Has the world gone mad? Car prices...

[Lynn]

Originally Posted by Pro Stock John

I think the inheritance comment can't be generally true, only because there are always people dying and always people inheriting money. If that is constant then what is causing the recent spike in car prices. I think PPP might have impacted that like Mark said.

Speculating, maybe also individuals have saved more money for the last 14 months since many were not commuting, and also able to travel for leisure.

Regarding the inheritance; I don't believe it is the MAIN factor. Even though I numbered them 1 and 2, I didn't mean to imply that was an order of priority or importance.

It isn't just that people are dying. It is the generation of folks who are dying; people that saved all their lives because the depression scared the chit out of them. I went to see my Mom after work today. She was wearing a robe that she made about 10 years ago. She still wears a winter coat she made. She didn't have a "store bought" dress til she went to high school. She mowed her own lawn until she turned 87. My Dad never finished HS and never made any decent money. My Mom stretched it beyond belief. Dad was making less than $5,500 per year in 1968, and they had four boys all in private schools. My Dad made the dining room table that is still in Mom's house. 40 years later, and it is still gorgeous. I didn't live in a house with central heat and air until second semester of my Sr. year in HS (1971). No big deal if you are in San Diego; big issue in central OK.

To that add this: over 572,000 more people died in 2020 than in 2019.

I am in the estate planning arena and I am a financial advisor. I have seen more money changing hands from one generation to the next in the last 10 months then any other 10 month period in the last 30 years. Granted, I am a tiny sample, but I believe, talking to colleagues around the country, that the trend is nationwide. Not ALL of the baby boomers who are inheriting are blowing it on cars. I have MANY new investors that inherited their money, and they are frugal folks. But not all of them are frugal.

[Pro Stock John]

Originally Posted by Lynn

Regarding the inheritance; I don't believe it is the MAIN factor. Even though I numbered them 1 and 2, I didn't mean to imply that was an order of priority or importance.

It isn't just that people are dying. It is the generation of folks who are dying; people that saved all their lives because the depression scared the chit out of them. I went to see my Mom after work today. She was wearing a robe that she made about 10 years ago. She still wears a winter coat she made. She didn't have a "store bought" dress til she went to high school. She mowed her own lawn until she turned 87. My Dad never finished HS and never made any decent money. My Mom stretched it beyond belief. Dad was making less than $5,500 per year in 1968, and they had four boys all in private schools. My Dad made the dining room table that is still in Mom's house. 40 years later, and it is still gorgeous. I didn't live in a house with central heat and air until second semester of my Sr. year in HS (1971). No big deal if you are in San Diego; big issue in central OK.

To that add this: over 572,000 more people died in 2020 than in 2019.

Yeah I have seen this too. It's said that each generation's perspective is very much shaped by recessions (and the depression).

There might be even more factors out there, fast wealth creation for some folks for example.

US population is aging as well.

[1BADZ28]

Yep, You guys are spot on.....The older guys like me ( 69 ) are wanting to buy a nice muscle car before they are too old to shift the gears....I have been looking for a nice 69 Camaro Z/28 or SS/RS since last fall. The only problem is I want one at a reasonable price and I just can't bring myself to spend 90 to 120K for a 69 Camaro. Its looking like I'm going to have to wait until next year ( or later) ...Then I will be 70 looking for a 70....I really want a 69....Its just too crazy right now....Is there anyone left out there who is willing to sell a Camaro and not try to make a killing of a profit. The bubble will BURST someday guys,,,get it while you can......