Starting to see a lot more cars on the market

I turned 16 in 1988. We cruised most weekends. Sometimes downtown Vancouver and sometimes the beaches in White Rock. I'm in White Rock now and don't see kids cruising. Heck I hardly see N stickers out here. I don't think teenagers leave the house here anymore, let alone cruise in cars.

 

The whole depreciation thing is currently a lot different. A large portion of the used car market is seeing appreciation not depreciation. It won't last of course, but that is the current reality.

 

Not the least bit unusual.

 

I have great memories of cruising the strip along the beach when I was a kid. We met local kids and went to an awesome party out there one night. I have some treasured pictures.

 

Surprised no one has commented on this yet, "cruising ordinances" are what KILLED the "cruising" weekends ...not lack of interest...

same is probably true in Canada...

https://www.legalmatch.com/law-library/article/cruising-ordinance-lawyers.html

From 2004:
https://www.caranddriver.com/features/a15133548/the-end-of-cruising/

All across America, cities and towns have criminalized cruising at an alarming rate.

 

Even with a ban. You don't see young people driving here. We have a graduated license system. New drivers have to put a green N sign on the rear of their car. n sign icbc - Google Search You don't see many teens with the N sign and its a big fine for not displaying it.

 

sell through rate has dropped but dollar volume is still high. next quarter will be telling
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Apparently repo's are on the rise and Ford has had to repossess some 18% more leased cars so far this year.

 

Data source? Repo rates are rising but it is nowhere even near the pre-pandemic average yet. Based on the chart, less than one auto loan out of one hundred are failing now while the pre-pandemic average was 1 of 100.


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I think it was a Bloomberg article I read about a month ago..or 2. I'll try to find it..

 

Barrons has an article out but scarce on data and full of anecdotal references.

https://www.barrons.com/articles/recession-cars-bank-repos-51657316562?

 

If anyone leased /bought them for full msrp + market adjustment + dealer add ons it will be an interesting time indeed.

 

Lambo Urus for pennies on the dollar. It's seem like it was the new minivan around here during the "free money" phase. The damn things are everywhere. Same with the G wagon. Everybody seemed to have one..now lots are starting to get full with people handing them back

One dealer we do business with has 10 in stock..and more expected. He doesn't know what to do with them. Most are not paid off yet as they where leases.

With nobody to pick up the next payment..he is scared. A lot of these exotics are leased for a year or 2..then given back..the dealer hopes they get bought or leased again..

 

The fogging oil lubes the intake and cylinder walls and is intended for winter storage for example and is quickly burned up on start up and running in the spring. Used on outboards for the same reason in marine environs.

 

10 Lambos? that is a lot of $300k+ vehicles sitting around. There are 54 for sale within a 100 miles of me: https://www.autotrader.com/cars-for-sale/lamborghini/urus/lake-elsinore-ca-92530?dma=&searchRadius=100&isNewSearch=true&marketExtension=include&showAccelerateBanner=false&sortBy=relevance&numRecords=25&requestId=2281868035

 

That 40% appreciation in the stock market and rising real estate values has gone the way of the buffalo--the same with cheap interest rates--which affect the availability of toys and their values.
counted on equity

 

https://www.msn.com/en-us/money/personalfinance/average-auto-loan-payments-what-to-expect-in-2022/ar-AATg9dh

 

The item that surprises me is that only 40% of new vehicles had financing applied to them. 60% of the people that purchased new vehicles paid cash. I would have thought that the financing percentage would have been much higher. I wonder if it is because people are taking loans against their 401k’s to purchase the vehicle instead of traditional financing.

 

Perhaps not 401k loans but other private financing thru their own bank or personal loans that arent reported the same as dealer/manufacturer financing

 

Agreed completely but the dealer doesn't care if the cars come back. It's.the bank that's burried. Not the dealer.

 

We have now hit pre pandemic levels of repos.

 

Our laws are different up here. We cannot write off a loss. We gotta suck it up a deal with it. Banks will be on the hook from dealer default. Bad for the dealers floor plan credit. Could put many out of business over night.

 

One of life’s best feelings- hearing the growl turn to a scream & being twisted by the torque of a 812 800HP V12 when you give it the jandel [emoji2]



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And to that I say, meh. I have a lowly 450hp v10 in my 99 rt/10 viper. I could have had a Gen V and had 640hp rather easily. The old gen 2 just has mustang gt levels of power compared to todays cars, but on the street its knocking on the door of too much power. Not knocking those who want more, but for me, do not understand the desire. Unless you are taking it a track there is no way to make use of it without risking getting thrown in jail.

 

Hahahaha, as Kimi the iceman says, mowa.
Have you driven an 812 at full noise?
Life’s short, love the dream.