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Onceler Samba Member
Joined: May 28, 2010 Posts: 1647 Location: Indiana
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Posted: Sat May 12, 2018 6:16 pm Post subject: New car prices today, why so expensive? |
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So, I'll probably be in the market for basic transportation relatively soon. I have no desire to spend much for a daily commuter. But it seems new car prices are at a minimum 25k, why? Are there any cheaper ones? Why aren't there any heap basic cars available? Like the original beetle was supposed to be, a people's car. If the average new car price was ~$2500 in 1965, that would equate to maybe 16,000 today _________________ 1972 Karmann Ghia |
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Glenn Mr. 010
Joined: December 25, 2001 Posts: 76939 Location: Sneaking up behind you
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Posted: Sat May 12, 2018 6:25 pm Post subject: Re: New car prices today, why so expensive? |
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My son just bought a base Subaru Impreza for $19,600 with 0% for 36 months.
That's the cheapest all wheel drive you can get. _________________ Glenn
74 Beetle Specs | 74 Beetle Restoration | 2180cc Engine
"You may not get what you pay for, but you always pay for what you get"
Member #1009
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Onceler Samba Member
Joined: May 28, 2010 Posts: 1647 Location: Indiana
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Posted: Sat May 12, 2018 6:30 pm Post subject: Re: New car prices today, why so expensive? |
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Wow! That's a heck of a deal, I'll have to check them out, thanks _________________ 1972 Karmann Ghia |
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FullFender Samba Member
Joined: October 25, 2014 Posts: 647
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Posted: Sat May 12, 2018 7:06 pm Post subject: Re: New car prices today, why so expensive? |
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Onceler wrote: |
So, I'll probably be in the market for basic transportation relatively soon. I have no desire to spend much for a daily commuter. But it seems new car prices are at a minimum 25k, why? |
Because people will pay that much |
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Onceler Samba Member
Joined: May 28, 2010 Posts: 1647 Location: Indiana
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Posted: Sat May 12, 2018 7:47 pm Post subject: Re: New car prices today, why so expensive? |
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FullFender wrote: |
Onceler wrote: |
So, I'll probably be in the market for basic transportation relatively soon. I have no desire to spend much for a daily commuter. But it seems new car prices are at a minimum 25k, why? |
Because people will pay that much |
True, but at $19,600 , Subaru must be selling a crap load. I must say I do need A/C and cruise control, hope that wouldn't increase the price too much _________________ 1972 Karmann Ghia |
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Glenn Mr. 010
Joined: December 25, 2001 Posts: 76939 Location: Sneaking up behind you
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Posted: Sat May 12, 2018 7:57 pm Post subject: Re: New car prices today, why so expensive? |
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Onceler wrote: |
Wow! That's a heck of a deal, I'll have to check them out, thanks |
Last month, I got my wife a Subaru Legacy Premium with a Sunroof and a few addons for $25,200 for 0% for 60 months. I only put $500 down and the rest is 60 payments. _________________ Glenn
74 Beetle Specs | 74 Beetle Restoration | 2180cc Engine
"You may not get what you pay for, but you always pay for what you get"
Member #1009
#BlueSquare |
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Onceler Samba Member
Joined: May 28, 2010 Posts: 1647 Location: Indiana
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Posted: Sat May 12, 2018 8:10 pm Post subject: Re: New car prices today, why so expensive? |
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Glenn wrote: |
Onceler wrote: |
Wow! That's a heck of a deal, I'll have to check them out, thanks |
Last month, I got my wife a Subaru Legacy Premium with a Sunroof and a few addons for $25,200 for 0% for 60 months. I only put $500 down and the rest is 60 payments. |
I guess I never realized the value Subaru offers, in my town there aren't any Subaru dealers, so I never really checked them out, just cruising the lots. But I will thanks _________________ 1972 Karmann Ghia |
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kamzcab86 Samba Moderator
Joined: July 26, 2008 Posts: 7923 Location: Arizona
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Posted: Sat May 12, 2018 9:46 pm Post subject: Re: New car prices today, why so expensive? |
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Onceler wrote: |
So, I'll probably be in the market for basic transportation relatively soon. I have no desire to spend much for a daily commuter. But it seems new car prices are at a minimum 25k, why? Are there any cheaper ones? Why aren't there any heap basic cars available? Like the original beetle was supposed to be, a people's car. If the average new car price was ~$2500 in 1965, that would equate to maybe 16,000 today |
A) Most buyers don't want bare bones cars; they want all the tech, convenience, safety, and nanny crap money can buy. Not to mention the government-mandated equipment.
