Consider the Price Gouging Officially Over

[NCBill]

"Lol I got the top trim and only put down 2500 so 1.9 percent for 60 months. It is what it is not gonna find an interest rate lower than that . I came from leasing so nothing to trade. its high but that’s the cost of financing a 47000 dollar vehicle".

Well, the great news here is you are BUYING the car, not leasing it. After 60 months, assuming reasonable miles and good maintenance, you will have many additional years of car ownership with NO payments! Small down payment drives the payments up, but it is what it is. So hang in there!

Just keep your guard up the next five years and avoid new car fever. Invariably, there will be something out there by then that is much better than a Telluride. But you will have a paid for car, and a really nice one!

 

[NCBill]

"I won't touch Kia unless sales manager himself will deliver it to my house with $5k under msrp and 0% financing for 72months and some extra add-on for free like set of summer wheels. Even then, I'll still think about it. Might still pass and continue to drive my 5 year old Nissan. Tables have turned. Can't say I didn't warn it won't end good with such greed."

Good luck with that plan. Dealers still have orders in hand. Sure there will be cancellations, so I predict the wait will go down.

In the end, ANY vehicle is a depreciating asset. So if your Nissan is running well, keeping the Nissan will always be your cheapest option.

 

[mrmac]

“You clearly aren’t an economist.”

You obviously aren’t either. Your saying the spike in unemployment and 10 trillion dollar hit on the economy will have no impact on demand. Ok! LOL

China car sales plummet 80 percent amid coronavirus crisis

Car sales in China plummeted last month as the coronavirus epidemic kept buyers out of dealerships, an industry group said Wednesday.

nypost.com

Yes, I am an Economist and I said it will impact demand - however it will be very short lived. This will result in pent-up-demand.

 

[gfunk24]

Tables have turned. Can't say I didn't warn it won't end good with such greed.

In what way did charging >MSRP not end well for dealers? They sold them as fast as they could get them on the lot.

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[ksyrah]

In what way did charging >MSRP not end well for dealers? They sold them as fast as they could get them on the lot.

I disagree. There were many dealers asking 10K over who had many sitting on the lots. And if you looked up the VIN like I did, they were sitting there for a few weeks. I got into a little spat with one who stated that you could not get one at MSRP. I had to prove what I paid (Wifie wants another....)
Edit - just checked their website. 34 Tellys in stock.......

 

[raydog9379]

I disagree. There were many dealers asking 10K over who had many sitting on the lots. And if you looked up the VIN like I did, they were sitting there for a few weeks. I got into a little spat with one who stated that you could not get one at MSRP. I had to prove what I paid (Wifie wants another....)
Edit - just checked their website. 34 Tellys in stock.......

They're starting to pile up. Dealer I originally had ordered with back in Nov, had between 0 and 3 on their lot at any given time all of Dec, Jan, and Feb. Even then, any non-ordered cars were given a $4k markup. Now they have 10 listed on their site (had 7 last week), and are advertising for MSRP for most (others just say please call as they haven't been updated for a while on their site from before this mess).

 

[Average Joe]

There is a self-proclaimed “economist” on this thread that should be able to explain how all of these Tellurides starting to “pile up” will actually increase the demand over the coming weeks. He will also tell you how he knows that this global recession (potentially depression) will be short lived.

 

[njchpd]

Lol I got the top trim and only put down 2500 so 1.9 percent for 60 months. It is what it is not gonna find an interest rate lower than that . I came from leasing so nothing to trade. its high but that’s the cost of financing a 47000 dollar vehicle

I got 1.4 % in July 2019.

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[Pikachu]

What some "economists" and Kia dealer shills need to understand is that the world as we knew it is over. There's not going to be any pent-up demand lol. Forget about msrp. No one in there right mind will buy any new car at msrp anymore. Economy is dialed back and it will take many years to recover - even that given if we'll be able to develop vaccine for covid19 at least in 1 year.
I'll come here in 1 month to prove my point and we'll see how many Tellurides will pile up at each dealer and how low under msrp will dealers go in order to sell that degrading asset every car has become currently. You guys can keep living in la-la land, but reality is going to give you a nice slap in your palpebral slanted thin vermilion faces lol.

 

[MarcinTexas]

What some "economists" and Kia dealer shills need to understand is that the world as we knew it is over. There's not going to be any pent-up demand lol. Forget about msrp. No one in there right mind will buy any new car at msrp anymore. Economy is dialed back and it will take many years to recover - even that given if we'll be able to develop vaccine for covid19 at least in 1 year.
I'll come here in 1 month to prove my point and we'll see how many Tellurides will pile up at each dealer and how low under msrp will dealers go in order to sell that degrading asset every car has become currently. You guys can keep living in la-la land, but reality is going to give you a nice slap in your palpebral slanted thin vermilion faces lol.

