Welcome to the North American Subaru Impreza Owners Club Thursday December 8, 2022
Home Forums Images WikiNASIOC Products Store Modifications Upgrade Garage
NASIOC
Go Back   NASIOC > NASIOC General > News & Rumors > Non-Subaru News & Rumors

Welcome to NASIOC - The world's largest online community for Subaru enthusiasts!
Welcome to the NASIOC.com Subaru forum.

You are currently viewing our forum as a guest, which gives you limited access to view most discussions and access our other features. By joining our community, free of charge, you will have access to post topics, communicate privately with other members (PM), respond to polls, upload content and access many other special features. Registration is free, fast and simple, so please join our community today!

If you have any problems with the registration process or your account login, please contact us.







* As an Amazon Associate I earn from qualifying purchases. 
* Registered users of the site do not see these ads. 
Reply
 
Thread Tools Display Modes
Old 09-29-2022, 04:49 PM   #1
Scooby-Doode
Scooby Specialist
 
Member#: 28976
Join Date: Nov 2002
Location: ANE Where
Vehicle:
2016 Step 2 Push
Buggy GT

Default CarMaxís Huge Earnings Miss Sends Warning Signal on US Consumer

The reckoning is coming ! Or is it here already .. Discuss!


https://finance.yahoo.com/video/carm...143355103.html


https://www.bloomberg.com/news/artic...on-us-consumer (paid content, generally 1 free article per month)


https://www.msn.com/en-us/money/mark...ss/ar-AA12oBxd
* Registered users of the site do not see these ads.
Scooby-Doode is offline   Reply With Quote
Sponsored Links
* Registered users of the site do not see these ads.
Old 09-29-2022, 05:38 PM   #2
Russ_G93
Scooby Newbie
 
Member#: 528403
Join Date: Jan 2022
Chapter/Region: NWIC
Location: NorCal
Vehicle:
22' WR-HikingShoe
17' F250, 18' Q5, 18' CRV

Default

Another lesson in why being a "Stealership" will eventually bite yea
Russ_G93 is online now   Reply With Quote
Old 09-29-2022, 06:12 PM   #3
4S-TURBO
Scooby Guru
 
Member#: 67807
Join Date: Aug 2004
Chapter/Region: MAIC
Vehicle:
an anachronism
of car culture

Default

Death by a thousand cuts.
4S-TURBO is offline   Reply With Quote
Old 09-29-2022, 06:47 PM   #4
Kostamojen
Scooby Guru
 
Member#: 2272
Join Date: Sep 2000
Chapter/Region: BAIC
Location: Fire Caves
Vehicle:
2019 Macan 4cyl
1993 Impreza FWD WRX swap

Default

Thats what they get for buying up all the used market at massively inflated prices.
Kostamojen is offline   Reply With Quote
Old 09-29-2022, 08:14 PM   #5
VarmintCong
Scooby Specialist
 
Member#: 379605
Join Date: Jan 2014
Location: Peabody, MA
Vehicle:
2017 Civic Sport
2012 Outback 2.5

Default

From my observations (we sold them 4 cars in 3 years), they changed in the last 6 months. Previously they would buy a car for say $20k and put it up for sale for $22,500 or $23k, a reasonable markup.

In the last 6 months they changed that and now are trying to make $6k on a car.
And theyíre still trying to get pre recession prices.
VarmintCong is offline   Reply With Quote
Old 09-30-2022, 08:31 AM   #6
Sid03SVT
Scooby Specialist
 
Member#: 183032
Join Date: Jun 2008
Chapter/Region: NESIC
Location: CT
Vehicle:
RWD Camry
Pull me over red

Default

In the examples I looked at (2021), they are asking 15-20% more than the MSRP of a new model for a used model; not surprising that they aren't selling as many vehicles as they would like.

The only people that are going to buy something right now, at least in my mind, are people who need a vehicle, as in their current one is on its last legs, the people with more money than self control, or the people that are finding/buying them at MSRP; that is not a deep pool compared to the typical "new thing every three years" crowd.

Even before the pandemic & chip shortages they were asking too much for used vehicles.
Sid03SVT is offline   Reply With Quote
Old 09-30-2022, 11:56 AM   #7
Pre
Scooby Guru
 
Member#: 139693
Join Date: Feb 2007
Vehicle:
Dura ngo 95
horrorshow

Default

Screw Carmax, Zoom, Swift, and the rest of them. People do not understand their responsibility for all this insane used market madness. Blood suckers.
Pre is offline   Reply With Quote
Old 09-30-2022, 12:06 PM   #8
Angelus911
Scooby Specialist
 
Member#: 89967
Join Date: Jun 2005
Chapter/Region: NESIC
Location: MA
Vehicle:
2020 Volvo S60
Gray

Default

Carvana bought my mother's Crosstrek that need an AC compressor replacement, wheel bearings, and brakes all around. Crazy what she got for a 2014 model.

