Category Archives: Auto Industry News

Car collectors may have to turn to used models for favorites

A recent survey of car collectors by Hagerty Insurance found that they would be sad to see 10 current models go if struggling automakers decide to discontinue certain models and makes.

But, those looking to pick up American classics like the Chevrolet Camaro and the Saturn Sky may have to turn to the used car listings to sate their thirst for the gasoline-powered greats based on industry reports.

GM is reportedly closing up shop on Saturn and Pontiac production, including the Sky roadster and its Solstice counterpart that provided American buyers the chance to buy a 170-hp convertible at a lower price point than many of its competitors.

Edmunds said the 2006 model year cars had “nimble handling” and offered lots of legrooms in a stylish package.

“As car enthusiasts, many of us would hate to see these cars become extinct,” said Hagerty Insurance CEO McKeel Hagerty. “We appreciate the place in American society that a great car can occupy and the value of that car to future motorists down the road. It would be sad to see them go.”

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Feds: Used cars cost 12% less than a year ago

The economic downturn may give those looking to buy a used car an inadvertent boost, according to new government data that says used models are more affordable than they’ve been in at least a year.

According to the Consumer Price Index, used car prices are about 2 percent cheaper than they were in February, and 12 percent cheaper than if a buyer had made the same car buy in March 2008.

Although gas prices are up somewhat from February, and may hit $2.36 a gallon by the summertime, used car buyers can counteract that by purchasing more fuel efficient cars which can go further on the same tank of gas.

Drivers can also take advantage of the fact that $4 prices for a gallon of gas are highly doubtful for the near future, as prices are down to nearly half of what they were a year ago.

Those who are on a tight budget may be able to take advantage of utility and energy costs that are somewhat cheaper than they were a year ago, and are likely to improve as the weather turns warmer.

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News service: Used car sales up

A marketing research firm is predicting used car sales to continue to be strong through 2010, the Detroit Free Press reports.

The CNW Marketing Research, which is based in Oregon, reported that approximately 13 percent of new car shoppers left dealerships with a certified used car instead, according to the article.

Furthermore, CNW expects used car sales to continue in its popularity through 2010 and predicts sales of 40 million in the market, an increase of 9.5 percent from last year’s number of 36.5 million.

One reason people may be gravitating toward used cars instead of new ones is the weak economy, which has caused many individuals and families to tighten their budget.

For those looking to buy a used car, some car officials recommend consumers order a vehicle history report and have an independent mechanic evaluate the vehicle in an effort to know the car’s status.

Recently AOL released a list of the Best Used Cars Under $20,000 and placed the 200 Audi A4 Avant Quattro in the best wagon category.

“We like the 2.0T engine for its racy driving characteristics and fuel efficiency,” stated the website.

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Mazda to focus on electrics, hybrids in effort to promote fuel economy

Japanese automaker Mazda says that it will ramp up efforts to deliver better fuel economy on many of its product lines.

The company wants to increase fuel economy across all models by 30 percent in the next five years, aided in some cases by a move towards hybrid vehicles, according to an Automotive News report.

“Our new gasoline engines will achieve the same fuel economy as current diesel engines, and our diesel engines will achieve similar fuel economy as existing hybrids,” Mazda CEO Takashi Yamanouchi told the news provider.

While some Mazda fans may be willing to wait, there are many used cars that offer similar fuel economy, and some may be less expensive than their newer counterparts.

Diesel-powered vehicles, such as those made by German makes like Volkswagen, BMW and Mercedes Benz offer used car buyers up to 30 percent more fuel economy than those powered by standard engines, and a variety of models have been using the power train for years.

Other opportunities for used car buyers looking for a car that’s stingy in gasoline consumption are hybrids such as the Toyota Prius or the Honda Insight, which incorporate electric motors and see combined efficency ratings above 35 miles per gallon.

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Used hybrid cars a green option for the wallet, environment

In a report by Kelly Blue Books, six out of the 10 most fuel efficient models were hybrids, but car buyers looking to “drive green” may want to consider a used version that could save their wallet and the environment at the same time.

For example, the Toyota Prius tops the list with 50 miles per gallon when one combines highway and city efficiency. That fuel savings came at a price, however, as suggested retail in 2009 was around $21,000.

On the other hand, used Priuses from 2004 onward may be found at prices that are up to $8,000 less in New Jersey, allowing customers a less expensive alternative.

The Honda Fit is another gas sipper that can be found more affordably in used variants. 2009 models had a sticker price that started at around $14,500, but cars just a year or two older may be several thousand dollars cheaper.

Savings may continue to add up for customers who choose to drive in fuel efficient cars, as federal forecasts say that gas prices this summer may reach $2.30 per gallon, according to a report in USA Today.

