BRAZOS COUNTY, Texas — The price of used cars is now no longer what it used to be. A new report from the AP says the average price of cars tops out at $29,000 across the U.S.
With the drastic change to the market, we get an inside look from this general manager who says it’s something he’s never seen before.
”Definitely seeing values in prices are at an all-time high still with the shortage of lack of new car inventory as far as stock units on the lot," said Jason Pennell. "It’s still driving the demand and forcing the used car market to be at an all-time high,”
All problems stemmed from the start of the pandemic when the production of cars and parts slowed down.
“Even fixing your car the prices have gone up too unfortunately because our supplies have gone up," said Johnny Uresti, service manager at Pete's Auto Center. "Parts have gone up, everything is kind of going up with inflation going crazy right now, so you don’t have options, price is high, you know the best situation is going to fix the car you have”
Uresti recommends doing your research before committing to unreasonable prices but also suggests picking a local mechanic for any work on your vehicle to save some cash.
“For anybody looking to buy a car you got to be prepared to buy as quickly as you can but at the same time be careful about the price because it’s going to be expensive,” said Uresti.
Although costs are up, Pennel says it’s also a benefit for consumers looking to trade-in.
“Their trades are worth more than they’ve ever been worth," added Pennell. "With the shortage out there, demands out there for dealers to buy more cars and it’s really driven up used car prices and trade-in values.”
Experts say these inflated prices may be sticking around for the foreseeable future.