Car sales continue to rise, despite woeful economic times

cnnmoney.mobi...

I just wanted to get a general consensus on this topic as it baffles me. Why, on the brink of potentially another recession and some of the worst financial times in recent history, are people actually doing this? I understand that not everyone is struggling, but seriously. Many jobs are unstable, the market is patchy at best, and some are borderline desperate. Do people not realize how bad things are or may still get, is it psychological and do they just not care anymore and want to indulge in something? The cost of a new vehicle plus gas these days, just seems very strange. Or is it just corporate propaganda twisting some stats...?

Could be a couple of things.

It could be that people are replacing damaged cars from the storm, but it seems a little early for those numbers to be coming in.

Another possibility is that people are downgrading, trading in their H2 for KIAs.

Have you ever counted how many car commercials you see in ONE day on TV? I've counted over 200 in one day, and that was just for about 3-4 hours of watching.

It's a criminal assault on our senses as far as I'm concerned. The human brain has a finite limit of how many car commercials one can see in one lifetime, and I got about 27 left in me before I snap and throw my TV out the large window before running down the street shirtless screaming, "BUY THE NEW TOYOTA, GET A HONDA, THE NEW KIA IS AWESOME, BUY SAVE BUY SAVE REBATE NO MONEY DOWN, WOOHOOOO!!!"

There does come a point when the used car has done it's time and can go no more. My husband and I just bought a new used 2011 car(10,000 miles on it from a dealer). We needed a car that got good mileage and would lst another 8 years at least.

I think people held off buying in 2007-2010, but now are in need.

Used car trade-in value is up and interest rates are down,at least where I am,I know several people who have gotten new cars with basically the same term and lower payments.Not a bad deal to get out of that 10mpg monster.

I, for one, do not believe in reviewing just one source. Especially if it's CNN.
The twist comes on the ropes that the Japanese automakers have sold off all their inventory. Rebuilding it will take some time because of the earthquake. That leaves the American auto makers the next easy choice. So this figure may, and I say may, show an increase. But according to Wall Street, I see no increase. Therefor it is easy for me to ascertain that CNN continues to publish the current administration's propaganda.

For the same reason that despite everyone bleating about the price of gas being over $4 a gallon, very few people actually change their driving habits.

People are reluctant to use bicycles, public transportation, or car pooling.

Despite the economy, car sales are up. This is because fairly cheap credit is still available to just about anyone who asks for a new car. If you're breathing and have a job, you'll probably get a loan.

If it wasn't for the easy credit available, car sales would be plunging along with the rest of the economy.

Over in the Uk its the opposite, more people are chosing to fix their old banger and run it for anotehr few years than buy a new one. We dont have the mpg monsters over here most cars range from 1.1 petrol to 2.0 and at most 1.9 diesel.

Althrough I do buck the trend and drive a 2.0 turbo and a 2.4 Vetec accord. Next car im looking for is a V8 grand cherokee , and im being serious lol.

I can also confirm that here in the UK not many people are driving new cars.

How many 60 reg (1st September 2011) plates are there ?
I have not seen one.
Hardly any 11 reg cars (march 2011)
I have seen a few 59 reg (September 2009 - 2010) cars but not many.
Plenty of 09 reg cars (march 2009)

Could also be that dealers are at the point of a couple of years ago when they have to almost give them away.
Two days ago my neighbor went to look at a new Ford Ranger (small lpickup). It was loaded w/goodies.

Salesman said it was $22k. Neighbor fussed at the price and the salesman quickly dropped it to $15K!

Over a 25% lowering of price in a couple of minutes!

Neighbor didn't buy, just kickin' tires.

I notice that the local GM dealer has tons of vehicles on the lot, again, as a couple of years ago.

this is an excellent time for all of you CEOs and upper-level employees to be buying.
(I'll be the guy at the corner stoplight with the sign. Don't be afraid to look at me...and the kids.)

I recently got in a wreck (other driver's fault) and had to replace my Tahoe which had 240,000 miles on it.

Saw commercials advertising base model Ram 1500's and F150's for $14,999. That's pretty decent, not much more than I paid for my Tahoe when it was 4 years old. Tried looking for a 4 year old Tahoe again, nothing under $21,000.

