Dieselgate Not Slowing Down Used Volkswagen Sales
You know who #Dieselgate isn’t affecting? Some used car buyers who are continuing to snap up used Volkswagens and Audis with the tainted 2.0-liter, turbodiesel engines. They’re not going to let a little thing like faulty emissions slow them down. Want to know something else about #Dieselgate? It’s not affecting used car prices like you might think. RELATED: BMW, Mercedes, and GM Might Be Cheating, Too According to a story in the St. Louis Post Dispatch, auction values have dropped 8 to 14 percent. Actual transaction prices, what people are actually paying, have dropped about $30. That’s about .3 percent, according to figures compiled by Carlypso. Its CEO said in the article that he expects transaction prices to hold, if not increase. Why are prices staying fairly static? Buyers expect Volkswagen to make things right. Of course, Volkswagen of Americas president Michael Horn told Congress the fix won’t affect fuel economy but it could affect performance.
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But this buying frenzy apparently isn’t unique to just used Volkswagens. TrueCar.com told the St. Louis Post Dispatch that a few new models rolled off dealer lots in the last week of September. Somehow the dealers ignored the stop sales order.
Apparently the dealers were driven by the love of money. The article said the “average transaction price for those cars was $30,671, an astonishing 13 percent higher than it had been two weeks before the diesel scandal broke.” There were dealer markups on cars that even its own manufacturer didn’t want sold.
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You have to admire the greed of dealers to put a buck ahead of corporate concerns. You also have to question the intelligence of buyers willing to pay more for a car that is going to have less performance than claimed when fixed.
What were they thinking?