B) People complain about today's car prices, but fail to take inflation and relativity into account. My 2016 GTI S sticker price was $28,000 (which was sale-priced down to $24,000) and has a whole lot more stuff in it as standard equipment than the $24,000 Jetta VR6 it replaced. For real perspective, a 1991 GTI sticker price was $15,000, which translates to, get this, $28,000 in today's money. Thus, same amount of dollars spent for the same model, but you get a whole lot more car today.
C) $2,500 in 1965 translates to $20,000 in 2018, which is about what the modern Beetle starts at. _________________ ~Kamz
1986 Cabriolet: www.Cabby-Info.com
1990 Vanagon Westfalia: Old Blue's Blog
2016 Golf GTI S
"Real knowledge is to know the extent of one's ignorance." - 孔子 |
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Onceler Samba Member
Joined: May 28, 2010 Posts: 1647 Location: Indiana
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Posted: Sat May 12, 2018 10:48 pm Post subject: Re: New car prices today, why so expensive? |
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kamzcab86 wrote: |
Onceler wrote: |
So, I'll probably be in the market for basic transportation relatively soon. I have no desire to spend much for a daily commuter. But it seems new car prices are at a minimum 25k, why? Are there any cheaper ones? Why aren't there any heap basic cars available? Like the original beetle was supposed to be, a people's car. If the average new car price was ~$2500 in 1965, that would equate to maybe 16,000 today |
A) Most buyers don't want bare bones cars; they want all the tech, convenience, safety, and nanny crap money can buy. Not to mention the government-mandated equipment.
B) People complain about today's car prices, but fail to take inflation and relativity into account. My 2016 GTI S sticker price was $28,000 (which was sale-priced down to $24,000) and has a whole lot more stuff in it as standard equipment than the $24,000 Jetta VR6 it replaced. For real perspective, a 1991 GTI sticker price was $15,000, which translates to, get this, $28,000 in today's money. Thus, same amount of dollars spent for the same model, but you get a whole lot more car today.
C) $2,500 in 1965 translates to $20,000 in 2018, which is about what the modern Beetle starts at. |
Cars in 1965 weren't made in Mexico for cheap,I'd buy one if VW wasn't so greedy, but subarus are made in 1st world countries I think, I could be wrong. _________________ 1972 Karmann Ghia |
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Jennepher Administrator
Joined: September 10, 2002 Posts: 4767 Location: Arizona
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Glenn Mr. 010
Joined: December 25, 2001 Posts: 76939 Location: Sneaking up behind you
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Posted: Sun May 13, 2018 5:00 am Post subject: Re: New car prices today, why so expensive? |
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Jennepher wrote: |
Yep, Subarus are manufactured in Japan and Indiana, USA. |
Actually the Indiana factory is jointly owned by Subaru and Toyota. So my Legacy is made next to the Camry. _________________ Glenn
74 Beetle Specs | 74 Beetle Restoration | 2180cc Engine
"You may not get what you pay for, but you always pay for what you get"
Member #1009
#BlueSquare |
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oprn Samba Member
Joined: November 13, 2016 Posts: 12734 Location: Western Canada
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Posted: Sun May 13, 2018 5:14 am Post subject: Re: New car prices today, why so expensive? |
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It has a lot to do with perceived "needs". Already in this thread I see the "needs" listed - AC, sun roof, AWD, cruise control and the discussion has barely started! None of us "needed" all that junk in '67 and none of us "need" it now but the industry and peer pressure has convinced us that we do.
I too have been trying to find a "basic transportation" car for many years now. I buy used cars and run them out and am sick and tired of all the "needs" that fail long before the mechanics of the car do and render it useless. Basic cars do not exist in North America.
Back when VW hit the news with it's proposal of a single seat commuter car with a 1 liter 358mpg engine and a "offered to the Asian market" $800 US equivalent price tag I was pretty excited and showed it to a co-worker. "Ya but what options does it have?" was his reply! "Idiot!" was mine as I walked away...
