Prices in the new car market are about to tank, will Toyota get the memo?

Because the prices are always going down during inflation?

 

Around here the only lots not full are Toyota and Honda, everywhere else pretty much looks like 2018/19

 

Funny.
The only dealership in the area during the pandemic that had many new vehicles available were Ram trucks.
No comparison to Toyota or Ford for that matter.
I owned 1 Dodge truck and never wil again. JUNK! They start rusting away setting on the dealers lot.

 

Same in my Bay Area city. Everyone from Audi to Chevy to Mazda is stocked. Honda has about 12-15 used cars and a Ridgeline, and my Toyota nearly dealer is empty, sales by appointment only.

 

Thus the "artificial demand" OP levied against them

 

I can't answer 1 because all I've seen so far as the prices shown over the last two months have been successfully argued as illegitimate. The simple math of 2 require something solid from 1.

 

Yes, and it does not take a profound economist to recognize the struggles of businesses offering 2.9 against the banks 7-9%. The Fed suggests 6%, but that does not match recreational loans, or even home loan 30 year notes.

 

Time will tell, and if I'm correct, I'm not a genius, I just pay attention to the markets, investment bankers, importers, financial markets, the bond and T-bills v bank rates, et al.

 

Chip inventory was falsely held back by China against US investments in farming and other real estate purchases. China is at war with the US, and the UK (the lesser of the two), and it is not a war of bombs, it is a financial chess game. Telling your opponent they don't get a Queen is an intentional handicap.

 

Go to one hour if you have any desire, and Musk paints a very layman's picture of the pending commercial real estate collapse, followed instantly by the housing market, and everyone who has a 30 year note with at least 15 years outstanding will be upside down with negative equity. The auto industry is not an outlier and their ability to borrow is specifically tied to the banks ability to loan, and when banks start holding back, vehicle prices will plummet and it does not matter how solid their ancestry and track record for holding strong against markets.

Musk also accurately calls out how this banking situation is not a US only event, but with all banks tied together and co-dependent globally, the causal effect will be global.

I read the childish and selectively ignorant responses, and appreciate the origins of their quotient, but as a relatively well educated well read individual, I tend to side with facts and historical precedent over emotional gotchas.

https://www.youtube.com/watch?v=zaB_20bkoA4

 

Lol at "childish and selectively ignorant responses."

Sub'd to come back at the end of this year to follow up on OP's "wise" and "learned" predictions.

I'm guessing the predictions and the stuff floating in a toilet bowl after a large Taco Bell meal have a lot of suspicious similarities. (Smell, consistency, value, etc.)

We'll see!

 

Sure bud. Two more weeks for the musings of “well educated, fact based” individuals to finally be right. Not like rates tripling and 3 major bank failures did the trick. It will be the next shoe to drop. In perpetuity.

 

Couldn’t be more wrong TBH

There already is, with a lot of manufacturers , it’s a volume business and having a vehicle on the lot has a much easier chance to move (especially for quick accident replacement purposes)

people buy shit they can drive, not just order blindly. Just because the inventory was moving at a higher price because the production was down globally doesn’t mean that’s how manufacturers are going to operate going forward.
They’ve spent billions on research, hence why their service departs are also vast. They make a ton of money there too, more cars = more sales = more service ….

 

Family member just got about 8% off MSRP TRD off road manual. It’s coming quicker than you think

 

Sure they did. Ask them to forward on their bill of sale.

 

You really need to do research before speaking, dealers are advertising 8% off in a lot of areas on Tacomas as we speak. Stop speaking on things you have no clue about

oh, and i was the one who did the negotiations

 

Look, you say something outrageous and categorically unbelievable you may want to provide proof. Everyone is a master negotiator paying 8% below MSRP on the internet.

Even the best brokers are getting 1-2K off, and those are mostly odd configs. Manuals are very rare.

 

I still have the first email, prior to even negotiating further- that was sent without even trying to negotiate yet

 

good deal, still not 8%. And 2.4k off is a far cry from the $8400 it would take to see 20% off. But props for providing something.

 

I don’t have his final paperwork. It was more than 8% though after all was said and done— again this was the basic first quote i got back after inquiry from a level 1 sales rep.

And trust me, if i showed you what they paid in trade (way over value) it’s close to 15% off.