The price of new cars

So my Subaru Outback had an unfortunate encounter with a deer yesterday. I’m fine, the deer was not, the car undetermined.

My husband for whom hope springs eternal, is convinced the car is repairable. He says that every time we’ve had an unfortunate encounter with a deer and he has been wrong.

But I have to say that I’ve been shocked lately how much my friends and neighbors are paying for their new trucks and SUV’s. A co worker of my husbands bought an $80,000 truck that he won’t drive in the winter because he doesn’t want it to rust. So he bought a winter car.

Another friend got a great deal on her new Cadillac Escalade $87,000 MSRP, they got it for $67,000 and bragged about it being such a good deal.

My Subaru was in the $30,000 range, it’s very nice and I really liked it. Have prices on cars gone up so much lately? Or do I just know people spending an outrageous amount?

I don’t know if I really have a question. I may once I find out what they are going to do with my Outback.

But I think I could buy a Porsche for what my friends spent on their truck or Escalade?

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Holy cow! I have absolutely nothing of use to add here but I just had to say I had NO idea people routinely buy cars that cost so much. I’ve only ever owned one new car (a Honda Fit) and it was $15,000. I’ve spent that much for my current used car (a civic) but I couldn’t imagine having enough money to buy a small house or apartment and spending in on a car. Ha.

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The $80k truck must be loaded up with a lot of options above what a $29k basic truck (assuming a full size “half ton” pickup) has.

It used to be that most pickup trucks were basic regular cab models, but now it is much more common to get loaded-up crew cab models.

A new Subaru Outback starts at around $27k MSRP.

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We contemplated getting H a new truck a few months ago (last fall?) until we saw the sticker prices. Even used ones in good condition were >30K. Let’s just say we still have our '97 and will enjoy some travels instead (not in the truck).

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pricing of cars is only increasing due to the chip shortage from asia… not the ideal time to buy a car but if you have to, be sure to always negotiate and never pay sticker!

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If looking used, sometimes you can find a good deal with an estate sale car. Look at estate auctions or sales. BTDT No regrets. You generally have to have cash or financing via a check (perhaps) set up ahead of time though.

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I own 2 Subarus. I like Subarus because they offer what I value in a vehicle safety, good drivability in most situations, and the amenities I need and want. They are also reasonably priced and fuel efficient. They come across as very practical vehicles but are not thought of as showy or glamorous. My guess is that your friends value different things in a vehicle than you do. The things they value are also comparatively expensive. Since I like Subarus, if I were in your situation, I would get another one if the damaged vehicle is not repairable. Good luck.

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The only very small grip I have with my Outback is that I feel there is a lot of road noise. Other than that, it’s been a great and super reliable car.

When I bought this car, I went all out. Got leather and the fancy wheels. Because I was going to keep this car for a long time. Lol!

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Average price of a new car in January 2021 was $40,857.

Lists it by brand as well. Subaru was about $32,000.

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Wow! Crazy!

Seeing as I have a $30,000 new Subaru and my husband bought a new $19,000 VW, we are definitely under the average. And we have what I think are REALLY nice cars. 2017 and 2018. Leather and all the bells and whistles.

For the first time ever we have 2 newer cars. Because of unfortunate encounters with deer. We’ve been cursed!

My accident yesterday was at 3pm less than 3 miles from my house. I had a car full of groceries.

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So I priced out a new GMC Sierra 3500 HD

https://www.gmc.com/trucks/sierra/3500hd/sle-slt/build-and-price/summary

I don’t know if this will print this out but it was $82,895

It’s a pickup truck. Truck prices are crazy!

Or buyers are going crazy with the options.

Pickup trucks have always had a wide range of options and prices, but the recent trend is to offer more luxury options, and buyers are buying them.

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@deb922 I’m glad you weren’t hurt… We tell our kids it’s our vehicles job to give its life for its occupants if necessary. Deer can be incredibly frustrating. I wish they would learn to avoid roads.

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I buy my cars at Carmax. I can’t bring myself to buy new. I think I get very good value at Carmax. Most recent was a 2016 Outback.

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I have an old Subaru Forester that I’m looking to replace, but I’m holding off in the expectation that prices go down. As mentioned, chip shortages and shipping delays at US ports are driving up prices.

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Oh gosh. The trucks around here are insane with all their big wheels and fancy add-ons. We have more trucks than anything else, or so it seems.

We bought a new Crosstrek 6 months ago to replace our 2003 Jeep LIberty. It was < $25K. We’ve been happy with it. Older S bought a new Elantra last month. He got $5K under MSRP. I thought living in a high COL, he would pay more, but I went to our local dealership and they wouldn’t touch the price. (I have a 9 year old Sonata that I still get serviced there and they call me all the time wanting me to trade it in/buy new.)

Edit: I am so glad you are OK! Deer scare the heck out of me. Everyone in my office who lives in the county has hit at least one.

My wife and deer have a challenging relationship. I think there have been at least 3 encounters with deer and vehicles. None of them ended in injuries for my wife, no car was totalled but the deer all died. One was on the highway so she is lucky it wasn’t worse. We have 5-7 deer who are laying in our front yard most mornings and more walk through the backyard daily. Message isn’t getting out that we are dangerous for them. LOL

One of the encounters was with a new Honda Accord that we had less than a week. Repair shop had it for two weeks. Owner asked me if I was the owner of the car with no grease on the engine. I told him he had had the car longer than I did so the least he could do was make a payment.

We own 2 Subarus (and 2 Hondas in the fleet as well). One was over $30k but not by much. Rest have been closer to $20k. Tho no trucks in the family.

I can remember walking around at a car show with my wife and a friend of ours 25 years ago. All of us had good jobs. We all thought the prices (even back then) were crazy and wouldn’t be fun to pay for with our incomes. I think average price was $15-16k at the time but the car shows typically had vehicles thare are all decked out. Much worse now in terms of prices (and options).

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Saw a news story about how both new and used vehicle prices have shot up. Especially pick ups! So yes, what you’re hearing from friends is correct. Glad you’re ok.

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Yes, some people spend stupid amounts on vehicles, IMHO. If they’re wealthy, $80k may not be crazy. But my observation is that many people spend more than I think they should. I haven’t bought anything but a used car since 2009. They’re nice used cars, but none has been over $30k.

And yes, chip shortages are driving up both new and used car prices, so now is not a great time to buy.

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Good reliable new/used automobiles are available at every price point starting at $10K. What each person spends ultimately depends on the amount each person is comfortable spending. There is nothing wrong with spending $70K if the family can afford it, and there is nothing wrong with spending $15K. Either price will purchase a vehicle that will perform reliably for many years.

I suggest you set your price before you start looking and limit your options to cars that fall within that budget. There is always a car that looks good that exceeds your budget, but it’s up to you to stick to whatever budget you set. Have fun car shopping!

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