Price Gouging

[Rdr854]

I stopped by a GMC dealer in Northern Virginia to look at a Yukon XL. The dealer only had Denalis and one AT4. While I understand that there is a shortage of new cars, I thought that a $15,000 market adjustment was ridiculous. I get that dealers are getting short on inventory and that a reduction in incentives and discounts is reasonable based upon supply and demand. But adding $15,000 for the privilege of buying a vehicle is just plain wrong.

As an aside, my Chevy dealer said that OEMs have taken notice that vehicle transaction prices have increased substantially with limited manufacturer incentives and that we should not expect inventory levels to return to the overstocked levels that we have seen for the past 30 years or so. He predicts that there will be more special ordering in the future, which will significantly reduce the need for dealer discounts and manufacturer incentives.

 

[EMTPete]

Sounds like you have come across Koons in Tysons. I agree the $12.5k and $15k they are trying to charge on the new Denalis is absolutely crazy. I also live in NOVA and have realized that dealers that just a short drive away (such as Leesburg and Warrenton) are not nearly as greedy.

 

[MelloYello95]

Its a crapshoot everywhere

 

[Rdr854]

Sounds like you have come across Koons in Tysons. I agree the $12.5k and $15k they are trying to charge on the new Denalis is absolutely crazy. I also live in NOVA and have realized that dealers that just a short drive away (such as Leesburg and Warrenton) are not nearly as greedy.

Nope, another location, same organization. On there website, they call it an “upfit” fee, although the supplemental dealer sticker calls it a market adjustment.

 

[Stbentoak]

I see this as a new paradigm shift in vehicle purchasing. Just like housing, prices will start at MSRP. There will be no negotiating 5 to 10% off like there was in the past. MSRP will be the sales price and if the vehicle is a hot ticket it will be MSRP plus if you want it. I’ve read that many places, and by a year from now this will be the new normal.

 

[Quark]

So how did we get here, indiscriminate buying? It looks like GM will use any component they can get on these high profit vehicles and people continue clamoring for them. For GM there is no downside.

 

[Stonefort]

Can't blame them if you have people out there paying it. Try somewhere else.

 

[Stbentoak]

So how did we get here, indiscriminate buying? It looks like GM will use any component they can get on these high profit vehicles and people continue clamoring for them. For GM there is no downside.

That's one reason NOT to wait for a 2022. GM could easily raise base prices 2-3K and still be sold out. There won't be any material changes to the 2022's. Things could get better... But they could go higher too !

 

[Quark]

That's one reason NOT to wait for a 2022. GM could easily raise base prices 2-3K and still be sold out. There won't be any material changes to the 2022's. Things could get better... But they could go higher too !

I just keep reminding myself how enjoyable $125 plates are while watching my earmarked funds go up with the market. Besides I'd like to see what they do to the Navigator as I kind of prefer the styling. Everyone's situation is different but for me I choose to keep my options open for the moment to see where this is going.

The direction we're headed there may be gas shortages by next year and these things will have $9,000 rebates, one never knows.

 

[Thislife1977]

Sounds like you have come across Koons in Tysons. I agree the $12.5k and $15k they are trying to charge on the new Denalis is absolutely crazy. I also live in NOVA and have realized that dealers that just a short drive away (such as Leesburg and Warrenton) are not nearly as greedy.

While not 15k greedy, all GMC dealers in the DMV are adding “market adjustment” fees. Most are charging between 1500-5000. If you want to purchase a vehicle at MSRP in the DMV, buy a Chevy. FYI Country GMC in Leesburg is on the highside of “market adjustment. Look further west....Roanoke, Harrisonburg, etc......