Here at Drivrz Financial, we’re positive that by now, you’ve heard about all the global computer chip shortages that have impacted the new car supply chain. And it’s even affecting new car buyers all across the United States. But that’s not even one of the biggest reasons to consider leasing a used car over buying a new one this year.
Today, your friends at Drivrz Financial wanted to look at our top four reasons why buying new cars in 2022 is a mistake and one that can cost you more than you think. Many buyers are waiting out the state of the new car market instead of getting a new car they desperately need. And we’re here today to tell you that your “new” car dreams are possible by choosing to lease used with the used car leasing financing pros at Drivrz Financial.
Here are our top four reasons why buying cars new in 2022 is a mistake:
Inventory Is Low
We’ve talked about this a few times already, but it’s significant to this list of reasons and worth mentioning again. If you follow MarketWatch, you know that many Toyota dealerships are down to just an 18-day supply of new cars. And GM isn’t looking so hot either, as MarketWatch also reports many of their dealerships to have less than a 25-day supply of SUVs.
There Aren’t Many Good Incentives to Buy New
Remember all those discounts that people ask for when buying a new car? Unfortunately, they’re not available in many places because they’re used to help dealerships sell more cars. With not so many vehicles to sell, the incentives are low to practically non-existent for new car buyers.
Dealerships Are Charging More Than The MSRP
Because the demand for new cars is so high, some dealerships are taking advantage of the sellers’ market and charging more than the MSRP for their new vehicles. As a result, according to Forbes, paying over sticker is the new normal when buying a new car. You may find that you’re paying upwards of $10,000 to $20,000 over the sticker price for most new vehicles.
It’s Hard to Get Credit Approval for A Car Loan
With the dealerships raising the prices of their new cars, banks now have to value those same cars at 110% or 120% over their actual retail value. This means there’s a gap in the financing should you default on your loan, which translates to making it hard for you to get a loan for a new car. So, if you have less than a 700 credit score or have a difficult credit situation, the chances are that you may not even be able to get approved for a car loan in today’s market. And even if you do, your interest rate may be crazy high, which is just bad.
Not everyone can wait around for the new car market to come back down in cost and the incentives to start coming back. That’s why the used car leasing financing specialists at Drivrz Financial are here to help. We have the used car leasing financing options you need to get behind the car you want with lower payments, lower insurance, and better options than buying new.
Call us at 1-800-436-0476 to find out how we can get you behind the wheel of the car you deserve today.