Do vehicles really go up in value?

Also wouldn't be very smart to go back to work at place where you made $3.50 and another place offers you $8.

 

But I already have a job.

 

My Nova did

 

I would sell my 2nd gen Today $25,000.

 

I've got a 2021 Tacoma on order. Trading in my Tundra. 2019 Tundra...paid $47k new. 2+ years and 14k miles later, I'm getting $46.5k for trade-in. Pretty f'ing crazy.

 

Cars appreciate for various reasons not just antique, rarity etc.

My 88 YJ in stock form is worth more today than when I bought it in the 90s. It's partially due to arbitrary price increases across the entire Jeep line.

Once the build is complete it will be worth 10x what I paid

Supply and Demand

 

Here's a thought:

I found a copy of my fathers 1040 dated 1972. He made $42,000 in 1972.
In todays world that would translate to $260,000+ ...

So, all of you cats out there making $40,000~$50,000... you should really be making $200,000+ adjusted.

The problem with wages is they have never kept up the last 50 years or so, the top-dogs at these companies, especially
big corporations are making 1000 times more than their line-workers... it's like a pyramid scheme ... the very few cats
at the top of the chain are making millions upon millions off the backs of the line-worker-folks who are taking it with no lube.

Jeff Bezos... this guy rakes in ( you better sit down for this )... about $174,000 a minute.
24 hours a day... 7 days a week. Man would I like about 5 minutes of his time.

He pays no taxes either.... while I'm delighted we live in a country where a person can rake in
that kind of money, I'd feel better about it if he paid tax.

Same thing with big banks who use YOUR MONEY in THEIR BANK to play on Wall-Street. They make MILLIONS of dollars
with YOUR MONEY sitting in THEIR BANK and don't even cut you in on it... and they don't pay taxes on the money they
make with YOUR MONEY either...

Prices are going way up, Covid has wrecked the supply chain across the globe. Not too long ago scoring a roll of T.P. was
like finding a stash of gold... and I see things in the stores that come-and-go in short supply to this day.

Gas prices dropped to very low prices as nobody was driving.... tanker drivers left the field to do other things or retire.
Now people are starting to go places.... not much gas is being delivered... prices going back up ...

I'm retired, I put in my 30+ years, I'm by no means rich or even wealthy but I'm damn glad I don't have to struggle
like this younger generation will have to... although the opportunities for this generation is boundless.

 

That's not really a fair comparison and completely depends on the type of work your father did. The average yearly salary in 1972 was $7200.00 in which your father was paid 6 times that amount. Using your $260,000+ adjustment and divide that by 6 it comes to ~45,000. So it looks like the people making $40k-$50k are right around the average. The Average yearly income in 2010 as an example was also $50k.

Really, everyone is likely making what they are supposed to. Comparatively, the salaries of the 1970s however were higher proportionally for blue-collar low skill labor. $40-$50k today is considered low-skill or entry level in many markets.

You also need to realize that Jeff Bezos doesn't collect a salary, he makes money on invesements and the ownership of his companies. Like CEOs and other wealthy folks, their money comes from share ownership, not actual cash.

 

You want a business to complete with a printing press? I take it Econ 101 didn't go well...

You actually think someone flipping burgers at McBurger is worth $20/hr (welfare is $16/hr) and profitable at that?

 

Bought my 1972 Camaro ss 22 years ago for $4000 , I can easily sell it now $30k

 

Markets are bonkers due to supply chain issues, demand planning fails (most thought demand would fall so production plans were reduced - e.g. Processors & logging / sawmill production). In the background we have inflation working its way through and also the US Dollar is losing value - most dramatically since late last year. (relative to commodities and other currencies).
Demand, inflation, and FX, hit the right spot in the vehicle market pushing prices upwards.

How this all unravels it is hard to say. - Crystal balls need to be quite high-powered these days as many things are not functioning within their ‘normal’ parameters…

Mine is not that high powered... I thought there would be a great buying opportunity in real estate around this time… NOPE! At least not yet (???). - Will the market change when mortgage payments can no longer be deferred? When evictions start? More money will likely need be pumped into this situation - or risk things getting quite ugly on the streets...

 

I don't think we'll see a real-estate crash like we did in 2008/2009. I was in the middle of that - and thanks to some real legislation and consumer
protections the market today is more in-line to actual values. I saw instances, this is live data mind you, where some of those big-houses that went
belly up were buying 'paper' ( mortgages ) for properties that didn't even exist... they held paper on dirt... no house, no nothing... a few cases where
the address wasn't even real. They sliced and diced this paper left and right to create 'paper-value' that didn't exist.

Today's market is wrapped up with 'actual houses', with appraisals that are 'real', from appraisers who were chosen by the 'computer' rather than
someone's friend.... totally different scene.

Are some over valued?.... sure... possible correction in order... sure... but at the end of the day the fire-sale-value will equal or exceed the amount the bank is holding.

 

I think something is going on with inflation right now for sure. I just went on KBB and the private party value of my 2019 SR5 is close to $4,000 more than I paid brand new out the door from the dealer.

 

Well. I refinanced my truck last week and the loan officer at the credit union told me the clean NADA retail value of my truck was like $43,600. Almost $10k more than I paid for it.

I'm not expecting it to hold on to all that value nor do I have any wild dreams of cashing out for something else it end up paying too much for at the moment. It's still astounding to see something that is always expect to loose value to some extent appreciate. I know however that the reason is all about this supply and demand relationship that's gone out of balance and the value will likely normalize when thing come back to more balanced.

 

I'm just happy I am not in the market right now to buy a new vehicle. While I would love to cash out my truck for more than I paid for it, I'd really hate paying the same premium to buy a new one. The only way to "win" at this game right now is to sell an unnecessary vehicle and not replace it.

 

Supply and demand. My buddy sells Toyotas and told me similar stories. They bought back some ladies 2018 4runner with 28k miles for the price she paid for it. He sold a Tundra to some guy for $7000 over sticker price...$69000! Limited supply due to covid from slowed production, shortages in parts, and shipping. Toyota says they'll be back to normal production in 4 months. Supposedly

 

That was my exact comment earlier.... Working at a credit union/bank you get some insight to how weird things are... I can't even imagine being a real estate agent or trying to buy a house in this market... Lucky wife and I got the one we're in when we did and the appraisal came back low, widower situation and he just wanted out of the house

 

I was just reading about a rubber shortage now so tires, wipers, ball joints, tie rods, weatherstripping etc all going up in price too. Many manufacturers seem to follow "Just In Time", while that may save a few bucks and ease the assembly process. But if there are any disruptions in the supply chain it throws everything out of whack, might be time to rethink some of these practices.