Car Market Going To Implode.....

Car market is going to implode.

People took on way too much debt.  

People don't care how much a car costs, they only care about the monthly payment.  

If the monthly payment is too high on a 5-year loan, then take out a 6-year loan.  Or 7-year loan.  Or 8 year loan.

If you need to accept a higher monthly payment, well that is OK too.  

Because that new car smell if fantastic.  It is worth any amount of debt.  

Except after the new car smell is gone you still owe the money.  For years.

Last month it was announced the average car payment in America is now over $700.00 a month.  

That is absurd but people signed on the dotted line.  

Now they can't pay.

So the tow trucks show up and the cars get hauled away.  

Then the bank has to resell the cars in a newly flooded market.  

When that happens prices will fall.

It is going to be the housing market of 2008 all over again.  

Big crash is coming.

https://www.cbsnews.com/news/used-car-bubble-market-repossessions-are-surging/

https://www.businessinsider.com/cost-of-average-monthly-car-payment-hits-record-712-us-2022-7