Well, I've been educated by this thread. It's all so simple now. To fix the problem of dealers charging ADMs, all you need to do is get rid of the "other" people paying over MSRP and it will never happen again. Easy peasy.
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I think you answered your own question.What idiot is paying $100K for a RAV4?
If everybody refused to pay inflated prices, the ADMs would go away. Unfortunately, people are idiots and will continue to do so.Well, I've been educated by this thread. It's all so simple now. To fix the problem of dealers charging ADMs, all you need to do is get rid of the "other" people paying over MSRP and it will never happen again. Easy peasy.
Your thinking a like poor man not a rich oneā¦That doesnāt make it any more intelligent.
I make plenty of money. Iām thinking like someone who has a functioning brain.Your thinking a like poor man not a rich oneā¦
Rich folks may or may not be any more intelligent. It has nothing to do with that.I make plenty of money. Iām thinking like someone who has a functioning brain.
Interestingly all the people I know at dealerships are having their best months ever the last 6 months. Selling everything at or over msrp and used cars for absurd prices. Record months.That actually seems like a pretty honest and straightforward answer. Looks like he is trying to justify $5K over MSRP, which isnāt unreasonable in this market. Like I said before, I donāt like it either, but the dealerships need to keep the lights on and mouths fed. Dealerships do make money in service and parts too, but techs are demanding more money or retiring, and they canāt get parts to sell due to supply chain issues. No dealership Iāve talked to is doing well right now.
Itās not just car dealerships running short on commodities. My local Marina is selling their allotment of 2023 outboards currently.
They are essentially protected by outdated laws due to their lobbying powerā¦so this is pretty true.You're drastically misunderstanding him. The point is that dealerships as an institution are not *really* subject to simple 'supply v demand' economics because they don't produce nor are they the end consumer. At *best* a dealership is palatable and 99% of the time they're just obfuscatory and conniving. In a truly free market they wouldn't even exist.
I have worked for a CU/Bank for over 20 years. They are not going to do a auto loan for over 125-135% LTV. The value is likely going to be pulled via NADA or Black Book or some version of those systems. Going that high above the MSRP is very unlikely.What are you basing that on? Banks and CUs have financed ADMs in the past.
When was the last time anybody here bought directly from a manufacturer? Closest I can get is buying produce from my Amish neighbors that grew it last month. Everything else I have purchased was through companies who do not produce anything, they are middlemen...You're drastically misunderstanding him. The point is that dealerships as an institution are not *really* subject to simple 'supply v demand' economics because they don't produce nor are they the end consumer. At *best* a dealership is palatable and 99% of the time they're just obfuscatory and conniving. In a truly free market they wouldn't even exist.
Oh man. We almost bought a Probe. So glad We didn't. We ended up getting a 1991 Thunderbird SC instead. I loved that car.I remember when the ford Probe had huge ADMs. Lol