2.5 years ago we went to Argentina for a visit and I was totally blown away with the selection in that country of great little "basic transportation" cars. Luxury does not sell there, the country has been in a major recession for many years now and people appreciate and work hard just to have basic things. I thought we were frugal but we were constantly reminded that we had no idea of how to save money on a day to day basis. Virtually all the cars there are standard shift, have window crank handles, cloth seats, small 4 cylinder engines on either diesel or natural gas, no 4x4s, no SUVs, no automatic transmissions, no power widows and seats. The car does not come out unless there is a real good reason, walking and public transportation is the first "go to".
The air in the capital city of 14 million people was the cleanest air I have ever seen in a city including our two local cities here of only 1 million.
I am insainly jellous of the simplicity of their lives and above all their lovely little SIMPLE cars! |
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vwracerdave Samba Member
Joined: November 11, 2004 Posts: 15308 Location: Deep in the 405
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Posted: Sun May 13, 2018 6:11 am Post subject: Re: New car prices today, why so expensive? |
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Cars cost that much because people pay that much. There is no other reason. We are lazy fuckers and demand all the luxuries. People are paying $75,000 for a damn pick-up truck.
In 1965 the basic life span of a car was around 120,000 miles. New cars today can get 250,000. _________________ 2017 Street Comp Champion - Thunder Valley Raceway Park - Noble, OK
2010 Sportsman ET Champion - Mid-America Dragway - Arkansas City, KS
1997 Sportsman ET Champion - Thunder Valley Raceway Park - Noble ,OK |
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oprn Samba Member
Joined: November 13, 2016 Posts: 12734 Location: Western Canada
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Posted: Sun May 13, 2018 6:27 am Post subject: Re: New car prices today, why so expensive? |
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Yup, look for the answer in the mirror! |
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Glenn Mr. 010
Joined: December 25, 2001 Posts: 76939 Location: Sneaking up behind you
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Posted: Sun May 13, 2018 6:59 am Post subject: Re: New car prices today, why so expensive? |
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vwracerdave wrote: |
Cars cost that much because people pay that much. There is no other reason. We are lazy fuckers and demand all the luxuries. |
Hey, these are not luxuries.
I absolutely need power folding mirrors, 16 way power seats with 4 memory settings, heated and cooled seats, auto dimming rear view mirror and parallel parking assist.
Dave, I just don't know how I survived with a manual transmission, crank windows and no right side mirror all those years.
Edit... forgot about not having AC. _________________ Glenn
74 Beetle Specs | 74 Beetle Restoration | 2180cc Engine
"You may not get what you pay for, but you always pay for what you get"
Member #1009
#BlueSquare |
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Q-Dog Samba Member
Joined: April 05, 2010 Posts: 8700 Location: Sunset, Louisiana
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Posted: Sun May 13, 2018 7:03 am Post subject: Re: New car prices today, why so expensive? |
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Do an internet search for "cheapest cars of 2018" and I find several lists with vehicles for $13,000 to about $17,000. Problem is, so few people want these cars here in the US.
Have you heard that Ford is going to end sale of most cars in the US market? The cars are not selling ... everyone seems to want SUVs and trucks. _________________ Brian
'69 Dune Buggy
'69 Beetle Convertible
'70 Beetle |
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hotsam Samba Member
Joined: December 02, 2015 Posts: 366 Location: Ashburn, VA
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Posted: Sun May 13, 2018 7:38 am Post subject: Re: New car prices today, why so expensive? |
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Interest rates are low - Joe Blow can get an 84 month loan @ x.9%
Also leasing. _________________ 1968 Beetle |
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skills@eurocarsplus Samba Peckerhead
Joined: January 01, 2007 Posts: 16879 Location: sticksville, ct.
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Posted: Sun May 13, 2018 7:49 am Post subject: Re: New car prices today, why so expensive? |
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I have been in the automotive business for 30+ years now (f#ck me) and here is my take....
