markups. I financed 20,500 at 5.9 apr. My payment is 342. My insurance is 229 for the HRV per month. Check the insurance per vehicle first! I’ve paid half my loan off already in 11 months. I’m at 10,762 now. Pay extra principal. I bought my condo in 2020. I put 20 Percent down. I financed 90,000. My Apr is 3.125 on my mortgage. My mortgage is 564.00. My credit is 795.

[@1225328]

And the rising car insurance oh my God

[@jerrypolverino6025]

These vehicles were overpriced. If suckers pay $70.000 or sometimes $110,000 for a car its value decreases faster than the loan. The dumb market is over.

[@Kjack2023]

The depreciation on these when you drive them off the lot is enough to discourage anyone buying a new car. Wait for leases to come back, buy used from private owners. If you absolutely need a car don’t take the depreciation hit right now.

[@bradhampton6457]

It just makes no sense to purchase brand new vehicles. The depreciation you take is ridiculous. The automakers are going to continue to see profits go down. Their dealers are just plain greedy and unwilling to negotiate.

[@music-writinglife1813]

Thank God, I bought my new car in 2021..I won't afford today's prices and payments...and they have taken me out of the market for the future as far as I see...hopefully things change after Nov

[@Mattius08]

Where can I buy repos? I know banks want to get them off their books

[@tomglpn]

Housing is next, not as bad as 08, but a significant correction is starting

[@rakeshmahadeo672]

Old news .car repo been off the chain like 2 years ago

[@F85M]

Yall let me know when a good time to factory order. I've been itching to purchase, just don't wanna support any of these greedy dealers/manufacturers atm.

[@lgee9027]

Boo hoo😢😢😢😢 lower the prices

[@manoflead2728]

Haha screw those stealerships let the SUFFER

[@raymond_sycamore]

Ben Jesus here to save the dealer's souls.

[@cali5215]

Whose going to buy these homes in this market?

[@lot2196]

No they're not.

[@jsolt143]

sniffing their on farts omg🤣love it

[@hongshi8251]

People always had this kind of problem. They buy more car than they need and they can’t do a budget. The only thing that economics will guarantee is that when demand goes down, so will the price.

[@davidporter7051]

not at all. A smart company will just produce just enough to meet demand to stay profitable. If one doesn't like this you may start a vehicle manufacturing business

[@hongshi8251]

What is eating your brain? Demand is the problem. Everyone wants to buy. The only thing stopping them is the price. They can’t afford it so they can’t buy. Limiting supply is only making the problem worse.

[@SlyGuy1985]

Additional statistic 87% of the repos are all docuhe bag dodge buyers 😂😂😂