Some dealers just don't want the Maverick

[CuriousGary]

Supply and demand still wins. If supply starts to outstrip demand, prices will fall. Doesn't matter what the mileage is. But it will take a while for the market to get to that point and recover from shutting down supply for the pandemic. Too many people put off vehicle replacement and are simply in need of one. That keeps the demand high despite interest rates.

Great post. There must be some economists who are in line to buy a Maverick. CommadorBob, will the dealer markups on Mavs also come down?

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[commadorebob]

Great post. There must be some economists who are in line to buy a Maverick. CommadorBob, will the dealer markups on Mavs also come down?

As a retail owner once told me, "stop buying Christmas trees in August and I'll stop selling Christmas trees in August."

Once people stop paying the markups, they'll go away.

 

[Oh Weld]

supply and demand. Mavericks are still selling for a premium in central Texas. Drive south to sell your unwanted vehicles

 

[bearsfan647]

Except they are not dumping inventory…. They are only lowering buy prices drastically, not sell prices

not in metro Detroit.

plenty used Mavericks up for month+ with big drops. Some they finally sent to auction. Things are changing.

 

[Revenge488]

The used car market is currently trending downhill, However a lot of these car buying websites tend to straight up attempt robbery. Some people fall for it so they keep doing it.

 

[dano0726]

I just wonder whether Ford will ever reallocate materials from other models over to the Maverick in order to fulfill the order bank...

 

[Bob The Builder]

This used car prices have always been a regional thing. Up here, some used car dealers specialize in "Southern Cars" always going south to the auctions instead of the New England area ones. They always got a premium for them as folks would trip over themselves for the so called "rust free" rigs.

 

[OXHB619]

Does your truck have any outstanding recalls?

I am not 100% sure but if the truck has any outstanding recalls they may not be able to resell it until the recall is done which can take a long time. Even if they can legally sell a car with an outstanding recall they may not want to because of liability.

Used vehicles do not have the same restrictions as new. Just traded in my XL AWD 4k with 7,200 miles for 31k. It is already listed at 35k, with 2 open recalls ( one is brakes I think they can fix, the other is Airbags, that ain't getting fixed anytime soon )

 

[AndrewinMD]

These Johnny come lately dealers are so over there heads with used vehicles that the bubble is bursting…. Sadly what’s happening is they are purchasing on the cheap, but have so much money invested they have to sell. High. Carvana and Vrooom are in for a beating.

Agreed on Carvana and Vroom (and a couple others). I took advantage of the bubble and sold three used cars and bought two new ones, Maverick included (happy coincidence, not awesome advance planning on my part!). It seemed like a good time to refresh the vehicles and gain warranties while maximizing profit on the outgoing ones.

 

[Vince30]

I've been searching used mavs just to see the trend. Lots have been listed over a month with decent price drops, even ones marked as "good deals". The online dealers aren't the only ones overpaying for them, normal dealers did it too. I just wonder how long they'll sit on them before they take the L.

 

[dbmurray]

Except they are not dumping inventory…. They are only lowering buy prices drastically, not sell prices

Yeah, it's crazy how the sell prices keep staying up while we're hearing about the bubble supposedly bursting on used car pricing.

I was looking around at some advertised prices on Saturday. There's a local company...basically a junk yard...but they also buy wrecks from insurance companies and rebuild them.

They have a 2022 Maverick XLT priced at $28,000.

I did a VIN search and found a before photo from the auction company to compare to the after on the seller's website. It looks like they did a good job rebuilding it, but I can't imagine paying what is probably at least full MSRP for a REBUILT WRECK. The MSRP on a brand new 2023 XLT Maverick with LUX, AWD, 4K, and the acquisition fee is less than $31,000. A base 2023 XLT is $25950.

 

[dbmurray]

Supply and demand still wins. If supply starts to outstrip demand, prices will fall. Doesn't matter what the mileage is. But it will take a while for the market to get to that point and recover from shutting down supply for the pandemic. Too many people put off vehicle replacement and are simply in need of one. That keeps the demand high despite interest rates.

I believe that will be the case with the used car market in general. However, I don't have much hope for those of us wanting a specific car that is still in relatively low supply like the Maverick. If Ford can't figure out how to build them, buyers are still going to pay a premium on the used market.

 

[Bulldurham22]

Just a comparison for what they use to offer just a few months back

 

[James K]

In today's market definitely a low bid but I am not at all surprised. In "normal times", $18k would be a legitimate offer for a "lightly used" vehicle with a roughly $25k MSRP. The wholesale used car market is already down by roughly 10% since June and values are dropping by about 1% a WEEK. Only about half of the cars at wholesale auctions are actually being sold (i.e., no-sales) since wholesale buyers are not willing to pay what sellers are willing to take. Dealers are sitting on a lot of inventory they over-paid for (and are losing money on every day due to increasing interest payments). At some point in the near future (next 30-60 days?) a lot of this inventory "must" get sold (the banks are starting to force the dealers to sell). Add to that all the repos (3x+ what they were last year) and you should have a lot of vehicles hitting the market to drasticaly increase supply. More importantly, the number of buyers is supposedly WAY down due to rising interest rates. [per Black Book]

If I were a dealer, I would be throwing out low bids as well. Basic hope is to catch someone that is about to be repo'd and willing to deal. The problem is that most of those that are being repo'd probably paid way over MSRP and thus no way to get whole [many banks were doing lones at up to 140% of MSRP]. In that situation, then the dealer will just wait until the unit shows up at auction and buy it for way under MSRP (with the bank taking the loss).

On top of that, everyone is watching Carvana very carefully. Very real possibility of them going bankrupt at some point in 2023. They are sitting on a ton of over-priced inventory that would absolutely flood the used car market for at least a short period of time. I find it absolutely amazing that they are still willing to pay over MSRP (and at least at the Carvana near me, they are over-flowing with used cars).

If the trend continues, I fully expect that most "lightly used" cars will be back under MSRP by early next Spring (even the "in-demand" models). I am keeping my fingers cross that the used car market will be back to "normal" by next Summer. Anyone buying a Maverick (especially the Eco) with the idea of flipping it is likely to be disappointed. If someone is trying to sell a used car, now is the time. It will likely be worth less next week than it is this week.

Used car prices are much more regional than most products. They are just so expensive to transport that you can find wild variations. Supply and demand dictates prices, so Maverick, being very popular, will demand higher prices. As for liability, I'm not so sure knowing there is an open recall really puts a lot of liability on a used car seller otherwise everyone who sold or traded their Maverick after the recall could be on the hook. Of course, you can bring any party into the suit, but I'd expect a summary dismissal. Kind of like me selling my axe to my brother and him selling it to an axe murderer. Back to the original thread: that still seems like a light offer.

 

[Rivers90]

Wow, This photo gives me all kinds of ideas of custom mods that could be done. There is plenty of space for a hidden air compressor if you wanted to add onboard air.

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