Car dealers surviving on sales of used cars, but don't expect bargains

Before you go, we thought you'd like these...
Before you go close icon
Dealers are noticing consumers shifting toward used cars. Indeed, some dealers report that they're having trouble keeping up with the demand. Prices on some used cars are on the rise even as dealers sit on piles of unsold new cars.

Despite the price rise, this is such good news. For decades, Americans have been taking out loans to buy cars that they have no business driving and that's created the illusion of a healthy auto industry. But the reality is that Detroit's success was being driven by the financial blunders of people too insecure to drive an old car.

Another plus side to the tanking demand for new cars: more work for mechanics. Check out this video report for the details of the deals.

Read Full Story

From Our Partners