{"version":"1.0.0","episode":{"title":"Car Market Crash: Cox Automotive Sounds The Alarm | Episode 1029","url":"http://getcarcurious.com/episodes/car-market-crash-cox-automotive-sounds-the-alarm-episode-1029","audioUrl":"https://pdrl.fm/3359a6/pscrb.fm/rss/p/mgln.ai/e/1385/injector.simplecastaudio.com/14b42e71-1f9c-41b2-944f-bc8f2b3a3cb9/episodes/a9ead4ef-b822-487e-b208-c7f7bee4ba07/audio/128/default.mp3?aid=rss_feed&awCollectionId=14b42e71-1f9c-41b2-944f-bc8f2b3a3cb9&awEpisodeId=a9ead4ef-b822-487e-b208-c7f7bee4ba07&feed=gkrQ6WSC","description":"Today on CarEdge Live, Ray and Zach discuss the latest data from Cox Automotive. Tune in to learn more! Hosted by Simplecast, an AdsWizz company. See https://pcm.adswizz.com\nfor information about our collection and use of personal data for\nadvertising.\n"},"annotations":[{"startTime":30.4,"endTime":35.3,"type":"company","title":"Cox Automotive","url":"/glossary/cox-automotive","quote":"Cox Car Market Crash. We're going to review some of the latest data from Cox Automotive before we do.","canonicalId":"company:cox-automotive","priority":0.5,"confidence":0.95,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"Cox Automotive is a major company providing data, software, and services to the automotive industry, including vehicle pricing, market analysis, and dealer services.","simplifiedExplanation":"Cox Automotive is a big company that helps with car prices and information for people who sell and buy cars."}},{"startTime":35.3,"endTime":94.3,"type":"company","title":"caredge.com","url":"/glossary/caredge-com","quote":"And a reminder, today's show is brought to you by caredge.com. Now, for those of you that are unfamiliar at caredge.com, my dad and I for six years now with our incredible team have been providing a car buying service that takes care of vehicle research, dealer outreach, and even negotiation. Think about that for a second, folks. If you want some pros to contact dealers on your behalf and do the negotiations, we do it for you. We learn what matters to you. Contact dealers compare real offers and help you get the best deal without the stress. We have an incredible team back at caredge.com, and I encourage you to learn more. Now, we also have a new product in beta, caredge.com slash beta. This product is all about a brand new car search and making it easy and simple to get out the door pricing from car dealers. I'm asking everyone in the Car Edge community, you can even see here our dealer ratings are integrated into this. I'm asking everyone in the Car Edge community to go to caredge.com slash beta and share your feedback with us on this new car search experience and getting out the door pricing as well.","canonicalId":"company:caredge-com","priority":0.5,"confidence":0.98,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"Caredge.com is a car buying service that assists customers with vehicle research, dealer outreach, negotiation, and provides transparent out-the-door pricing to simplify the car buying process.","simplifiedExplanation":"Caredge.com is a website that helps you find and buy cars by talking to dealers and getting you good prices so you don't have to do it yourself."}},{"startTime":78.8,"endTime":94.3,"type":"term","title":"out-the-door pricing","url":"/glossary/out-the-door-pricing","quote":"This product is all about a brand new car search and making it easy and simple to get out the door pricing from car dealers. I'm asking everyone in the Car Edge community, you can even see here our dealer ratings are integrated into this. I'm asking everyone in the Car Edge community to go to caredge.com slash beta and share your feedback with us on this new car search experience and getting out the door pricing as well.","canonicalId":"term:out-the-door-pricing","priority":0.9,"confidence":0.95,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"Out-the-door pricing (OTD) is the total price a buyer pays for a vehicle, including the car's price, taxes, fees, dealer add-ons, and any other charges, giving a clear final cost.","simplifiedExplanation":"Out-the-door pricing means the full amount you pay to buy a car, including all extra fees and taxes, so you know exactly how much it will cost."}},{"startTime":84.3,"endTime":94.3,"type":"term","title":"dealer ratings","url":"/glossary/dealer-ratings","quote":"I'm asking everyone in the Car Edge community, you can even see here our dealer ratings are integrated into this. I'm asking everyone in the Car Edge community to go to caredge.com slash beta and share your feedback with us on this new car search experience and getting out the door pricing as well.","canonicalId":"term:dealer-ratings","priority":0.5,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"Dealer ratings are evaluations or reviews of car dealerships based on customer experiences, service quality, pricing transparency, and overall satisfaction.","simplifiedExplanation":"Dealer ratings tell you how good or bad a car dealership is based on what other customers say about them."