Edmunds.com Predicts New Car Price Hikes, Declines
Summertime car shopping is always rich with bargains, but Edmunds.com announced Wednesday that according to its latest update of True Market Value Predicted Price Trends, some new cars may actually get more expensive later this season.
"During the summer, we typically see great discounting as dealers need to clear their showrooms of old model year vehicles to make room for new inventory," said Edmunds.com Senior Analyst Jessica Caldwell. "However, the recession forced automakers to limit production, so this year the old model year inventory is much more sparse than usual. As a result, discounts are unlikely to be as dramatic for most vehicles and diminishing supply will actually raise the prices for some."
True Market Value Predicted Price Trends is a tool that indicates probable price increases and decreases in the transaction prices of every new vehicle on the market. Among the vehicles expected to get more expensive in coming weeks are:
- 2011 BMW 5 Series
- 2010 Dodge Ram Pickup 1500
- 2010 Honda Civic
- 2010 Lexus GS 450h
- 2010 MINI Cooper Clubman
- 2010 Toyota Camry
- 2010 Volvo S80
Among the vehicles whose prices are expected to fall particularly dramatically as the summer progresses are:
- 2010 Cadillac Escalade Hybrid
- 2010 Chevrolet Tahoe
- 2010 Hyundai Sonata
- 2010 Mazda CX-7
- 2010 Mercedes-Benz C-Class
- 2010 Nissan Altima Hybrid
- 2010 Suzuki Kizashi
"Car shoppers can essentially 'time the market' of their purchase by considering relevant trends such as new vehicle introductions and discontinued brand names," recommended Edmunds.com Senior Consumer Advice Editor Philip Reed. "For example, the termination of the Mercury brand will lead to continued price drops, while a lot of positive buzz has been generated about the new 2011 Ford Fiesta, so prices are likely to stay high for some time."