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Comment on People put down deposits for every electric truck in development, leaving dealers in the lurch when they eventually cancel all but one

Encode1307@lemm.ee ⁨1⁩ ⁨year⁩ ago

Dealer markups the last few years have pushed significant market share to fixed price sales like tesla, polestar, and rivian. I ended up with a polestar after I couldn’t find a Ford Mach E, hyundai ioniq5 or VW ID4 without markup. Are we supposed to feel sorry for them when they have inventories building up?

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L31FY@lemmy.dbzer0.com ⁨1⁩ ⁨year⁩ ago
And that it’s their fault for gouging and thinking people won’t shop around? They’ve done it to themselves with greed.

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- luthis@lemmy.world ⁨1⁩ ⁨year⁩ ago
  They haven’t, it’s the manufacturers
  
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kiddblur@lemm.ee ⁨1⁩ ⁨year⁩ ago
Yeah, same. I never dreamed that a Tesla would be the cheaper option (summer 2022 at peak prices) compared to a Mach e, ev6, or ioniq5, but my dealerships all had 15k markups, and each car has features I wanted gated behind higher trims, so they were all like 60k+ after markups (don’t remember specifics since it was over a year ago)

Thankfully I got a ridiculous trade in check from my ID.4, so I was able to afford a huge downpayment on the model 3, although thanks to the price drops, I’m underwater again… good thing gap insurance is only $8 a month through my insurance

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- Shrek@lemmy.world ⁨1⁩ ⁨year⁩ ago
  What does it mean to be underwater in this instance? And what is Gap insurance?
  
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  - kiddblur@lemm.ee ⁨1⁩ ⁨year⁩ ago
    Underwater means that I owe more on the car than it’s worth. I bought it at $52K with a 15K downpayment, and at this point I owe $33K on it. Carvana estimates it’s worth $30K, so if I totaled it tomorrow, my insurance company would give me $30K, but then I’d be on the hook for the other $3,000. So gap insurance takes care of that. In fact, my gap policy says that if I total a car two years old or newer, they’ll pay it off and get me a brand new one as a replacement, and if it’s older than two years, they’ll get me one a year newer.
    
    So I’m paying $8/month for the peace of mind that I don’t have to worry about out owing money in the case of a crash.
    
    Obviously when I bought the car, I wasn’t expecting Tesla to drop the price so much and crater the used market
    
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    Shrek@lemmy.world ⁨1⁩ ⁨year⁩ ago
    Thanks for responding! I’m glad I learned about this!
    
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luthis@lemmy.world ⁨1⁩ ⁨year⁩ ago
It’s because of how the manufacturers have set up the system. I posted a video above explaining how manufacturers control everything

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