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AAA: Really good deals for used cars right now

More consumers are showing interested in the used car market with the number of people looking at pre-owned or late-model vehicles rising last month, according to a Washington DC radio station.

In March, there was a 5 percent increase in people looking at used cars, which suggest more Americans are watching their budgets during the weak economy, WTOP.com reports.

And the used car deals may get better for people with non-traditional financing. Lon Anderson of AAA said that for people who come with cash or who have pre-arranged their financing may find some “really good deals” in used cars, according to the article. For people interested in keeping costs low, Anderson suggested to look at a certain car.

“The newer the vehicle, the more likely it’s going to burn very cleanly and will utilize all of the latest technology,” Anderson told the news provider.

Recently AOL came out with a list titled The Best Used Cars Under $20,000. Included on the list was the 2006 Pontiac GTO, which was described as “arguably one of the best sport car deals available” in the article.

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Newspaper: People gravitating toward money-saving cars

At the New York International Auto show, patrons of the annual event were reportedly flocking to see the new hybrid cars and citing their desire to save money in the long run as the reason why they were interested.

Ed Roberti, a 65-year-old Brooklyn resident, was admiring Toyota‘s third-generation Prius, the New York Daily News reports. The car manufacturer claims the car can get 48 miles to the gallon on city streets and 51 on the highway.

“It’s a hybrid so it’ll save you a buck, which is always a good thing,” Roberti told the news provider. “I like the styling. It’s a really great looking car.”

Roberti added that he was thinking about replacing his Saturn, a brand that General Motors said it would stop producing after they released the 2011 models.

Some people have taken the bargain hunting a step further and looked at purchasing used hybrid cars, especially with reports that gas prices may stay around the same level till next year.

According to the Energy Information Administration, the price for regular gasoline is expected to average $2.23 a gallon during the summer driving season.

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Bank to offer low rate for green used cars

A national bank has created a new car loan program that rewards consumers with a lower interested rate provided they purchase vehicles that have been certified to be environmentally friendly.

U.S. Bank will offer a half-percent rate reduction on used car loans certified by the EPA as SmartWay vehicles, meaning the automobile offers low emissions and good fuel economy.

“Including EPA-certified SmartWay vehicles in programs like this is a great way to lower greenhouse gas emissions,” said Margo Oge, director of EPA’s office of transportation and air quality. “We applaud companies that develop initiatives that benefit both the consumer and the environment.”

The bank also stated these car loans will be set up on automatic payment from a U.S. Bank account, making the transaction paperless. The program is available for used cars that are up to six years old.

People who are currently in the market for a used car and would like to take advantage of the program should visit the EPA’s website to find a list of cars that have been deemed SmartWay vehicles.

One of the vehicles listed on the site is a 2008 Chevy Aveo, which “sips fuel at a sufficiently frugal rate,” according to Edmunds.com.

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Magazine: Now is the time to get a used car

With a weak economy coupled by a favorable outlook towards gasoline prices, one news provider is urging consumers to get into the used car market to get a great bargain.

U.S. News and World Report recently stated that the consumer price index, which reportedly measures how much people pay for goods and services, dropped .4 percent in the last year, which is the first time it’s done so since 1955.

According to the news provider, this sour news for the economy is good news for consumers who strive for bargains.

One of the areas the magazine focused on was transportation and said that “now is a great time to buy that used Prius,” and that people should hold off on buying a new car.

This goes along with a recent report from the Energy Information Administration which predicted manageable gas prices this summer, USA Today reports. The price for regular gasoline is expected to average $2.23 a gallon and may remain in that range through next year.

With low gas prices and a fuel-efficient used car, a consumer could save more money in the future.

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Report: Gas prices to remain low

People in the market for a used car with excellent fuel efficiency may get excited about some data from the Energy Information Administration.

According to the EIA, prices for regular gasoline are expected to average $2.23 a gallon during the summer driving season, which could be described as a relief from the approximately $4 a gallon the public had to deal with last year, USA Today reports.

Tancred Lidderdal, a senior economist for EIA, told the news provider the “bargain prices” on gasoline may entice Americans to drive more. And this may not just be a trend. The administration is predicting the average price per gallon for gasoline will be around $2.42 in 2010.

The report suggests people in the market for a used car may be able to save even more money if the vehicle they purchase is fuel efficient.

Last year, Consumer Reports rated some of the top fuel efficient used cars on the market, which included the 2004-2006 Toyota Prius that reportedly gets 44 miles per gallon, as well as the 2006-2007 Honda Civic Hybrid that gets 37 mpg.

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