Not sure what happened to it, it never went for sale on Carvana, they prob sold it via auction
Angelus911 is offline   Reply With Quote
Old 09-30-2022, 12:06 PM   #9
Angelus911
Scooby Specialist
 
Member#: 89967
Join Date: Jun 2005
Chapter/Region: NESIC
Location: MA
Vehicle:
2020 Volvo S60
Gray

Default

*stupid double post, sorry

Last edited by Angelus911; 10-03-2022 at 11:15 AM.
Angelus911 is offline   Reply With Quote
Old 09-30-2022, 12:33 PM   #10
dwf137
Scooby Specialist
 
Member#: 161333
Join Date: Oct 2007
Chapter/Region: NWIC
Location: snoco wa
Vehicle:
20 Yami XSR
fast leaf

Default

i mean... what did people think was going to happen with rising interest rates? Used car loans suck. I feel bad for people that were in a situation where they absolutely needed to buy a car in the past year or so without a trade in - totally fleeced.
dwf137 is online now   Reply With Quote
Old 09-30-2022, 02:19 PM   #11
SubaDuba420
Scooby Specialist
 
Member#: 102793
Join Date: Dec 2005
Chapter/Region: NESIC
Vehicle:
2016 WRX
Ugly Sedan

Default

Definitely seeing used prices dropping faster / further on a few models i've been looking to buy over the past 2 weeks, still dropping. Carvana, Vroom & Carmax have been making more regular price drops recently. Now I need to time the purchase against dropping further VS someone else jumping on the current deal, hoping the interest % keep some people out of the market....


Quote:
Originally Posted by Kostamojen View Post
Thats what they get for buying up all the used market at massively inflated prices.
I'm hoping Carvana gets stuck with all of those 06-15 NC Miatas they paid CRAZY$$$$ for, completely screwed up the market....
SubaDuba420 is offline   Reply With Quote
Old 09-30-2022, 02:33 PM   #12
YungBoba
Scooby Specialist
 
Member#: 450808
Join Date: Jul 2016
Chapter/Region: SCIC
Location: Anaheim
Vehicle:
2017 WRX Premium
WR Blue Pearl

Default

I sold my car to Vroom two months ago for $24K. I checked the value just now using the same exact info/mileage/condition that I entered when I sold it, and now they have it at $18K. Glad I got rid of it when I did.
YungBoba is offline   Reply With Quote
Old 09-30-2022, 02:51 PM   #13
Kostamojen
Scooby Guru
 
Member#: 2272
Join Date: Sep 2000
Chapter/Region: BAIC
Location: Fire Caves
Vehicle:
2019 Macan 4cyl
1993 Impreza FWD WRX swap

Default

Quote:
Originally Posted by SubaDuba420 View Post
I'm hoping Carvana gets stuck with all of those 06-15 NC Miatas they paid CRAZY$$$$ for, completely screwed up the market....
Ya, NC's going for ND prices is just nuts. Clubsports were being listed for over $20k... I could have bought one new for like $25k back in the day.

The new car market is still fubared, but hopefully the glut of overpriced used cars that go back down to earth price wise will help alleviate that a bit too.
Kostamojen is offline   Reply With Quote
Old 09-30-2022, 03:18 PM   #14
Dex
Scooby Specialist
 
Member#: 163775
Join Date: Nov 2007
Location: Somewhere spilling coffee
Vehicle:
2023 BRZ
CWP

Default

I love Carmax, they gave me KBB for my FiST. Now ask me if I'd buy a car from them
Dex is offline   Reply With Quote
Old 09-30-2022, 03:28 PM   #15
godfather2112
Papi Chulo
Moderator
 
Member#: 53794
Join Date: Jan 2004
Chapter/Region: RMIC
Location: Boner kill city
Vehicle:
... 2017 BMW M2
2017 F-150

Default

Itís going to be interesting to see what happens to carmax, vroom and basically all dealerships. If used car buying continues to fall off a cliff and they canít sell them for a profit or break even, will they sell for a loss to move inventory (guess they can write the losses off against profits).

