This is a reprint from one of our salesman’s customer newsletters. Thanks Norm Wiegand!
The “Cash For Clunkers” program has concluded and in its’ wake I have fielded many questions about the program. In my 14+ years of selling cars I have never participated in anything that had customers so intrigued! The idea of getting several times what an old vehicle is worth made a deal too good to pass up. Most of the “Clunkers” that were exchanged for vouchers are still on dealers’ lots waiting for funding from the U.S. government. These vehicles or any of their parts cannot be sold to anyone except authorized scrap yards. Once the government funds a voucher dealers must destroy the engine. The scrap yard then claims it and takes it be recycled.
As you may have noticed most dealers are very low on new and used inventory. “Cash For Clunkers” has had some interesting affects on used vehicle values. Used car lots are empty since most new vehicles sold in the last few months have not generated a sellable trade in . New car inventory is also very low due to the program. Dealers are out in droves trying to buy vehicles for their used car inventory and this is making prices soar! Now is a great time to trade a late model vehicle!