this post was submitted on 21 Oct 2026
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What does that calculation look like when also considering used cars?
They’re also really expensive. When Covid shut down plants the price spiked and hasn’t recovered.
I don’t have any data on that though. My perception is that long loans give incentive to keep ised vehicle prices high - they’re almost interest-only payments for the first 1/3 of the loan so the owner of a 3 year old average car must sell it for almost MSRP or they’ll lose money, and unless there’s pressure to sell it at a loss, they won’t, in turn driving up used prices. Thats just my pet theory.
"Cash for Clunkers" had already fucked the used car market; Covid just added to it.
If you take a look at car YouTube and media this is something that been talked about since COVID.
Right now there is no value space for cars and if you're forced to purchase and can't pay cash interest rates are a thing too.
There are lots of models with 250 plus days of supply my concern is that the auto loan and AI bubbles pop at the same time, that would make '08 seem fun.