The Used Car Market Will Crash
It’s quite likely that we’re currently experiencing the used vehicle market’s weirdest time ever. Carvana, CarMax, Vroom, Shift, and maybe a hundred dozen other companies are striving to commoditize used inventories and move shopping online. Meanwhile, new car production is down, dealer inventories of all sorts are negligible, and demand has been goosed by COVID stimulus payouts that make tidy down payments. High-mileage husks have moved from the remainder bins of the buy-here/pay-here margins over to the front lines of fancy factory-backed dealerships. Will the madness ever end?
Of course it will. When? And what will the crash look like?
A new report from the KPMG consulting firm strives to put the current insanity in context and predict how it will end. Or if it will end. And, one way or another, what the “new normal” may be. The report can be downloaded here.
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