🚗Cars start losing value as soon as they are driven off the lot due to depreciation.
💲Incentives play a significant role in the drop in value, with most new cars sold with discounts.
⚙️Factors such as wear and tear, market pricing, and lower wholesale values also contribute to depreciation.
📈The pandemic and supply chain shortages have led to high prices for both new and used cars.
💰The limited supply of new cars has increased demand in the used car market, resulting in higher prices.
Why do cars lose value so quickly?
—Cars lose value quickly due to factors such as depreciation, wear and tear, and the presence of incentives.
What impact has the pandemic had on the car market?
—The pandemic, along with supply chain shortages, has led to fewer new cars available and high prices for both new and used vehicles.
Why are new car prices so high?
—Factors such as limited supply, production shutdowns, and inflation have contributed to the high prices of new cars.
What role do incentives play in car depreciation?
—Incentives, such as discounts provided by manufacturers or dealers, can significantly impact the depreciation of cars.
How has the demand for used cars been affected?
—The limited supply of new cars has driven customers to the used car market, resulting in higher demand and prices.
00:00Cars start losing value as soon as they are driven off the lot due to depreciation.
03:30Incentives play a significant role in the drop in value, with most new cars sold with discounts.
06:19Factors such as wear and tear, market pricing, and lower wholesale values also contribute to depreciation.
08:09The pandemic and supply chain shortages have led to high prices for both new and used cars.
11:57The limited supply of new cars has increased demand in the used car market, resulting in higher prices.
