Used car market finally cooling off?

[TigerNSX]

It seems like the used car sales prices are declining pretty fast (stark constrast to 2021)



While the available supply continues to increase (stark contrast to 2021)



What's your prediction on what happens to the used sports car market in the next 6 months?

Market Insights – 11/8/2022 - Black Book

Wholesale Prices, Week Ending November 5th Declines continued to be large last week, although overall, they were slightly less than the prior week’s adjustments. Many Car segments are experiencing some of the largest declines we’ve seen since the early days of the pandemic. Looking back however...

www.blackbook.com

 

[Superhatch]

I think as the housing market cools so will the used sports car market especially considering rates now which is starting to make people not as likely to buy that fun car. I think that prices will stay flat for a while which is the prediction for the housing market as well. We probably won't see prices rise again unless the loan rates drop again. But in order for that to happen we will likely need to go through another recession which means prices would drop prior to the rate drop anyway.

 

[TigerNSX]

I thought that this was an interesting video that talks about the current high-end car market.

 

[celbii]

Do you think this will affect Gen 1 NSX pricing? I am actively in the market for one but maybe it will be better to wait until sometime next year...


Thanks,
David

 

[TigerNSX]

Gen 1? I don't think so. Perhaps, it won't have a crazy price increase as we have seen in the last few years, but I believe it will still steadily go up. There just aren't too many out there, and most NSX owners tend to hold on to theirs, and they are not going to sell them cheaply unless they are under financial pressure. So, in the next 6 months, perhaps, it stabilizes a bit, but over the next several years, it will continue to go up.

Gen 2? I don't know. It feels like prices are all over the place at the moment. But there are even fewer Gen 2 than Gen 1 NSXs. So, over the next several years, I do think they will eventually appreciate. But in the next 6 months, it will be volatile. That's my guess.

For Porsche 911s, McLarens, G-Wagons..., I do think they will come down. I am already seeing that in the market. Lots of them are just sitting in the dealer lots. Dealers don't want to lose too much money, but buyers don't want to pay premium, either.