Posted 11/24/2022 07:42 (#9947382 - in reply to #9946849) Subject: RE: Leasing a pickup vs buying
I have a friend who is a GM at a very large blue oval dealership. He is saying sitting tight and waiting 12 months to purchase will make the most sense. He said he had a customer look at a new f250 diesel on Monday. Guy had a 740 credit score and the best he could get through fords financing 7.9 percent. Currently Ford has 275,000 f 250, 350 trucks in their order bank. He said orders for new ford vehicles at his store are down about 80 percent in the last 3 months. He believes the lack of sales will give ford a chance to catch up on all of the vehicles they are behind on. He believes new vehicle orders will remain suppressed due to higher interest rates. He said that the supply chain issues for parts for vehicle manufacturing is getting back closer to normal each day. He said by 4th quarter or 23 or the first quarter of 2024 he believes ford will be caught up closer to normal on manufacturing vehicles and will have to stimulate vehicle sales if interest rates dont come back down and will offer some lower rates like they have done in the past when the economy slowed. He said he doubts we will see zero percent apr like we did in 2009, but could easily see some 1.99 or so. He has been in the business for 40 years.
He also said used vehicle values are crashing. He said its also due to higher interest rates. He said many of the local banks he normally uses are in the 9-11 percent interest range on used vehicles. He said if he takes a vehicle on trade right now he doesnt want it on his lot for more than 10 days. If you are in the used market for a vehicle it might be a good time to wheel and deal if you are a cash buyer.