I think the "thing" moving forward will be leasing cars. at least in my area it seems to be the thing to do. when faced with a 5-6K repair on a 5-7 year old car, most people seem to soul search and decide that money would be best applied to a new car.
figure a 5K down payment, and a monthly payment of under 200/month people are taking the bait. right now I have a client that won't spring for a CCM (climate control module) it's out of the network loop, which flags a SRS code due to communication issues....so now they have no blower fan, and the SRS is blocked from working...
point is, people feel entitled to all of these 'needs, wants and desires' new cars have, but fail to realize the epic cost of this stuff when it goes tits up....and how interconnected this stuff is.
other than heat, a/c, decent radio and perhaps power locks and windows, what else do you need? I just did a POT assembly on a 15 XC60 (power operated tailgate) total bill to just open a tailgate was (sit down) 1,987.00
people seem to fall for this "convenience" bullshit....and evidently the masses want it so there is a limited market for those who don't. hell, even kids are waiting until they are 18-20 before they get a car. I think some of that is due to the cost and responsibility of owning one.
it will be interesting to see moving forward what happens. personally I bought 1 new car my entire life...right out of high school I got a 98 GTI VR6. kept it 3 years and sold it. bought a 89 diesel jetta to get around in. next "new" car I got was in 04...a 01 audi A4 1.8t. still have it. I will drive it until they stop making parts for it. I just can't justify 30-40K every 10-12 years just to get from point A to point B _________________
gprudenciop wrote: |
my reason for switching to subaru is my german car was turning chinese so i said fuck it and went japanese....... |
Jake Raby wrote: |
Thanks for the correction. I used to be a nice guy, then I ruined it by exposing myself to the public. |
Brian wrote: |
Also the fact that people are agreeing with Skills, it's a turn of events for samba history |
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kingkarmann Samba Member
Joined: November 05, 2003 Posts: 4111
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Posted: Sun May 13, 2018 8:05 am Post subject: Re: New car prices today, why so expensive? |
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Q-Dog wrote: |
Do an internet search for "cheapest cars of 2018" and I find several lists with vehicles for $13,000 to about $17,000. Problem is, so few people want these cars here in the US.
Have you heard that Ford is going to end sale of most cars in the US market? The cars are not selling ... everyone seems to want SUVs and trucks. |
I have been associated with auto manufacturing for almost 20 years. Nothing is cheap. Wages, benefits, raw materials, and energy are all increasing.
The plant I work in builds sedans. They are stacking up in the dealer lots to the point where we (and others building sedans) are dialling back production. I'm not really sure the historic demand for a regular sedan will ever return. New SUV's and trucks have fuel economy numbers that are fairly similar to new mid & full size cars. Improvements in engine and hybbrid technology are rapidly closing the mileage gap between the small and large. The older "Gas or diesel guzzlin vehicles will and have always been traded for the more efficent. It seems a barrel of oil is on the fast track to $100. That being said, our plant has committed to building SUV's to take up the slack. It's more beneficial to build a higher margin vehicle like an SUV in a high cost plant.To re-tool is a multi million $ investment that speaks to what most in the industry think. The "regular" car as we know it will still be available, we just won't build it in the high cost USA, tariffs be damned. _________________ "Depression is a malfunction of the instrument we use to determine reality.”
Mike Gerson
What is your "Bespoke Reality"? |
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hitest Samba Member
Joined: September 30, 2008 Posts: 10296 Location: Prime Meridian, ID
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Posted: Sun May 13, 2018 8:52 am Post subject: Re: New car prices today, why so expensive? |
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Features are lumped into various packages that guarantee a base car will not be "base" for long. If you want cruise- it's intentionally only available in a package that also includes a rear seat foot massage and trunk mood lighting.
I wanted a "base" FJ cruiser in 2006 (07 model). I had to order it because the dealers around here were set up to sell just loaded/half loaded cars. I had to wait 6 months, but finally got the cheapest FJ Toyota ever sold in Idaho. We're talkin' no cruise, no keyless entry- nada. But, all Toyotas had A/C stock. _________________
EverettB wrote: |
I wonder what the nut looks like.
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'62 L390 151, '62 L469 117, '63 L380 113, '64 L87 311, '65 L512 265, '65 L31 SO-42, '66 L360 251, '68 L30k 141, '71 L12 113, '74 ORG 181
FU#5 |
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