Tuesday, June 10, 2014

Been A While Since You Shopped For A Car? Be Prepared For "Sticker Shock"

How long has it been since you shopped for a car? A year? Two years? Ten? If it's been very long at all, you may be surprised when you see prices on currently available used vehicles.

We've seen steady, sizable increases in the prices paid for vehicles in the auction lanes for the last several years. This has led to a relative increase in our asking prices for the same styles of vehicles, which has led to some "sticker shock" in a lot of shoppers.



One of the causes is simply inflation--everything costs more than it used to. But in the case of used cars, we have a supply and demand problem. There are fewer vehicles available, and the ones that we can find, cost more. Breck and Steve are often saying to customers who are asking for a specific type of vehicle, or a certain price range, "they're out there, but they're tough to find."

In the recession years following 2007, auto makers didn't produce as many cars, so there are fewer 2008-2010 model year vehicles on the market. If that's the range you're looking for, you may have to search a little harder, and pay a little more. Another factor in pricing is that vehicles are of better quality than they used to be, and hold more value. A two-to-four year old truck will hold a lot more value, relatively, than one in the same age range would have ten years ago. Also, new technologies to increase fuel efficiency, safety, and comfort, aren't cheap. All of these factors and more have gone into increasing the prices of used vehicles both on lots and from individual sellers. So what can a savvy shopper do to get the best deal?

Breck's advice is to shop around and get an idea of what's available, and what typical prices are. We use NADA as a rubric for our pricing, and Kelley Blue Book is another trusted source. After that, it's up to the shopper to find the vehicle they want, and then look within their search radius to find the best deal. No two vehicles are identical, though, so make sure to be conscious of differences in condition and history. Another tip is to widen your search area--we have had customers come from as far as North Dakota because we had the best price on the particular vehicle they were after. You could possibly save several thousand dollars by looking out of state and spending a fraction of that on gas to pick it up. The caution, there, is to be very thorough in your investigation of the vehicle and make sure that it meets your standards.

We do our best to bring you great value in vehicles--both in dollars and quality. Even as prices are increasing, Steve and Breck's experience helps them find the best deals they can. Thanks for keeping us on your radar as you navigate your pre-owned vehicle shopping journey.

For more information on the Daniell Motors family, and to find your own vehicle, visit DaniellMotors.com.

Questions? Comments? Concerns? We'd love to hear them. Tell us what's on your mind in the comments!

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