Used car prices are higher than they were a few years ago. So many people had been buying used that the used market is tight and prices are higher now than they where.

I've seen this multiple times in my work. Companies go out of business and a lot of used machinery floods the market driving prices down. Once things stabilize and most of the companies that are going to fail, have already failed, the used machinery finds new homes in the remaining plants or overseas and eventually you can't find anything used at a reasonable price.

Back in '04-'07 the Chinese had newer equipment than we did here in the U.S. in my industry. They still do at the moment, but U.S. business are flush with cash and I think next year we will start buying new again and we will have 2012 machines that will run circles around their '04-'07 equipment.

It's the ebb and flow of business. Suck it China!

Note:
I ended up buying a used Ram SRT 10 with the 8.3L V-10 Viper engine. 9-11 mpg, 505 horsepower... World's fastest production truck.

Recession? What recession?

"Cash for Clunkers" is back-firing. People are now re-investing said cash for even more clunkers!

Funny you should mention this. I just bought a 2011 X-Terra for under 20k. Installed a front grill guard and a back bumper guard along with a little extra on the back. I haven't sanded the steel billets down yet.

I've been rear ended 3 times in my old car and NONE of them were insured. Carfax showed 3 accidents which lowered my trade value and my insurance went up. SOOOO this time around if someone rear ends me I'm taking out their radiator! I have never even had a speeding ticket! It's very frustrating. So now if your riding my bumper and notice these you might back off a little. I'm tired of being taken advantage of.

Here's a pict- not done yet- They are steel billets

Originally posted by Bachrk
Funny you should mention this. I just bought a 2011 X-Terra for under 20k. Installed a front grill guard and a back bumper guard along with a little extra on the back. I haven't sanded the steel billets down yet.

I've been rear ended 3 times in my old car and NONE of them were insured. Carfax showed 3 accidents which lowered my trade value and my insurance went up. SOOOO this time around if someone rear ends me I'm taking out their radiator! I have never even had a speeding ticket! It's very frustrating. So now if your riding my bumper and notice these you might back off a little. I'm tired of being taken advantage of.

Here's a pict- not done yet- They are steel billets

edit on 2-9-2011 by Bachrk because: (no reason given)

Hahahaha, absolutely love the steel spikes!!! Brilliant, I'd star this a million times if I could. Would you be at all opposed if I use this idea for myself as well??

reply to post by Ajax


No not at all copy away! I call it Functional Art.
Ballistic Fabrication sells them cheap

you know you could look at the other side of the coin and say......


things just arent as bad as the media make out

we are not in recession, the worlds economy is growing

yes there are issues that need addressed

but, i dont know anyone who has been made redundant, all my friends work, their familys work, some have changed jobs reletively easily (and I'm not talking highly skilled people here)

some have bought houses, and new cars recently

ok, so the real issue in the UK is inflation, things are getting more expensive in relation to our income

but in general, things are just not THAT bad

i think this article could very well be valid. new car sales are up, but i would bet that a large portion are smaller more fuel efficient variety. also, in tough economic times, trading in a car for a new one with very low finance rates is one real way of changing your outlook and style without changing that much on money. if you are paying off a car at $350 per month with about a year to go, you'd certainly consider trading in that car for a new one with a 60 month plan if you could drop the payment to $200. yeah, your car may be smaller but its new and different from the one you had. people do different things to make themselves feel better about themselves. and car insurance may go down as well. they say more people are not taking the big vacation. and you still have to drive everywhere.
ok, so i drank the car salesman's koolade and bought a new car. part of this post is to justify and rationalize this purchase.

reply to post by Bachrk


I hope you know that they are probably illegal and will get nowhere near the cars radiator.

Originally posted by Flyer
reply to post by Bachrk

 

I hope you know that they are probably illegal and will get nowhere near the cars radiator.

Hi Flyer,

I cked beforehand they are not illegal in my state. I grinded the tips down so no one would walk by and get hurt. They stick out as far as my husbands trailer hitch which did some damage to the guys car that rear ended him
Plus I like anything that's "functional art". I'd behappy if it did any damage at all to these uninsured drivers so no biggy if it doesn't get the radiator. It'll get something.
Peace