When will prices fall?
Logistics Pro
Joined: Mar 2002
Posts: 3,881
Likes: 84
From: Wake Forest, NC
I think some of the problem right now might be that they KNOW they have a bad investment in the bigger vehicles (i think that is a pretty easy bet right now!). From what little I know about the actual economic business of used vehicle sales, it's possible they have floorplan (auction financing) on these vehicles. So, it's how bad of a wash they will take, since they have to pay back the financed amount anyway. Once it sells, they have to pay for it, but if it sits they can take the chance it will sell for more (all a guess though).
As far as the auction, I've heard it's a pretty bad beating if you can get it at all. Some trucks aren't even selling at the auction.
Aside from current conditions, historically though this is the way cars get sold. Some of it is just poor salesmanship, not keeping in contact with a potential buyer as the price drops. The sale gets lost.
I had looked at a truck once, and 6 months later someone called asking if I had found a truck yet!
(hmm.... what I would do for a dozen 4 cyl honda's right now.....)
As far as the auction, I've heard it's a pretty bad beating if you can get it at all. Some trucks aren't even selling at the auction.
Aside from current conditions, historically though this is the way cars get sold. Some of it is just poor salesmanship, not keeping in contact with a potential buyer as the price drops. The sale gets lost.
I had looked at a truck once, and 6 months later someone called asking if I had found a truck yet!
(hmm.... what I would do for a dozen 4 cyl honda's right now.....)
Freshman User
Joined: Mar 2008
Posts: 44
Likes: 0
I don't think we have seen rock bottom yet. If you don't "have to" buy (NEEDED for work). I'd wait. Most dealers are not quite really to "take their edited" or are too arrogant to think they screwed up.
I have seen a couple of used lots go under because of the truck prices. When the prices started falling, they loaded up heavy because they yhought they were getting a deal (and were gonna make big $$$$). There lots were then full of stuff thet they could not sell at a profit....or get rid of for what they had in them. Imagine being stuck with 40 or 50 trucks that you were probably gonna lose a $1000-5000 on EACH.
Some of the edited deserve what they are getting.
Moderator note - please mind the masked profanity. If you need to mask a word because it's inappropriate, think of a better word, instead.
Thanks!
I have seen a couple of used lots go under because of the truck prices. When the prices started falling, they loaded up heavy because they yhought they were getting a deal (and were gonna make big $$$$). There lots were then full of stuff thet they could not sell at a profit....or get rid of for what they had in them. Imagine being stuck with 40 or 50 trucks that you were probably gonna lose a $1000-5000 on EACH.
Some of the edited deserve what they are getting.
Moderator note - please mind the masked profanity. If you need to mask a word because it's inappropriate, think of a better word, instead.
Thanks!
Last edited by ryaneverk2; Jun 27, 2008 at 07:30 PM. Reason: Removed masked profanity.
Thread Starter
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Tuned
Joined: Oct 2002
Posts: 466
Likes: 0
From: South Central KENTUCKY
update kinda, i originally posted "help me be realistic" about an 01 350 crew 4x v10 120k. guy was askin 13,5 cash. offered like 1500 for mine. Well i called them back today. He said the truck was not on his lot anymore, but he would call hq and look for it, if i could call him back. I called back 1 1/2 hr later, he slips up and tells me, he still cant find it, because they took it to the auction. BUT it did not sell, and he thinks they are bringin it back. He finally calls me, says yes indeed it was at auction, and it did not sell, and they would bring it to hq so i could look at it. He doesnt realise i allready talked to him and looked at truck. Anyway, he says they got a bid of 12,200 but decided not to sell??
tell me thats not a lie.musta been like 1,202.00
but i am gonna look at it again,, i'm think offer 9,5 plus my truck, but afraid they gonna come back with counter of 10,5 then i return with 10 and its mine. Still a little high, but thinnk if i offer lower they gonna think i aint serious.
tell me thats not a lie.musta been like 1,202.00
but i am gonna look at it again,, i'm think offer 9,5 plus my truck, but afraid they gonna come back with counter of 10,5 then i return with 10 and its mine. Still a little high, but thinnk if i offer lower they gonna think i aint serious.