If youíre a manufacturer dealership, you have new vehicle sales in addition to used / trade in. For companies like carmax, vroom, their model is all pre owned. Iíd sure as **** hate to be sitting on a massive stock pile of inventory of used cars that are now valued at less than what you bought them for.
godfather2112 is offline   Reply With Quote
Old 09-30-2022, 03:38 PM   #16
Sid03SVT
Scooby Specialist
 
Member#: 183032
Join Date: Jun 2008
Chapter/Region: NESIC
Location: CT
Vehicle:
RWD Camry
Pull me over red

Default

We're pulling/cancelling our Highlander Hybrid order and getting a Sorento PHEV at MSRP that is on a lot within a reasonable distance to our home state. We wanted something before winter and it's an SX Prestige, so it checks the boxes with some extra stuff we didn't even know we wanted (red paint, 3-row hybrid, leatherette interior; pano sunroof was a bonus as my wife likes sunroofs). The ~8,000 worth of combined fed & state PHEV tax credits is just icing on the cake; my wife actually liked the way the Sorento drove/rode better than the Highlander, I did as well, but I didn't want to affect her opinion with mine so I kept my mouth shut during her test drive.

Carvana is giving us 3k more than the Toyota dealer was for her Corolla iM, granted ~$230 that will get soaked up in additional sales that would have been offset by the trade, but last time I checked $3,000>$230 by a significant factor.

Carvana is also giving us ~$2,000 more than Vroom and ~$2,500 more than carmax.

I really think used prices are going to absolutely tank at the end of this year/beginning of 2023, so we're getting while the getting is good; we're paying cash so interest rates don't mean anything to us, even though they are climbing.

Last edited by Sid03SVT; 09-30-2022 at 03:55 PM. Reason: typos.. so many typos
Sid03SVT is offline   Reply With Quote
Old 09-30-2022, 04:13 PM   #17
Sid03SVT
Scooby Specialist
 
Member#: 183032
Join Date: Jun 2008
Chapter/Region: NESIC
Location: CT
Vehicle:
RWD Camry
Pull me over red

Default

Quote:
Originally Posted by Angelus911 View Post
Carvana bought my mother's Crosstrek that need an AC compressor replacement, wheel bearings, and brakes all around. Crazy what she got for a 2014 model.

Not sure what happened to it, it never went for sale on Carvana, they prob sold it via auction
They probably do what most dealers do with older vehicles; auction them off. I don't understand how they can stay in business paying what they pay for used cars, but they also do charge a premium on what they sell, so maybe that's their model, buy high, sell high.
Sid03SVT is offline   Reply With Quote
Old 09-30-2022, 09:42 PM   #18
VarmintCong
Scooby Specialist
 
Member#: 379605
Join Date: Jan 2014
Location: Peabody, MA
Vehicle:
2017 Civic Sport
2012 Outback 2.5

Default

Quote:
Originally Posted by Angelus911 View Post
Carvana bought my mother's Crosstrek that need an AC compressor replacement, wheel bearings, and brakes all around. Crazy what she got for a 2014 model.

Not sure what happened to it, it never went for sale on Carvana, they prob sold it via auction
My Si showed up 30 miles away in a different Carmax with an extra 1000 miles. It didnít need any reconditioning or even dent removal. Maybe some manager drove it for a couple weeks.
VarmintCong is offline   Reply With Quote
Old 09-30-2022, 09:44 PM   #19
VarmintCong
Scooby Specialist
 
Member#: 379605
Join Date: Jan 2014
Location: Peabody, MA
Vehicle:
2017 Civic Sport
2012 Outback 2.5

Default

Quote:
Originally Posted by Dex View Post
I love Carmax, they gave me KBB for my FiST. Now ask me if I'd buy a car from them
Exactly, they are great for car sellers. I wouldnít buy from them, too expensive.
VarmintCong is offline   Reply With Quote
Old 09-30-2022, 09:48 PM   #20
VarmintCong
Scooby Specialist
 
Member#: 379605
Join Date: Jan 2014
Location: Peabody, MA
Vehicle:
2017 Civic Sport
2012 Outback 2.5

Default

Quote:
Originally Posted by YungBoba View Post
I sold my car to Vroom two months ago for $24K. I checked the value just now using the same exact info/mileage/condition that I entered when I sold it, and now they have it at $18K. Glad I got rid of it when I did.
Me too, Carmax valued my 2020 Si at $27k back in like January, and by the time I could sell it in July their website showed $24,600. Still decent for 43k miles but it dropped a lot.

Same for our 2021 Ascent, dropped from $39k to $35k by July.
VarmintCong is offline   Reply With Quote
Old 10-01-2022, 05:45 PM   #21
Scooby-Doode
Scooby Specialist
 
Member#: 28976
Join Date: Nov 2002
Location: ANE Where
Vehicle:
2016 Step 2 Push
Buggy GT

Default

Quote:
CEO Nash ended the prepared remarks section of the call by assuring Wall Street that the challenges won't last: "As I close, I want to reiterate that while the market conditions and consumer behaviors are challenging, we believe that these pressures are transitory and that our foundation remains strong.
bwahahahaa. CEO Nash opens the door and welcomes the Fed that has been saying "inflation is transitory" for the past 2 years.

