Used Subie pricing in New England - WTF

[Sunil]

What is going on with Subaru dealers in New England? Their prices are so outrageous it's like they don't actually want to sell the cars they have on the lot. They're posting advertised prices for 3 year old cars at maybe $1000 under the invoice price of the car when it was new - often 1000 over KBB and 4-5k over Edmunds TMV.

They might as well just say "Special Internet Price: a million bajillion dollars".

WTF is going on here?

[Dandbest]

supply and demand. If people will pay it, for profit businesses will charge it.

[deagle]

i think they do that so when ppl price compare, they think "wow, this old car is only $ 1000 cheaper than the new one....i'll buy the new one (and get locked up into their sky-high financing)"

check out priceguru or pricehub for another measure on the market value of cars

[dr. pimento]

WTF is going on here?

I bet if you head to warmer climates prices on Subarus would be lower...

[SMG]

i think they do that so when ppl price compare, they think "wow, this old car is only $ 1000 cheaper than the new one....i'll buy the new one (and get locked up into their sky-high financing)"

Except that the rates on the new cars are most often better than the rates on the used cars. No one with good credit should be locked into sky-high financing these days.

[corrago]

Is there anywhere in the US that the pricing is more reasonable?

[deagle]

another issue is that with the economy, the used market is stronger

alot of it is price framing, so its easy for the basic customer to perceive

again, with only a few thousand dollars difference, ppl may tend to veer towards the newer car

[Knight2000]

A few things....

1. Subaru's residual values are higher than most right now; and people are payiing the prices. At least in Michigan
2. Dealers make more on used vehicles, so pricing them "too high" for price comparison to sell new cars is not the issue
3. If you're looking to buy used, it's a good time to look at available cars across the US, or other states closer to you

Good luck!

[IndigoDriver]

It worked out in my favor as I got 7K for my 04 FXT with 95K miles in a trade.

Car had dings all over it from off roading.

[tbaeastcoast]

they are all so expensive for some reason