Used car prices these days are nuts

[MX793]

I just got back from the local auto mall's used car warehouse, looking for a replacement for my Mazda, and I'm just blown away by the prices on used cars these days.

2011 base model (the one with steel wheels), no options Camaro - $21K.  It was low mileage (a few K more than my Mustang) and CPO but still... That was a $23K dollar car when new!  A brand new base V6 model stickers for just under $24K (before haggling, rebates, etc...)!

Then I see one of the cars I had seen listed on their webpage that I was interested in.  '09 Jetta base model with 55K miles for $9,990.  That's on the higher end of the retail book value, implying a pretty clean car.  Clean it was not.  Every one of the wheels (or wheel covers) had serious curb damage.  Scrapes, cracks, and gouges.  Passenger's front corner had obvious damage from hitting something.  Scrapes and patches of missing paint.  The damage extended onto the front fender sheet metal where the exposed metal was rusting and the paint around it blistering.  You could see it from 50 feet away.  The passenger's side rocker was folded or buckled under.  Not sure what would have caused that other than somebody maybe trying to jack the car up and putting it in the wrong spot.  Plus the myriad smaller dents and dings that you'd expect on a 6 year old car.  A few minor door dings and even some light hail damage I can stomach, but there's no way that much cosmetic damage can demand top dollar, even with the low miles.

Then there was an '07 Honda Fit automatic with just over 100K miles.  Obvious damaged paint on the driver's front corner and the bumper and front fender didn't mate up correctly.  Looked like at least one broken bumper clip, possibly a bent fender.  Price on the window was $9K, IIRC (webpage lists $8500, but that may be an internet special price).  Seems steep to me (KBB and NADA put retail at ~7.5K).

Outside of the stealership, I see an '08 Rabbit 3-door MT on Craigslist.  Average miles for the age.  Can't tell exactly how the body looks from the few pictures posted.  Looks like a base model with cloth seats and whatnot.  Radio antenna is broken.  Seller advertises that the AC "needs a recharge".  Tires advertised as "good for one more season", which I take to mean there's less than 50% of the usable tread left.  They're asking $9500 for it.  Retail value on that car, assuming dealership condition (which means no busted antenna, fully functional AC, and new tires) is just under $9K at the high end.  Private party for a car in "good" condition is like $7K.  I'll be shooting them an email to check out the car and if it otherwise looks good, I'll see if they'll take something more reasonable for it.

Anybody else seeing this in their area or is this a localized phenomena?

[CALL_911]

Is this local auto mall Driver's Village?

[MX793]

Is this local auto mall Driver's Village?

Yes.  But the nutty pricing is not isolated to them.

[GoCougs]

One has to ignore sticker prices. They're always way too high and always have been. KBB (based on data of sales) on a CPO 2011 base LS Camaro is $18,015 (@ 45k miles which I couldn't change).

[ifcar]

 

One has to ignore sticker prices. They're always way too high and always have been. KBB (based on data of sales) on a CPO 2011 base LS Camaro is $18,015 (@ 45k miles which I couldn't change).

Yeah, assume that the list prices are inflated to make room for haggling -- when I helped my grandmother buy her Hyundai Accent, the AutoTrader listing was for $8,000 and when we got to the dealer the window sticker was like $11,000.

[J86]

craigslist prices are equally nuts here on the jersey shore.

[Northlands]

Prices here can get a bit bonkers too. You just have to be choosy and prepare to haggle. Subaru,Toyota and Honda especially being high in the used market.

[Raza]

Yeah, they can be nuts. All of a sudden people think cars are going out of style or something. So if something is rare (in any perceivable way), good on gas, has more than one door, highly sought after (in whatever illogical way), the seller feels that he or she can jack up the price. Rare practical four door with the highly sought after four mismatched tire package and cloth seats! Good on gas! 350,000 miles, Subaru AWD! $14,000.

[SVT666]

Used car prices are ridiculous.  I used to buy my cars in the US because your prices were so much lower than ours, but there is really no point now.  I bought my G37 in Vancouver because it was actually $2000 less than what I could get it anywhere in the US for.  Almost every vehicle I look at now, the American price is within +/- 10% of the Canadian price, whereas it used to be as much as 50% less.  I got my Explorer for $14,000 less in Seattle and my SVT Focus for $10,000 less in San Jose.  Now the difference in price isn't worth the time or the plane ticket.

[AutobahnSHO]

People finally wised up that they don't need a new car every 3 years, add in the recent economic crunch, people are keeping them longer and are no longer ashamed to BUY a used car.
Supply and demand, yada yada...

I also remember reading that the floods/hurricanes up in NJ added to other storms (Katrina) wipe out thousands and thousands of used cars, further pushing the used car market up. In some cases, it makes sense to buy new rather than used.!

My price range is always the 100k+ miles, when the majority of people are getting rid of them anyway, so that seems fairly stable, but gone are the days I'd buy a $3000 car and expect it to last several years with no major issues.

