A Good Time to Buy SUVs

[Ming]

Mix more SUV-positive news articles with GM's new promotions and it'll throw GM a lifeline until they can deliver more of the kind of product that is flying off of Toyohonda dealer lots.

Anyone here in the market for a new one?

Good Time to Buy SUVs
Reported by: Camille Williams
www.wetmtv.com
6/23/2008



VIDEO: Upper Right of Screen

If you're looking to buy an SUV, Pick Up Truck or Mini-Van, you're in luck.

High gas prices are driving the prices of these gas guzzlers down.

Drive by any car dealership and you'll probably see more of these on their lot.

"With gas at $4.25 a gallon it's really difficult for people to afford the payments on those trucks, SUVs and still be able to bank roll the gas on them every month."

Mike VanBrunt is the general manager of this Simmons Rockwell dealership in Big Flats.

He along with other local car dealership managers say SUVs and Trucks are losing value on the lot, so prices have dropped.

VanBrunt says they're filling their lots up with more cars with good gas mileage rather than these gas guzzlers.

"Certain manufacturers who have been known for their trucks and suvs like General Motors they have now made a decision and commitment to build more cars than trucks. So ya know there's going to be a change for sure."

A spokesman at Elm-Chevrolet in Elmira agrees SUV sales have dipped this month.

He also says the resale value of a SUV has dropped over the past year.

That means if you own one these and you you want to trade it in, you'll get less money back.

Some neighbors we spoke with say they're sticking to their SUV's and pick up trucks even with high gas prices.

"Well it's not all that great around town, it's about 15 miles to the gallon but when I go long distance it's about 2, ya know what's better?" Says Jared Myers

"I usually get my firewood with it and I do a lot of hauling wit it which I can't do with my car." Says Jim Tyler

A sales manager at Kent Brown Toyota in Big Flats says sales of their smaller SUV's with good gas mileage, like a Rav 4, are doing well. He also says hybrid sales are up. In fact, they don't have any available on their lot right now.

Source: http://www.wetmtv.com/news/local/sto...a-816b000c2de0

[dindak]

I am tempted to buy a slightly used (or new if the price is rite)Tahoe as I don't drive that much. They are giving them away and I love them. If my fill up costs an $20-$30, oh well. Given the discounts the gas is more than paid for.

[likearock00]

Yeah, but what if you need to trade in your current truck, SUV, or van? You can't get anything for them now! If you're looking to step up from a car then yes it's a good time, but who really wants to do that?

No matter which way you look at it, the SUV market sucks right now.

[kenman923]

I may get a good deal on an SUV, but I will make up or it in gas. I think I'll pass.

[TheWraith]

it's kind of a wash if you're getting rid of an older truck/suv for a new one. the $5000+ in value your used truck has taken on the trade in is what you're seeing off of the new vehicle. you'll do ok, but you're not getting any sort of advantage either.

it's only really if you're trading in a smaller 4 - 6 cylinder car for a bigger truck or suv where you're gaining anything, and 1.who the hell is doing that? and 2.even if you can get $10,000 off the price of a new truck, the second you drive off the lot with it, it's worth a lot less than $10,000 off sticker even if you could get rid of it at all.

if you're in the boat that a lot of people are and you're upside down in a truck/suv and looking to downside, you're kind of screwed. you could probably move from a GMT800 or 900 to a GMT355/360, but since there's been absolutely no investment in those products for years now, you're not seeing much better gas mileage - if any, and you're dealing with 2002-2003 era GM interiors and quality. :/

[SwampFoxZ71]

Ehh...glad I have my crappy Colorado...17mpg around town w/ the 4cyl/auto combo, 4wd and 31" tires. I barely ever do highway driving so no idea what I'd get there.

I'd consider a step up to a Silverado if a) they weren't so darned wide and b) I probably wouldn't get much for mine, so it'd be a wash.

I'll just wait for the last year of the V8 extended cab Colorados and trade then.

[montrealvue]

Originally Posted by kenman923

I may get a good deal on an SUV, but I will make up or it in gas. I think I'll pass.

That is why this is my last SUV. I am thankful I leased my Vue. I can't imagine what the resale is on my truck now, I am sure it is below the buyout amount. I considered an Acadia or Outlook for a while, glad I killed that idea. My next car will be a 4 cyl wagon, I won't chance owning a vehicle that averages below 23 mpg again!

[logansowner]

Originally Posted by kenman923

I may get a good deal on an SUV, but I will make up or it in gas. I think I'll pass.

12000 miles a year at 12 MPG with $4.50 gas is 4500 a year. You can get well over $10,000 off the higher end SUV's, that's over 2 years worth of free gas.

If you like driving SUV's and trucks, there's no reason not to buy one, let the panic monkeys knock the price down for those of us who know better.

A slightly used one is ever better, everyone is trading their $4000 fuel bill for a $4000+ a year car payment...AND they end up driving a smaller, slower, less safe vehicle.

[Wolfman01]

Originally Posted by dindak

I am tempted to buy a slightly used (or new if the price is rite)Tahoe as I don't drive that much. They are giving them away and I love them. If my fill up costs an $20-$30, oh well. Given the discounts the gas is more than paid for.

Try $120 to $130 to fill that Tahoe up. There is a good reason why my truck sits in the driveway unused for weeks at a time.

[eurohazard]

I got almost $9,000 off of MSRP when I bought my Armada new in 2006. How much are dealerships actually "dealing" on say a $49k MSRP SUV these days?

[dindak]

Originally Posted by eurohazard

I got almost $9,000 off of MSRP when I bought my Armada new in 2006. How much are dealerships actually "dealing" on say a $49k MSRP SUV these days?

I think those Armadas have always have huge incentives. It's the only way anyone would buy one.

[caddycruiser]

Originally Posted by dindak

I think those Armadas have always have huge incentives. It's the only way anyone would buy one.

True. For the GM's at least, they're averaging a total with dealer discounts and rebates (if you take them all) of $10-12k off sticker, final. Actually, in truth, just a touch more than any other past end of year on them, maybe to the tune of an extra grand or two.

[Ming]

Noting the cars behind Mike Vanbrunt -- I do feel sorry for Pontiac dealers who have the G6 going up against the new Malibu or even Saturn Aura. There's really no comparison on the inside or out, and I wouldn't be surprised if the MSRP of a G6 wasn't significantly different or cheaper than the Malibu or Aura. Of course this kind of thing happens as GM "does the rounds", and one platform-mate lags years behind the other, but even the coupe and convertible don't mask the fact that the G6 is the least "rich" looking of the 3 - from the headlights to the bodywork to the interior....it just looks cheaper. And with gas prices where they are Pontiac dealers have no choice but to buy G6's for people looking for that class of car.

[eurohazard]

Originally Posted by dindak

I think those Armadas have always have huge incentives. It's the only way anyone would buy one.

Yeah, that's not true, plenty of people paid full MSRP back in 2004. In 2006 the "incentive" was Nissan corporate offering $4k cash back......I had the dealership take off another $4k, plus had ~$900 in accesories to make the sale. I know I got a good deal.....but I was wondering with some effort (like the whole afternoon I spent haggling) what kind of deals are to had today.

Thanks caddycruiser for your answer.

[Rocket 88]

Why buy and be stuck. I just watched an advertisement for loaded up Ford Explorer Eddie Bower (sp?) edition for only $ 219/month. I don't recall the number of months (24 or 36 months, I think) or how much down, but i was shocked at how inexpensive it was.

In the 90's I rented a Geo Prizm for that exact payment!!!