Tuesday, January 31, 2023
NOW you can buy a used car...
Good news! After an extraordinary run-up during the pandemic, the price of used cars is finally returning to earth. Back in 2021, I was shocked by the fact that some used cars with 30k miles on them were selling for more than the same model did new (if you could find one-- and that was the rub).
In 2022, prices went down 14%, and they continue to decline. It looks like the used-car giant Carvana may even be headed to bankruptcy, after somehow figuring 2021 prices would stay that way for a while. Now they own a lot of cars they can't sell for the amount they bought them for. Oops!
Part of the problem has to do with interest rates. Lots of people borrow money to buy a used car, and offers for that kind of loan are now carrying interest rates of over 12%.
Looks like I might put off buying that Trabant I had my eye on!
Comments:
Post a Comment
<< Home
<< Home