Things are changing...sure...but some people will still need a vehicle. And there are some that are sitting on the sidelines waiting for some inventory to go look at and test drive. I for one am looking to replace my wife's 9.5 year old Honda Odyssey. My job isn't impacted...so I continue to wait for my Telluride SXP sometime this summer. @StephenCantrelle looking forward to hearing news next month!!

Oh...by the way - production is back up and running. production looking good!

 

[mrmac]

What some "economists" and Kia dealer shills need to understand is that the world as we knew it is over. There's not going to be any pent-up demand lol. Forget about msrp. No one in there right mind will buy any new car at msrp anymore. Economy is dialed back and it will take many years to recover - even that given if we'll be able to develop vaccine for covid19 at least in 1 year.
I'll come here in 1 month to prove my point and we'll see how many Tellurides will pile up at each dealer and how low under msrp will dealers go in order to sell that degrading asset every car has become currently. You guys can keep living in la-la land, but reality is going to give you a nice slap in your palpebral slanted thin vermilion faces lol.

In time you will come to admit you were wrong.

 

[markjenn]

Every pandemic is different and something like this has never happened to a society as interconnected, densely distributed, mobile, and politically aligned as the current one. The mobility and interdependencies work work against us, but better science, ready access to information, and the ability of commerce to continue via communication help us. All outcomes, from a minor blip to a complete meltdown in society as we know it are possible. It will probably be someplace in-between. Anybody who thinks they can accurately predict the outcome of this is pedaling snake oil. It's chaos theory in action.

On a personal level, I'm not much concerned about what I drive these days. My concern is the impact of all this to the people who work in the car production and distribution industry but not about what kind of "deal" I can get now or in the future. That's just not very important until things settle and we see our way forward.

- Mark

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[PaulD]

Yes, I am an Economist and I said it will impact demand - however it will be very short lived. This will result in pent-up-demand.

Can you cite any evidence for this assertion?

 

[mrmac]

Evidence per se. No. Just a stupid Doctorate in Economics combined with 25 years experience analyzing and predicting human behavior.

 

[PaulD]

Evidence per se. No. Just a stupid Doctorate in Economics combined with 25 years experience analyzing and predicting human behavior.

I wasn't asking to be an ass. I'm genuinely interested.

That said, someone with an economics PhD should be able to elaborate on the assertion. It doesn't take a doctorate in anything to recognize that the current situation is quite unprecedented ( just have a stupid undergrad in mechanical engineering and a masters in comp sci).

If I had to guess, I'm inclined to agree with you and that it will be more like after 9/11 than 2008 because we don't have those structural problems we did in 2008. At the same time, 9/11 didn't shut down a huge portion of the economy. The only place where people stayed home from work afterwards was NYC.

 

[Sal Collaziano]

I think things are going to get back to "normal'ish" sooner than we had expected a few days ago. There are still hot-spots that are out of control - but I think most of the country is going to reign this situation in - and get through it sooner than later.

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[Sal Collaziano]

"I won't touch Kia unless sales manager himself will deliver it to my house with $5k under msrp and 0% financing for 72months and some extra add-on for free like set of summer wheels. Even then, I'll still think about it. Might still pass and continue to drive my 5 year old Nissan. Tables have turned. Can't say I didn't warn it won't end good with such greed."

Good luck with that plan. Dealers still have orders in hand. Sure there will be cancellations, so I predict the wait will go down.

In the end, ANY vehicle is a depreciating asset. So if your Nissan is running well, keeping the Nissan will always be your cheapest option.

Just an FYI to make replying a little easier, clicking the REPLY link/button will automatically quote the message you're replying to - AND inform the person that you replied to their message.

 

[Sal Collaziano]

What some "economists" and Kia dealer shills need to understand is that the world as we knew it is over.

That is ridiculous.

 

[raydog9379]

At the same time, 9/11 didn't shut down a huge portion of the economy. The only place where people stayed home from work afterwards was NYC.

And airlines, hotels, car rentals....

I had just come out of college, and was a management consultant w/ a big 5 firm starting the Monday after 9/11. So I was traveling a ton for work. Needless to say, I was scoring flights from JFK-LHR on weekends for on average $180 round trip. We used any excuse whether it be a Harry Potter premier, Bond Movie premier, to have lunch at a favorite Chinese restaurant, hit up clubs, etc.. It was fun to say the least. Got to know some ticket agents at both airports, never flew coach.

But outside of that though, demand for most other things was ok. Financial Services and Tech sectors became a disaster though. Most of my friends that were on Financial Services projects got laid off. I came out of school as a Java developer and quickly switched into project mgmt in the healthcare sector because I saw what was going down in IT with offshoring...smart move.

 

[Stacyg]

You are welcome! My daughter is a cosmetologist in Phoenix. Does hair in one shop, nails in another. Both are loved temporarily. Tough times for the service industry. Best wishes

Thank you hopefully we won’t be out that long!