Freshman User
Joined: Mar 2008
Posts: 44
Likes: 0
update kinda, i originally posted "help me be realistic" about an 01 350 crew 4x v10 120k. guy was askin 13,5 cash. offered like 1500 for mine. Well i called them back today. He said the truck was not on his lot anymore, but he would call hq and look for it, if i could call him back. I called back 1 1/2 hr later, he slips up and tells me, he still cant find it, because they took it to the auction. BUT it did not sell, and he thinks they are bringin it back. He finally calls me, says yes indeed it was at auction, and it did not sell, and they would bring it to hq so i could look at it. He doesnt realise i allready talked to him and looked at truck. Anyway, he says they got a bid of 12,200 but decided not to sell??
tell me thats not a lie.musta been like 1,202.00
but i am gonna look at it again,, i'm think offer 9,5 plus my truck, but afraid they gonna come back with counter of 10,5 then i return with 10 and its mine. Still a little high, but thinnk if i offer lower they gonna think i aint serious.
tell me thats not a lie.musta been like 1,202.00
but i am gonna look at it again,, i'm think offer 9,5 plus my truck, but afraid they gonna come back with counter of 10,5 then i return with 10 and its mine. Still a little high, but thinnk if i offer lower they gonna think i aint serious.
They are in a position of taking any offer they get, or continuing to make payments on it while it sits on their lot (most stuff on a dealers lot is financed).
I have heard some people say that a certain dealer (near me) will not take a SUV in on trade no matter what. There is zero intrest in buying a used big SUV right now.
If you are willing to buy, you can probably buy it for a whole lot less than you think.
Post Fiend
Joined: Oct 2005
Posts: 10,626
Likes: 7
From: Plano TX and Brentwood TN
Yes and no. I see even more MDXs(and RDXs, but mainly MDXs, which my girlfriend got an MDX and got rid of her cavaliar) out on the road now because people that are low milers can get them dirt cheap and they actually(yes actually) do a little bit better financially with those then getting something that is cheaply made 4 banger. So while I do believe that is the marketplace for 90% of the current market, but I don't believe there there is zero interest in used SUVs at all, because I see that right now. Just like you have people investing in real estate and in banks right now despite the crisis. They are called bargain hunters.
Hotshot
Joined: Mar 2007
Posts: 10,101
Likes: 40
From: Pa
I only have ever had pickup trucks from F-100s to SDs. I get used to sitting up high and the room. I think I'd have a hard time downsizing to a car or even a ranger or tacoma. I get in an Explorer and feel cramped. There is a place in the market for SUVs and especially larger trucks even with high fuel prices.
Freshman User
Joined: Mar 2008
Posts: 44
Likes: 0
I only have ever had pickup trucks from F-100s to SDs. I get used to sitting up high and the room. I think I'd have a hard time downsizing to a car or even a ranger or tacoma. I get in an Explorer and feel cramped. There is a place in the market for SUVs and especially larger trucks even with high fuel prices.
For the most part, my SD has been parked since gas crossed the $2.50 mark. I only get it out when I NEED a truck for something. I drive a lunchbox sized toyota to work (350-400 miles a week).
Post Fiend
Joined: Oct 2005
Posts: 10,626
Likes: 7
From: Plano TX and Brentwood TN
There are a bunch of people that DID feel that way too.....until some other variables kicked in and they no longer have the $120-150 it takes to fill up the tank.
For the most part, my SD has been parked since gas crossed the $2.50 mark. I only get it out when I NEED a truck for something. I drive a lunchbox sized toyota to work (350-400 miles a week).
For the most part, my SD has been parked since gas crossed the $2.50 mark. I only get it out when I NEED a truck for something. I drive a lunchbox sized toyota to work (350-400 miles a week).