}},{"startTime":119.6,"endTime":125.0,"type":"concept","title":"Kelly Blue Book report","url":"/glossary/kelly-blue-book-report","quote":"Kelly Blue Book report, new vehicle price gains accelerate in February as transaction prices increase 3.4% year over year.","canonicalId":"concept:kelly-blue-book-report","priority":0.9,"confidence":0.95,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"The Kelly Blue Book report provides authoritative data on vehicle prices, including new and used car values, helping buyers and sellers understand market trends and fair pricing.","simplifiedExplanation":"Kelly Blue Book is a trusted guide that tells you how much cars are worth so you can know if a price is good or not."}},{"startTime":187.1,"endTime":195.6,"type":"term","title":"average transaction price","url":"/glossary/average-transaction-price","quote":"Let's look into the numbers, folks. The average transaction price for a new car, like I said a moment ago, $49,353. That's up 3.4% year over year.","canonicalId":"term:average-transaction-price","priority":0.5,"confidence":1.0,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"The average transaction price is the typical amount buyers actually pay for a new car, including discounts and incentives, rather than the MSRP sticker price.","simplifiedExplanation":"The average transaction price is what people usually pay for a new car after discounts, not just the sticker price."}},{"startTime":195.6,"endTime":201.6,"type":"term","title":"MSRP","url":"/glossary/msrp","quote":"Now, for the 11th consecutive month, dad, we've had MSRP, the sticker price, above $50,000.","canonicalId":"term:msrp","priority":0.9,"confidence":1.0,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"MSRP stands for Manufacturer's Suggested Retail Price, which is the price recommended by the car manufacturer for the vehicle before any discounts or incentives.","simplifiedExplanation":"MSRP is the price the car company says the car should cost before any deals or discounts."}},{"startTime":283.8,"endTime":318.8,"type":"term","title":"incentives","url":"/glossary/incentives","quote":"Now, here's the kicker, dad, incentives. Automakers increased incentives in February. If the sentence ended there, we would not have the full story because, dad, the average incentive package last month was 6.9% of the average transaction price.","canonicalId":"term:incentives","priority":0.9,"confidence":1.0,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"Incentives are discounts or special offers provided by car manufacturers to encourage buyers to purchase vehicles. They can reduce the effective price paid by the consumer.","simplifiedExplanation":"Incentives are deals or discounts from the car company that make the car cheaper for buyers."}},{"startTime":355.5,"endTime":425.9,"type":"term","title":"market day supply","url":"/glossary/market-day-supply","quote":"We're going to get the latest inventory data soon, probably this week, and it'll show that the market day supply of inventory has also grown because fewer people are buying these cars. It's out today. I saw it today. Up to slightly over 3 million new vehicles, same level that we were at last year at this time. Day supply has crept up to the average is 75.","canonicalId":"term:market-day-supply","priority":0.5,"confidence":0.95,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"Market day supply refers to the number of days it would take to sell the current inventory of vehicles at the current sales pace. A higher day supply indicates slower sales or excess inventory.","simplifiedExplanation":"Market day supply tells us how many days it would take to sell all the cars dealers have if no new cars came in. More days means cars are selling slower."}},{"startTime":545.6,"endTime":555.8,"type":"term","title":"access to credit availability index","url":"/glossary/access-to-credit-availability-index","quote":"So, there's our access to credit availability index. We are at the highest level we've seen since the beginning of the pandemic, importantly here, dad.","canonicalId":"term:access-to-credit-availability-index","priority":0.5,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"The access to credit availability index measures how easy or difficult it is for consumers to obtain credit, including auto loans. A higher index indicates easier access to loans, which can influence car sales.","simplifiedExplanation":"This index shows how easy it is for people to get loans to buy cars. When the number is high, more people can get money to buy vehicles."