thereisnospoon
Gold Member
True. My friend in NY who is in the auto auction business tells me that while those who are buying at auctions are paying more for cars and trucks, the condition of these vehicles has not improved.Chris. That has zero to do with anything other than stock performance.
It has nothing to do with the US "economy" and unemployment.
GM Sales in China up 20.4 Percent for November Record
Absolutely true. I am well associated with many dealers in my town. The situation is the same everywhere. There are two people buying cars now, the really rich people that dont want to pay for anything, and people that have no choice but to buy.
In the states new car sales is pretty much matching what is called the scrap rate. Meaning new cars are coming into the market only as fast as they are leaving.
Still a lot of vehicles that are older, have mechanical faults or the big one, AMU's( Actual Mileage Unknown).
Cash for clunkers really screwed up the used car market. So much so that buyers who tilted to used rather than new because they have poor credit or are upside down in their current auto loans are being shoved into the new car market. This keeps these people in a state of perpetual under water in auto loans. So the good news is more new cars are being purchased. The bad news is a lot of people are going to be stuck with these cars because when they age out, the market being what it is , few buyers are going to be looking for used when they can get favorable deals on new cars. The used vehicles traded in go to auction.