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Senior User
Joined: Jun 2008
Posts: 173
Likes: 0
From: SouthEast Florida
The problem is the seller is unrealistic in what he/she wants for the truck.
The reason why the seller still own such truck is becuase the seller is the best person to own such truck. Becuase the seller is the only person that think such truck is worth that much. What a perfect match.
Freshman User
Joined: Mar 2008
Posts: 44
Likes: 0
Once again though, there will always be people that buy them regardless of the cost of fuel(and we are in demand destruction right now, so I imagine that in a couple of yrs(maybe less, depends on too many variables to say for sure at this juncture) this won't be weighing on our minds as much as it is now, now it's just a question of surviving til then). I actually have been driving my truck more after it's crossed the 4/gal mark and I don't see that slowing down til the fall, which is the typical slowdown period for my business. If prices remain the same for a year at what they are now, I'll be spending anywhere from 17 to 20k in fuel for this year. I would still buy a truck, I have to, I don't see a cavalier hauling a steel gooseneck horse trailer 40k miles a year(not all of that is hooked up, but a vast majority is). There will always be a market for the big truck, unless we talk about some major infrastructure changes that aren't going to be happening anytime soon. Now the big SUV that's up in the air, but the big truck, I doubt it'll be going anywhere too soon.
The 700,000 or so people that have been buying F-series trucks each year have not all been using them as work trucks.
The soccer moms and the "urban cowboys" are the ones that are no longer in the market for a truck or big SUV.
Posting Guru
Joined: Jul 2003
Posts: 1,273
Likes: 3
When do truck prices fall?
when oil hits all time highs, and when oil prices are more likely to increase than decrease
when the used truck market is oversaturated with people dumping fuel guzzling trucks in favor of smaller vehicles
when inflation and unemployment are at all time highs
basically that means now through the next couple years atleast
when oil hits all time highs, and when oil prices are more likely to increase than decrease
when the used truck market is oversaturated with people dumping fuel guzzling trucks in favor of smaller vehicles
when inflation and unemployment are at all time highs
basically that means now through the next couple years atleast
Thread Starter
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Tuned
Joined: Oct 2002
Posts: 466
Likes: 0
From: South Central KENTUCKY
So i go again todaY 120 MILES TO LOOK AT THE TRUCK AGAIN. Right off guy says 12900 After a good look over and drive, I come back and offer 9500. I didnt tell him all things i found, should have maybe, cracked windshield broken mirror, no power locks working.
Well anouther guy comes out to look at mine, tells me how nice it is blah blah. He comes out after awhile, and says he has bad news, i say just tell me, he says they would give me 1k for mine dropping price to 11900. I say thanks but no thanks too low, i have that in tires and chrome, he agrees and say yea they gettin truck for free, I dont counter , they dont try and stop me I leave, no calls yet 3 hours gone.
But I am thinking, how much mpg would be normal if i towed the f150 on car dolly,
v10 3.73 auto at 65? vs going home empty?????
wonder if i might be better off tow mine home 2000 miles and sell it then. Tell em i will buy at 11,5, but no trade or 10 with trade. But how much to drag mine home, then how much would i be able to sell for? I bought it for 4 1 year ago.
Well anouther guy comes out to look at mine, tells me how nice it is blah blah. He comes out after awhile, and says he has bad news, i say just tell me, he says they would give me 1k for mine dropping price to 11900. I say thanks but no thanks too low, i have that in tires and chrome, he agrees and say yea they gettin truck for free, I dont counter , they dont try and stop me I leave, no calls yet 3 hours gone.
But I am thinking, how much mpg would be normal if i towed the f150 on car dolly,
v10 3.73 auto at 65? vs going home empty?????
wonder if i might be better off tow mine home 2000 miles and sell it then. Tell em i will buy at 11,5, but no trade or 10 with trade. But how much to drag mine home, then how much would i be able to sell for? I bought it for 4 1 year ago.