[MrH]

Yeah, used car prices are stupid high.  I put 15k miles and have owned my Element for a year.  I bought it from a dealership.  I've lost $1000-$1500 in value.  Not bad at all IMO.

[Speed_Racer]

I noticed this when I was car hunting a few years ago. There wasn't much incentive to buy used when you could get a similar model new for a few grand more.

[FoMoJo]

Cash for clunkers?

[Soup DeVille]

Cash for clunkers?

Naww, the numbers for that just don't add up for the prices we're seeing.

A big part of it is the ultra-low APR "we'll finance everybody" credit scams are less prevalent.

[12,000 RPM]

I'm hoping to get about 8 for my Z, which is pretty ridiculous. It should really be like 4-5.

In 2003 I bought my first Accord, which was a 93, for $2200 with 93K miles on it. 10 years later, a 10 year old Accord with way more miles goes for like 3-4x as much. It's pretty silly, but that's the game I guess.

[Raza]

I'm hoping to get about 8 for my Z, which is pretty ridiculous. It should really be like 4-5.

In 2003 I bought my first Accord, which was a 93, for $2200 with 93K miles on it. 10 years later, a 10 year old Accord with way more miles goes for like 3-4x as much. It's pretty silly, but that's the game I guess.

Hmm...I'll buy your Z for 4.  I'll through some snow tires on it and make it my winter car/grocery getter. 

[Lebowski]

I'm hoping to get about 8 for my Z, which is pretty ridiculous. It should really be like 4-5.

In 2003 I bought my first Accord, which was a 93, for $2200 with 93K miles on it. 10 years later, a 10 year old Accord with way more miles goes for like 3-4x as much. It's pretty silly, but that's the game I guess.

You're selling the Z?

[FlatBlackCaddy]

Dealerships are really out to lunch around here, frankly just another reason to avoid them. It used to be not as bad because even though they always had high sticker prices, they would at least deal off them. Now it's all this "no haggle" bs that is bunch of shit.

I prefer private party's for used car shopping.

[FlatBlackCaddy]

You're selling the Z?

he doesn't need it anymore. He's going to carpool with char.

[MX793]

Dealerships are really out to lunch around here, frankly just another reason to avoid them. It used to be not as bad because even though they always had high sticker prices, they would at least deal off them. Now it's all this "no haggle" bs that is bunch of shit.

I prefer private party's for used car shopping.

Private party asking prices are just as nutty around here.  They seem to think they can ask about the same money the dealerships are, and often for vehicles that are in worse shape than what you'll get in the dealerships.

[FlatBlackCaddy]

Private party asking prices are just as nutty around here.  They seem to think they can ask about the same money the dealerships are, and often for vehicles that are in worse shape than what you'll get in the dealerships.

I've seen some private parties around here doing the same. With everybody asking too much money it just makes more sense to buy new if you're looking at slightly used. I've seen dealership selling a few year old car for the damn near the price of a new model.

[ifcar]

I've seen some private parties around here doing the same. With everybody asking too much money it just makes more sense to buy new if you're looking at slightly used. I've seen dealership selling a few year old car for the damn near the price of a new model.

Methinks there is method to their madness!

[FlatBlackCaddy]

Methinks there is method to their madness!

I wouldn't give them that much credit. Car dealers arent usually the brightest in the bunch. The only reason they aren't overcharging on new cars is due to msrp.

[12,000 RPM]

You're selling the Z?

Yea.... commute is 25K/yr, racking up a few too many speeding tickets and the lack of practicality is starting to get to me

[Eye of the Tiger]

Yea.... commute is 25K/yr, racking up a few too many speeding tickets and the lack of practicality is starting to get to me

If I can use an Accent as a pickup truck, you can use the Z as a commuter. Mod it up, commuting style.
I know it has no trunk, but can you get a roof rack and some Yakima/Thule cargo box? Yeah $, but so is swapping cars.
Since it will probably block the rear window, you can install a backup camera.
25k/year probably costs a fortune in tires. Look at minis-sizing the wheels for higher profile/cheaper tires,  maybe even equal sizing all around so you can do rotations... Unless the brakes are just too big, I dunno.
It can run on regular gas, right? So do that, too. Unless it can't, in that case, get an ecu tune so you can.
Just thoughts.

[Gotta-Qik-C7]

he doesn't need it anymore. He's going to carpool with char.

 

[280Z Turbo]

I would recommend filling up the hatch with concrete to reduce speeding tickets.

[68_427]

I would recommend filling up the hatch with concrete to reduce speeding tickets.

This would only reduce drag

[AutobahnSHO]

I would recommend filling up the hatch with concrete to reduce speeding tickets.

hmmm, lower center of gravity, more traction, but better inertia= better to go faster       

[MexicoCityM3]

Down here depreciation is still crazy. Especially on euro luxury sedans.