Market Conditions Commentary
The market change is upon us, for real - August 20, 2011
by Robert Hollenshead
Aug 20 2011 3:09PM

Make no mistake, the annual model year change has happened.  I sold 639 units this week and there were few exceptions to the reality, it is 2012 in the car business. Every car is a year older. If you appraise, trade, buy and sell like that you will find smooth sailing.  If you go into this market in denial, you will get your rear end handed to you. It may be in the form of looking on Craig's List  want ads for a new job, or in the form of digging into the retirement account to make checks good, depending on your job description, but either way it will happen.  We are in a no luck, no mercy market. If you count on getting a moon shot for anything other then a one in a hundred unit, be prepared for a disappointment. 

The knuckle heads talking about cars being scarce are getting their information from a communist consiracy to spin your brain cock-eyed.  Cars are every where and you better have a good one to get a bid.  Manheim  sold 45% which includes us selling 10% of the total at 90%.  Do the math.  That leaves over 4,000 units unsold.  Cars are scarce?  Wake up.  Or go report on the new flavors at Dairy Queen or something.  

If you are trading at 100% of MMR and plan on getting your money back on the trading floor, take another puff on your weed pipe because you are hallucinating (or will soon realize you are doing so).  The generic off lease slop is sale proof at $1,500 under.  A hit on CarFax is a guaranteed $2,000-$5,000 crack on your head.  It might not be a three strike market, but it is definitively a two strike market.  Heavies with a couple miles need to be thousands less.  Hybrids are worthless again as gas went down 10 cents (we are a fickle group of people).  Big trucks are very active again including Tundreds that have been dead.  Late model Accords have soften to a gee under MMR.  Miley E Classes are thousands under MMR.  RDXs are going overseas, big shots.  Good Cadys are in the wind.  Enough for today.  Sell Well, and come to Manheim Friday.  I will make it worth your time...I promise.