“Every month we barely scrape by now. The cash we set aside during the boom is long gone. Holding out hope they let trump win.”
That’s what every small business is suffering from right now.
BTW, I watched a video today from a used car dealer as he walked through a car auction law. The cars hitting the auction block right now, are those repo’d from “buy here-pay here” lots. Those are car lots with 20 to 25% interest rates and the cars are pretty much junk since the owner took little care of the vehicles. Cracked windows, peeling paint, dents, broken tail lights, etc.
He said those types of lots are seeing more buyers because with inflation people are behind on their bills and their credit rating is taking a hit. That, combined with tighter bank lending, is forcing consumers to buy at high interest rate dealers. Then, they can’t make the payments so off to repo the cars go.
It’s a spiraling cycle. The former middle-class consumer is moving to the lower-class rung and having to do without things they normally took for granted. Extra-curricular activities for children are being cut, vacations are off the calendar, and parents are having to learn to cook since restaurant prices are so high. Middle class consumers who in the past traded in their vehicle every five years are now hanging on to them. Therefore, new cars aren’t moving of the dealer’s lots and those used trade-in vehicles aren’t hitting the used car market.
I think by this fall, you are going to see more bad economic news hitting consumers. The media tries to hide it and boost “Bidenomics” but voters look at their own monthly budget and know they are in a lot worse shape than they were four years ago.
I think I know who you are talking about. Has a lot in North Carolina and specializes in 5k and less.. I can’t remember his name.
The auction here is full of repos too. The bank we had that would take anyone with a pulse citizen or illegal won’t touch most people now.
I could empty my lot if I did tote the note but I’d probably not see a payment after the down payment.
We are seeing an uptick in parts for older (2000-05s) that normally wouldn’t sell like Transmissions and engines. Thankfully during COVID we stocked up on those types of cars. The big yards around us crushed everything 2010 and older so if you want something it almost has to come from me.