Why are used cars so expensive?

[Seedersandleechers]

I've been pulling my hair out trying to find a decently priced used car since returning from the UK. Used cars prices have doubled since leaving here in August ( I know this because the car I sold in August is twice the price now). I have been told by a used car salesman that it's because we're shipping them to Japan. Yeah right.

[MicaelS]

1. The reason is too many people have poor credit

And cannot afford / get on a loan a new car, but can afford / get a loan on a used one. This increases demand, reduces supply and drives up prices.

You best bet is to find a reliable local mechanic, someone who has good references. They almost always have cars they want to sell for cash that they have acquired through default of the owner for non-payment of repairs. And developing a good relationship with the mechanic will allow him to take good car of your car, and you.

You might even find you could buy two cheaper cars, and drive one until it breaks down, then drive the other one while the first one is being repaired.

[Seedersandleechers]

2. Thanks

I actually bought my last car from my mechanic (had forgotten until you mentioned it). Will definately call him.

[MicaelS]

3. Best of luck n/t

[snooper2]

4. What's your price range, I'll find one in 5 minutes

[Seedersandleechers]

5. $4999 cash

Looking for a 4 cyl. with a 5 speed manual transmission. Small to midsize. Preferrably something in this century.

[LeftyMom]

7. In that price range you should not be taking to a salesman.

Private party is the way to go. Wait until you find a good deal, do your research and be choosy. Get an inspection before you buy, if AAA has a shop near you take it there unless you have a mechanic you trust. Use your inspection results to talk the price down if they find anything minor, walk if they find anything major.

If you have a mechanic you like ask him for suggestions (you'll get better rates for cars he likes working on) and if he knows any customers who are going to sell a good car soon.

[snooper2]

10. 1999 Subaru Outback $4,995

(With Cash, you can probably search autotrader for 5K-6k, and negotiate a car down they want 5500, $5600 for with cash.

http://www.autotrader.com/fyc/vdp.jsp?ct=u&car_id=299743777&dealer_id=64250561&car_year=1999&systime=&doors=&search_lang=en&start_year=1981&keywordsfyc=&keywordsrep=&highlightFirstMakeModel=&search_type=both&distance=75&min_price=4000&rdm=1308922062277&drive=&marketZipError=false&advanced=y&fuel=&keywords_display=&sownerid=746971&lastBeginningStartYear=1981&end_year=2012&showZipError=y&certified=&engine=4+Cylinder&dma=KANSAS_CITY&page_location=findacar%3A%3Aispsearchform&body_code=0&transmission=Manual&default_sort=priceDESC&max_mileage=&color=&address=66103&sort_type=priceDESC&max_price=5000&make=&seller_type=b&num_records=25&cardist=15&standard=false

2000 Volkswagen Golf GL $4,800
http://www.autotrader.com/fyc/vdp.jsp?ct=u&car_id=299544408&dealer_id=510383&car_year=2000&systime=&doors=&search_lang=en&start_year=1981&keywordsfyc=&keywordsrep=&highlightFirstMakeModel=&search_type=both&distance=75&min_price=4000&rdm=1308922062277&drive=&marketZipError=false&advanced=y&fuel=&keywords_display=&sownerid=746971&lastBeginningStartYear=1981&end_year=2012&showZipError=y&certified=&engine=4+Cylinder&dma=KANSAS_CITY&page_location=findacar%3A%3Aispsearchform&body_code=0&transmission=Manual&default_sort=priceDESC&max_mileage=&color=&address=66103&sort_type=priceDESC&max_price=5000&make=&seller_type=b&num_records=25&cardist=10&standard=false


Used 2006 Kia Optima LX
http://www.autotrader.com/fyc/vdp.jsp?ct=u&car_id=300106070&dealer_id=66269089&car_year=2006&systime=&doors=&search_lang=en&start_year=1981&keywordsfyc=&keywordsrep=&highlightFirstMakeModel=&search_type=both&distance=75&min_price=4000&rdm=1308922062277&drive=&marketZipError=false&advanced=y&fuel=&keywords_display=&sownerid=746971&lastBeginningStartYear=1981&end_year=2012&showZipError=y&certified=&engine=4+Cylinder&dma=KANSAS_CITY&page_location=findacar%3A%3Aispsearchform&body_code=0&transmission=Manual&default_sort=priceDESC&max_mileage=&color=&address=66103&sort_type=priceDESC&max_price=5000&make=&seller_type=b&num_records=25&cardist=5&standard=false


Used 2001 Saturn SL1
http://www.autotrader.com/fyc/vdp.jsp?ct=u&car_id=300468776&dealer_id=619768&car_year=2001&systime=&doors=&search_lang=en&start_year=1981&keywordsfyc=&keywordsrep=&highlightFirstMakeModel=&search_type=both&distance=75&min_price=4000&rdm=1308922062277&drive=&marketZipError=false&advanced=y&fuel=&keywords_display=&sownerid=746971&lastBeginningStartYear=1981&end_year=2012&showZipError=y&certified=&engine=4+Cylinder&dma=KANSAS_CITY&page_location=findacar%3A%3Aispsearchform&body_code=0&transmission=Manual&default_sort=priceDESC&max_mileage=&color=&address=66103&sort_type=priceDESC&max_price=5000&make=&seller_type=b&num_records=25&cardist=10&standard=false

[Seedersandleechers]

12. Thank you

Will check out auto-trader. Still, $4900 for a 2001 Saturn?

[mzteris]

13. so - you seem to know cars. . .

I have a Honda Accord - 2006 115K miles, front bumper & sideview mirror need to be replaced, rear bumper has a small crease. Needs new tires. Radio is cracked - but works, and one of the air vents got smashed (don't ask)... Has new brakes (all four).

I *may* be getting a new car (well old car, but a good deal) and I have a few options:

1. fix the car and sell it
2. don't fix the car and sell it
3. hold on to the car for my older son to use in about a year when he graduates highschool and goes off to do whatever it is he's going to do... resulting in - maybe selling the car at that time because the possibility exists that he'll be going someplace he won't need a car.


Any advice? :D

[A HERETIC I AM]

6. We're actually shipping them everywhere, including Japan, China and the middle east.

I haul cars and one of the sources that has exploded over the last few years are Insurance Auctions and companies like CoPart.

The real answer to your question is supply and demand. There is damned little supply compared to a few years ago (thank in part "Cash for Clunkers") and steady demand, particularly for salvage units.

More cars than you can imagine are being shipped to the various UAE states, Saudi Arabia and the rest of the middle east as well as South and Central America.

The number of brand new units like Mercedes, Rover, Lexus and others that are being purchased from dealers here in the USA and then being shipped overseas is amazing. NOTHING like it was a mere 6 years ago, when I last hauled cars.

[dimbear]

8. One of the main reasons is they last longer than they used to.

Should be some encouragement. :)

[OhioChick]

9. High Demand, Low Supply Hikes Used Car Prices

May 10, 2011 Demand for used cars is up and so are the prices, according to a study by Kelly Blue Book. When the economy was really bad, car companies didn't produce as much. So now there are fewer 2008 and 2009 used cars.

http://www.npr.org/2011/05/10/136163123/high-demand-low-supply-hikes-used-car-prices

[elleng]

11. Dunno, but you can't have my '93 toyo camry wagon for anything like that!

[Cairycat]

14. I love my 95 Camry wagon

hubby has a 96 sedan. We've decided it's better to keep on fixing them up rather than get newer used cars.

[elleng]

15. I think so! Folks gave me there's few years ago,

just put $2500 in it, first such ever, and running like a dream!