Full blow recession here we come.... Car loan holders will default, car market will collapse. Those holding cash will once again have buying power.
Scooby-Doode is offline   Reply With Quote
Old 10-01-2022, 05:45 PM   #22
Scooby-Doode
Scooby Specialist
 
Member#: 28976
Join Date: Nov 2002
Location: ANE Where
Vehicle:
2016 Step 2 Push
Buggy GT

Default

Ahh haaa, its the DP feature. Hmm, wonder if I can use this to my advantage to get "Scooby Guru" status.

Last edited by Scooby-Doode; 10-02-2022 at 03:44 PM.
Scooby-Doode is offline   Reply With Quote
Old 10-02-2022, 09:23 AM   #23
rexster
Scooby Specialist
 
Member#: 22863
Join Date: Aug 2002
Chapter/Region: MAIC
Location: The Land of Mary
Vehicle:
2015 WRX, 2022 Fozzy
Painted fender collection

Default

It will be interesting to see how this plays out for the used car companies. While rising interest rates reduce buying power, I still think used car demand will be strong for years to come. The chip shortage has reduced new car sales by many millions over the last couple years. Thatís going to constrain the supply of used cars for years.
rexster is offline   Reply With Quote
Old 10-02-2022, 11:27 AM   #24
ptclaus98
Scooby Specialist
 
Member#: 87888
Join Date: May 2005
Chapter/Region: South East
Location: Chattanooga, TN
Vehicle:
2007 Mazda Miata
POS Green(and black)

Default

Quote:
Originally Posted by SubaDuba420 View Post
Definitely seeing used prices dropping faster / further on a few models i've been looking to buy over the past 2 weeks, still dropping. Carvana, Vroom & Carmax have been making more regular price drops recently. Now I need to time the purchase against dropping further VS someone else jumping on the current deal, hoping the interest % keep some people out of the market....



I'm hoping Carvana gets stuck with all of those 06-15 NC Miatas they paid CRAZY$$$$ for, completely screwed up the market....


Oops, I didn't sell mine.
ptclaus98 is offline   Reply With Quote
Old 10-03-2022, 09:23 AM   #25
Sid03SVT
Scooby Specialist
 
Member#: 183032
Join Date: Jun 2008
Chapter/Region: NESIC
Location: CT
Vehicle:
RWD Camry
Pull me over red

Default

Semi-related, this was my first time dealing with/selling to Carvana so I figured it might be helpful to others.

On Friday I put in my vehicles info on their website, they made an offer that was, lets say very agreeable, the closest location was ~1hr away so we opted to have them pick the car up, which took $75 off of our payout (well worth it to save us ~2hrs in the car with the kids). After I accepted the offer, I scheduled a pickup for Sunday morning; they give you windows of time, a morning and an afternoon window. I provided banking details for them to make a direct deposit.
Saturday I got an email giving me an exact time when someone would be there to pick up my car, as well as the drivers name and some other information.
Sunday morning I got a text from the driver saying they would be there in 30-40 minutes, they were ~20minutes late, but no big deal. paperwork was all prepared, I had to sign in four places, my wife had to sign in four places, the driver did a brief (and I mean brief) walk around inspection of the car, took a few photos, I gave them the title and I loaded it on the flatbed for them as they did not know how to drive manual well. Before the driver left I got a notification that a direct deposit had been initiated. That night I got a notification that the direct deposit had been approved.
This morning (Monday) the money was in my account.

It was so easy, I highly recommend looking into one of these car purchasing services before just doing a trade-in.

The best part:
We bought the car in 2017 for $14,696+TTR
MSRP was $19,795
Invoice was $18,646
The Toyota dealer was going to give us $16,000, which we were fine with
Carvana offered us $19,029, and after paying the $75 delivery fee, we had $18,954 in our account within 12hrs of them picking the vehicle up.

We drove the car for five years and 55,250 miles, and we made money on it.

Carmax offered us $13,600, so it looks like they've stopped paying stupid money for cars, probably because they have a ton of inventory they overpaid for and can't move.
Vroom offered us $16,600, so we still would have gone with the trade in if not for Carvanas offer.

We pick up her new car today, and so far the dealership experience has been much better than I'm used to, handled most of it digitally, so we should just be going there to initiate a final funds transfer and slap her plates on the new vehicle.
Sid03SVT is offline   Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Forum Jump

All times are GMT -4. The time now is 07:26 PM.


Powered by vBulletin® Version 3.7.0
Copyright ©2000 - 2022, Jelsoft Enterprises Ltd.
Powered by Searchlight © 2022 Axivo Inc.
Copyright ©1999 - 2019, North American Subaru Impreza Owners Club, Inc.

As an Amazon Associate I earn from qualifying purchases.