Right now cars are sold to dealerships and then are resold at higher prices to consumers while throwing in fees, markups and any possible way they can come up with a way to get you hooked on an interest rate that they have made kickbacks and deals with financing companies to ensure they can sell more cars.
A car salesmans job is to make money off charging you as much as they can. They often make 100-150k a year. That’s all money that comes from the purchasers who would have just paid the manufacturer for the product they wanted, and not have situations where you are haggling to get a decent price and finding out most everyone is getting taken advantage of.
The numbers vary but in general you are likely paying 3 grand more than what you would have if you bought directly from the manufacturer. Some places are saying 10% markups, so that’s 5k on the average new car purchase being around 50k.
Twice the median wage is nothing nowadays tbh. Inequality in my country isn’t even that bad compared to the US, but for an example, to be a sole provider for a family, you need to be making about twice the median, unless you don’t have rent or a mortgage to pay. This used to be possible with just median in the US I believe, but I somehow doubt it is now.
Fair enough. It’s just that while I do hate sleazy salesmen myself, they get a lot of hate when really they’re no different from the rest of us trying to make a buck in this rat race to keep food on the table the next day. It’s just that they’re in a position where their behavior directly affects their income and most the rest of us are not.
It isn’t a LOT of money but it is drastically more. Where I live you can survive making around 35-40k. The way I see it is that is your baseline requirement. So someone who makes 60k has about 20-25k spending money to improve their situation. Someone making 150k has 110-115k to improve their situation. So I would argue they are in practice more than 5 times richer. $55/day spending vs $301/day.
Right now cars are sold to dealerships and then are resold at higher prices to consumers while throwing in fees, markups and any possible way they can come up with a way to get you hooked on an interest rate that they have made kickbacks and deals with financing companies to ensure they can sell more cars.
A car salesmans job is to make money off charging you as much as they can. They often make 100-150k a year. That’s all money that comes from the purchasers who would have just paid the manufacturer for the product they wanted, and not have situations where you are haggling to get a decent price and finding out most everyone is getting taken advantage of.
The numbers vary but in general you are likely paying 3 grand more than what you would have if you bought directly from the manufacturer. Some places are saying 10% markups, so that’s 5k on the average new car purchase being around 50k.
True
That’s… Not a lot of money though. Stop blaming the salespeople, start blaming the legally mandated stealerships.
Twice the median wage is nothing nowadays tbh. Inequality in my country isn’t even that bad compared to the US, but for an example, to be a sole provider for a family, you need to be making about twice the median, unless you don’t have rent or a mortgage to pay. This used to be possible with just median in the US I believe, but I somehow doubt it is now.
Fair enough. It’s just that while I do hate sleazy salesmen myself, they get a lot of hate when really they’re no different from the rest of us trying to make a buck in this rat race to keep food on the table the next day. It’s just that they’re in a position where their behavior directly affects their income and most the rest of us are not.
It isn’t a LOT of money but it is drastically more. Where I live you can survive making around 35-40k. The way I see it is that is your baseline requirement. So someone who makes 60k has about 20-25k spending money to improve their situation. Someone making 150k has 110-115k to improve their situation. So I would argue they are in practice more than 5 times richer. $55/day spending vs $301/day.
You can raise a family one fairly easily.
Anyways… that’s off topic haha