Day: July 4, 2021

Used cars prices jump as new car production drops

Those looking to buy a late-model car, truck or sport utility vehicle may suffer from sticker shock when they see the price of used vehicles, which the U.S. government’s consumer price index calculates have risen by about 30% since May 2020.

“It’s all about the inventory. There’s a high demand and a low inventory,” said Lisa McIntyre, executive director of the Greater Pittsburgh Automobile Dealers Association, a trade association representing about 200 dealerships in Southwestern Pennsylvania.

When there is not a sufficient number of new vehicles to fill demand or buyers don’t want to pay new car prices, they turn to used cars, pushing prices up, McIntyre said.

A certified pre-owned vehicle rose in price from about $10,000 in February to about $11,500 to $11,800 now, said Jeff Dohallow, general manager for Kenny Ross Subaru in North Huntingdon.

At Nick Chevrolet in Tarentum, sales manager Glenn Harbison said the

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Scotty Reiss, founder of A Girls Guide to Cars, is in the market for a used car. “I need to buy something for my daughter, who is sophomore in college,” she says. “She is living off campus and she needs a car.”

There are lots to choose from, she says, but her budget is not going as far as she thought it would. “We’re looking for something under $20,000,” she says. “What we want to get for our budget is probably putting us back a model year older than we’d like.”

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The average price of a used car has skyrocketed since the start of the pandemic, according to data from automotive

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