4 ms·
Clearly there are a lot of variables including interest rates, desire for better space due to Covid lockdowns and more recently FOMO. One thing that should not
by MobileVet 5y ago
Clearly there are a lot of variables including interest rates, desire for better space due to Covid lockdowns and more recently FOMO.
One thing that should not be overlooked is the basic economics of supply and demand.
Right now the supply is extremely low compared to much of our historical data. This at the same time as demand has been red hot (due mostly to Covid). Check out the data below, especially over the last year.
https://fred.stlouisfed.org/series/MSACSR https://fred.stlouisfed.org/series/MSACSR
We are seeing the same macro level forces impact the used car market. In that case, the supply is off ~30% due to rental car turnover being nonexistent.
- sys_64738 5y agoLack of supply is precisely the issue causing panic buying through bidding wars. You need to go 10% over asking to be guaranteed to be close. Low demand and continued increases of buyers coming to market cause the snowball effect.
- deleted 5y ago[deleted]
- ghaff 5y agoRental cars seem to be a mess. I know at least one person who canceled a trip because they couldn't get a rental car. And I reserved one for a trip at the end of September "just in case" and the price seemed significantly higher than normal.
- cletus 5y agoRental car prices are extremely high. That’s not your imagination. This is a result of car rental companies selling a third of their fleet last year to survive so supply is way down and demand came roaring back. Tip: hire a UHaul instead. Much cheaper.
- harambae 5y ago>Tip: hire a UHaul instead. Much cheaper. I see everyone recommending this, but the U-Haul's I'm used to charge per mile so watch out for this if you're planning a roadtrip