High prices, high interest rates and a cyberattack: Americans have had plenty of reasons to avoid car dealerships lately. From the summer of 2021 until last year, the number of cars sold depended on what was available on dealer lots. The combination of high vehicle prices and high interest rates has likely pushed some less affluent consumers into the secondhand market. “This may be the new reality with interest rates over 7% for new vehicles,” says Jessica Caldwell, head of insights at Edmunds, the automotive-research company. As supply has normalized and interest rates have risen, they have slipped to roughly $48,400, with no end to the decline in sight.

Source: Wall Street Journal July 04, 2024 16:01 UTC