Automotive Dealer's Weekly Update 10-13-2023
The Acquistion Optimizer
Economic Update: SOURCE
It’s easy to think it is all doom and gloom out there but if you peel back the onion, you can see that it is better than it seems and with the again used car VIO, the retail demand should stay steady into 2024. Here are just a few examples of that fact.
Home Mortgage Refinancing – According to Redfin, 62% of mortgages are below 4%, and 24% are below 3%. The massive amount of refinancing in 2021 and 2022 has freed up additional disposable income for many households. For example, a homeowner with a $600,000 mortgage at 5.25% who refinanced to 3.25% generated $700 monthly in extra cash flow.
Wage Growth – While American households enjoy lower mortgage payments, their incomes grow. Wages are up 10.2% since 2019, equating to an additional $854 per month for families earning …… Read More HERE.