President’s Day is a holiday often marked by sales of items such as cars. As the unofficial car buying season begins, the market remains volatile. Pandemic-related supply chain issues have pushed up car prices, but industry experts say 2023 could be a better year for buyers. Lee Auto Malls partner Tom Santospago says their need for inventory benefits the people who want to shop there. “Consumers are coming in and actually have good control because their cars are worth so much money that they sometimes get better performance than they did before COVID,” Santospago said. National average sales prices fell below the manufacturer’s suggested retail price in December, according to the Edmunds car shopping guide. Edmunds also says, however, that borrowing costs have risen. The APR on used cars rose to 10% in the last quarter of 2022, compared to 7.4% in the same period in 2021. Richie Axelsen, owner of Scarborough business Car Buying Assistant, says the research is more important than ever. “Now you’re going to find more $80, $90, $100,000 mile cars than ever before, because normally a dealer would send that car to auction because there’s such a shortage that dealers don’t have a choice,” Axelsen said. Lee Auto in Topsham is offering no-cost maintenance plans for pre-owned vehicles in an effort to attract buyers. “I’m really steering people toward new cars right now, in particular saying why don’t you lease this thing for three years, so we’ll get out of this mess and see what happens at the end of it,” Axelsen said. One bright spot, says Santospago, are the trucks. “I think there’s still a lot of inventory, and if you’re trading in a truck, it’s worth some crazy money right now,” Santospago said. Another tip from industry experts is to get approved for an auto loan from a bank or credit union so you can compare rates with the dealership once you’re looking for that new car.
President’s Day is a holiday often marked by sales of items such as cars.
As the unofficial car buying season begins, the market remains volatile.
Pandemic-related supply chain issues have pushed up car prices, but industry experts say 2023 could be a better year for buyers.
Lee Auto Malls partner Tom Santospago says their need for inventory benefits people who want to trade.
“Consumers are coming in and they’re actually in good control because their cars are worth so much money that sometimes they’re getting a better deal than before COVID,” Santospago said.
National average selling prices fell below the manufacturer’s suggested retail price in December, according to the Edmunds car shopping guide.
Edmunds also says, however, that borrowing costs have risen.
The APR on used cars rose to 10% in the last quarter of 2022, from 7.4% in the same period in 2021.
Richie Axelsen, owner of Scarborough business Car Buying Assistant, says the research is more important than ever.
“Now you’re going to find more $80, $90, $100,000 mile cars than ever before, because normally a dealer would send that car to auction because there’s such a shortage that dealers don’t have a choice,” Axelsen said.
Lee Auto in Topsham is offering no-cost maintenance plans for pre-owned vehicles in an effort to attract buyers.
“I’m really steering people toward new cars right now, in particular saying why don’t you lease this thing for three years, so we’ll get out of this mess and see what happens at the end of it,” Axelsen said.
One bright spot, says Santospago, are the trucks.
“I think there’s still a lot of inventory, and if you’re trading in a truck, it’s worth some crazy money right now,” Santospago said.
Another tip from industry experts is to get approved for an auto loan from a bank or credit union so you can compare rates with the dealership once you’re looking for that new car.
