Used car dealers are finding business extremely challenging.With the economic news getting worse over the past few weeks, there have been a number of dealerships closing in most states.
“It’s a tight market,” one dealer said.
Used car dealers, as well as some of the new car dealerships, are facing a slowdown as the nation adjusts to the constraints of a recession.
Auto dealers aren’t immune to the rippling effect of Wall Street losses, the threat of layoffs and a housing market that remains staggered.
“We could be in for a tough winter,” one long time car dealer reported.
“Hopefully spring will turn things around,” he added for good measure.
Another dealer said the trouble really started a few weeks ago when the mortgage banking crisis took center stage.
“That’s when it hit the fan.”
Some dealers are also noticing that the buyers now have less money to spend and are less than realistic about their options.
Maybe somebody should tell these buyers about the great deals on offer at the car auctions taking place all over this country every day..!
Just think about this for a moment: - You may have recently inspected a car at a dealer's lot just a few months ago that was outside your price range.
If that dealer is one of the many being forced to close, that same car could be going to auction at a large discount to the dealer’s price.
This means it could be well within your budget now.!
Also, consider what happens to the dealer's stock?
The cars need to be sold pretty quickly to avoid losing any more money.
No one will thank the liquidator for spending money storing them in the hope the prices bounce back..!
The dealers that survive and thrive, will be those that avoid expensive high cost financing to keep autos on the showroom floors.
Those tend to be the ones that buy at auction and pay in full.
Now they wouldn't be doing that if they couldn't get a bargain would they.?
One such dealer reckons that: "As for dealerships going out of business, some of them have themselves to blame."
“A lot of used guys take the money and go to Vegas or a card game,” he said.
So don't be embarrassed buying a car at auction that used to sit on a dealers lot..!!
Take advantage of the current oversupply and lower prices at used car auctions.
Go check out our links under "Research Toolkit" and get your auction lists and locations...
Grab our newly updated Guide Book & Buyers Checklist with secret tips and resources to make sure you know all the steps you must take to secure that bargain..!! Free for a limited time..
Now, go and buy that dream car you always wanted...
Happy Motoring
The Auto Auctions Guy
