Shifting Gears: Inflation and Today’s Car Market

It’s no secret that the car-buying game has changed. Between COVID’s aftershocks and rising inflation and car prices, finding the right vehicle in today’s climate can feel like a challenge. At Portsmouth Ford, we get it. Nobody wants to see prices climb in any industry, especially in automotive. Our blog post dives into the current car market landscape, inflation’s impact on the industry, and, most importantly, how to score a great deal on your dream ride. Buckle up and learn about inflation’s influence and how we at Portsmouth Ford can steer you toward success!

New Car Price Trends

While new car prices remain higher than pre-pandemic times, the rapid price hikes of 2021 and early 2022 appear to be easing. This is largely due to improvements in the global supply chain, especially the computer chip shortage that hampered production. As more cars fill dealer lots, competition naturally heats up, creating a potentially better situation for car buyers. However, it’s not all on the upswing. J.D. Power reported a 4.2% average price increase in January 2023 compared to the prior year. This, combined with high gas prices and rising interest rates, can still make car ownership expensive and dampen overall sales. In turn, this has had a ripple effect on used car inflation and pricing.

The Inflation Factor: Understanding Rising Costs in the Auto Industry

While supply chain woes are easing, inflation remains a double-edged sword for car buyers. Inflation has driven up the cost of raw materials, parts, and labor across the industry, not just cars. These increased costs translate to higher prices for new vehicles, with estimates suggesting inflation accounts for roughly half the recent price hikes. However, it’s not all bad news when it comes to inflation and car prices. Automakers are also investing heavily in advancements like electric vehicles and driver-assistance systems. While these innovations contribute to higher prices, they ultimately benefit buyers by offering improved efficiency, safety, and driving experiences. In essence, inflation is a temporary hurdle, but the technological advancements it’s helping to propel forward will have lasting positive impacts on the cars we drive. Here’s the key takeaway: while the initial cost might be higher, the features and benefits of these new cars represent a potential long-term value proposition for car buyers.

Scoring a Great Ride in a Tough Market

The current economic climate with rising inflation and car prices might make finding a new car feel like an uphill battle. Here at Portsmouth Ford, we’re all about empowering you to find the perfect vehicle that fits your budget without sacrificing quality. We understand the importance of getting a great deal, and we’re here to equip you with strategies to navigate the 2024 car market:

• Be an Information Warrior: Knowledge is your weapon against inflation and car prices. Research your dream car’s market value to compare deals to ensure you get the best one.
• Consider Certified Pre-Owned: The pre-owned market is booming. At Portsmouth Ford, you’ll find excellent deals on well-maintained, late-model vehicles. We have a great selection, including Ford Blue Advantage models and MotorTrend Certified Pre-Owned options.
• Embrace Flexibility: Don’t be afraid to explore different models or features. A little wiggle room can unlock a treasure trove of deals.
• Leverage Our Expertise: Our knowledgeable sales team is here to answer your questions, guide you through the car-buying process, and help you find the right financing options in the midst of rising car prices and inflation. We’ll work tirelessly to find a car that meets all your criteria and fits comfortably within your budget.

Easiest Financing in the Industry

While we can’t necessarily control inflation, car prices, or supply chain issues, we are proud to extend our unique dealership offerings to you. There’s no need to be fearful of the current automotive climate when you’re working alongside our team. Whether you purchase a new or used vehicle from Portsmouth Ford, you can rest assured that you have ultimate transparency regarding pricing. With so many options available, we’re confident we can help you find the car you deserve at a price you’ll love. Here are some of the ways we take the weight off your shoulders to make the car-buying efficient and enjoyable:

• Clearly Marked Pricing on ALL Vehicles
• Hassle-Free Buying Experience
• Shop the Largest Selection
• No Dealer Fee Guarantee
• Top-Rated Certified Sales Staff
• Keepin’ It NEW for YOU Advantage Program

Financing Tools & Resources

Our well-rounded Finance Center at Portsmouth Ford supplies you with all of the tools you need to navigate your car purchase confidently. We encourage you to utilize all of these tools to their fullest extent, as they are there to assist you. Our amazing team of finance experts is also at your beck and call to guide you through the process seamlessly!

• Use the Payment Calculator to estimate monthly payments
• Fill out an online Finance Application to get pre-approved in just a few minutes
• Consider our trade valuation tool if you plan on trading in your current car to upgrade to a new one
• Shop with AutoFi to explore many financing options on our new or used vehicles in stock

Shop Portsmouth Ford

Here at Portsmouth Ford, we understand the changing market and are here to make your car-buying experience smooth sailing. We boast the area’s biggest selection of new and pre-owned vehicles, all offered at competitive prices – no dealer markups here! Our team isn’t just about making a sale. They’re dedicated to finding the car that perfectly fits your needs and budget. We’ll guide you through the current market landscape and ensure you find the perfect vehicle for you. Don’t let headlines about inflation and car prices deter you from getting the car you deserve. Head to Portsmouth Ford today for a test drive and discover the car of your dreams!

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