SUV Prices May Drop Due to Gas Prices
Overall, gas prices have almost doubled in the last 2 years, and the predictions for future prices don't look pretty.
The former president of Shell Oil believes gas prices are due to rise to record levels and some analysts think gas prices will reach at least $5 a gallon in the next few years.
So what does all this mean for car buyers?
It's likely there will be some huge price drops on SUVs and pickup trucks, while smaller cars will see price increases if gas continues to rise this year.
Back in 2008 when gas prices hit record highs, consumers turned away from larger vehicles and embraced more fuel-efficient, smaller cars like the Honda Civic and Toyota Corolla.
Some dealers, in desperation, were offering unbelievable discounts on large SUVs and pickup trucks - one even promoted a buy 1 get 1 free deal.
The reverse is also true - small and fuel-efficient cars, due to higher demand, will start seeing price increases, just as they did back in 2008.
If you're thinking of buying a large SUV or pickup truck, it may be worthwhile to wait. If you're thinking of buying a compact, fuel-efficient car, you may want to buy one soon to lock in the price.
3 Steps Every Car Buyer Needs to Take to Save Maximum MoneyThe key to getting the best deal is to gather price or lease bids from as many local dealers as possible. Then shop that best price around until no one can beat it. Here are the steps:
Step 1 Get Prices From My Trusted NetworkSelect the vehicle you're interested in to see if there are local dealers in my network who will provide you with their best upfront price. You will get direct access to an internet sales manager who you can further negotiate with online (no need to visit dealership).
Step 2 Get Prices From TrueCar / CarsDirectTrueCar, and CarsDirect are my top 2 online price quote recommendations. These services show you pre-negotiated prices from dealers closest to you - and the deals are usually pretty decent. But remember, you can still negotiate further.
Step 3 Complete my ChecklistFollow this up with my checklist to make sure you squeeze out every last bit of savings.
- Gregg Fidan
Each week, I'll keep you up-to-date on the latest car deals and news that might affect your purchase. This includes...
- Best Rebates, Incentives, and Lease Deals
- Latest Car Buying Scams and Tricks
- The Best & Worst Time to Buy a Car
- Which Cars You Should Avoid