Did You Know?
Aside from a home, a car or truck is the most expensive item many people ever buy. Vehicle prices have been very high over the last yearplus due to inventory shortages and shipping delays. However, during times of economic downturn, simple economics often reign supreme. Under normal situations, when demand slumps, prices come down to meet it. But nothing over the last two years has been normal, and a recession could affect new vehicle prices. A recession will make it challenging for the majority of people to purchase new vehicles, and high fuel costs have put a damper on driving in general. Those who have the funds to buy a new car may have greater leverage to negotiate — provided dealerships have regained some inventory. However, according to Edmunds, shrunken inventory and semiconductor chip shortages continue to wreak havoc on both new and used vehicle markets. As a result, car shoppers continue to face limited selection and high prices. But some conventional wisdom regarding car buying still applies. For example, the end of a given month, when dealerships face sales quota deadlines, is a better time to buy. Savings could be even greater at the end of a calendar year. According to Edmund's MSRP data, December is when dealerships offer the highest MSRP discounts — up to 6 percent on average.
