HIGH PRICES, LOW INVENTORY, A NEW NORM FOR CAR SHOPPERS

Throw in sky-high fuel prices and rising interest rates, and it’s enough to make people throw their hands up in resignation.

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Shopping for a new or used car over the last couple of years has become a more challenging endeavor. Because of the COVID-19 pandemic and its after-effects, we’ve had to deal with factory closures, supply chain issues, a worldwide shortage of semiconductor chips, vehicle shortages, price hikes on dealer lots and fewer discounts. Throw in sky-high fuel prices and rising interest rates, and it’s enough to make people throw their hands up in resignation.

“Consumers in need of a new ride this summer need to break old habits and relearn how to smartly navigate today’s market,” said Ivan Drury, senior manager. “You can’t simply walk into the dealership expecting to find bargains, incentives or even the vehicle you want.”

With this in mind, here are a few issues you need to know about the current car-buying climate, plus tips on best managing them.

WAITING IT OUT MAY BE TOUGHER THAN EXPECTED

Many people who were on the fence about buying a new car likely decided to wait out the chip shortage. In a recent interview, however, Intel’s CEO, Pat Gelsinger, was quoted as saying he expects the chip shortages to persist until 2024.