}},{"startTime":996.4,"endTime":1001.14,"type":"term","title":"subprime borrower","url":"/glossary/subprime-borrower","quote":"...The other side of the equation, dad, getting access to credit as a subprime borrower is easier today than ever before. Getting approved...","canonicalId":"term:subprime-borrower","priority":0.5,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"A subprime borrower is someone with a lower credit score or weaker credit history who may have a higher risk of defaulting on a loan. Lenders often charge higher interest rates or impose stricter terms on subprime borrowers.","simplifiedExplanation":"A subprime borrower is a person who has had some problems with credit in the past, so banks see them as riskier to lend money to. They might have to pay more to borrow money."}},{"startTime":1007.1,"endTime":1013.6,"type":"term","title":"negative equity","url":"/glossary/negative-equity","quote":"Bringing your negative equity to the table for that loan is happening with higher frequency and velocity than ever before. That is an alarm bell, folks.","canonicalId":"term:negative-equity","priority":0.9,"confidence":1.0,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"Negative equity occurs when the amount owed on a car loan is more than the car's current market value. This means the borrower owes more than the car is worth, which can complicate trading or selling the vehicle.","simplifiedExplanation":"Negative equity means you owe more money on your car loan than your car is worth. This can make it hard to sell or trade your car without paying extra money."}},{"startTime":1083.3,"endTime":1158.3,"type":"concept","title":"captive finance companies","url":"/glossary/captive-finance-companies","quote":"Captives led the improvement again with credit availability rising 3.9% reflecting a strong appetite for growth and a greater willingness to extend credit. Captives, folks. My dad will explain this in detail in a second. Captives are the finance companies that are owned by the automakers.","canonicalId":"concept:captive-finance-companies","priority":0.9,"confidence":1.0,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"Captive finance companies are financial arms owned by automakers that provide loans and credit directly to customers buying their vehicles. Examples include BMW Financial Services and Toyota Financial Services.","simplifiedExplanation":"Captive finance companies are loan companies owned by car makers. They help people get loans to buy cars from that company."}},{"startTime":1304.36,"endTime":1312.1,"type":"car","title":"Ford F150S","url":"/cars/ford/f-150","image":"https://upload.wikimedia.org/wikipedia/commons/5/56/2022_Ford_F-150_Lightning_Rear.jpg","quote":"Why is Ford captive finance doing that? Because Ford has 28,000 overpriced  leftover 2025 model year F-150s on their lots. Now, think about that for a moment.  We've done stories in the past where we've heard rumors and rumblings of Ford extending","canonicalId":"car:ford:f-150","priority":0.5,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"The Ford F-150 is a full-size pickup truck that has been one of the best-selling vehicles in the United States for decades. It is significant due to its strong sales, versatility, and role in Ford's lineup, often influencing the company's financial strategies. The mention of leftover 2025 models suggests inventory and pricing challenges impacting Ford's captive finance operations.","simplifiedExplanation":"The Ford F-150 is a very popular big truck that many people use for work and daily driving. It's important because lots of people buy it, and it helps Ford make money. Right now, there are many unsold 2025 trucks sitting at dealerships, which is causing some problems for Ford's financing.","imageAttribution":"UltraTech66 (CC BY-SA 4.0)"}},{"startTime":1352.8,"endTime":1361.3,"type":"term","title":"0% financing","url":"/glossary/0-financing","quote":"\"...so long as we approve more and more people for 0% financing. That's crazy, man. Well, the whole concept is crazy. People are doing 0% financing for the 2026 Forester for 75 months.\"","canonicalId":"term:0-financing","priority":0.9,"confidence":1.0,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"0% financing is a promotional loan offer where the buyer pays no interest on the car loan for a set period. It is used by manufacturers to incentivize sales but usually requires excellent credit to qualify.","simplifiedExplanation":"0% financing means you borrow money to buy a car but don't have to pay extra fees called interest. Only people with very good credit usually get this deal."}},{"startTime":1361.3,"endTime":1368.0,"type":"car","title":"Subaru Forester","url":"/cars/subaru/forester","image":"https://upload.wikimedia.org/wikipedia/commons/1/13/2015-2018_Subaru_Forester_XT.jpg","quote":"\"People are doing 0% financing for the 2026 Forester for 75 months. What do we know about Subaru, dad? They're trying to move volume this year and we know they've increased the prices of Forester.\"","canonicalId":"car:subaru:forester","priority":0.9,"confidence":1.0,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"The Subaru Forester is a compact crossover SUV known for its all-wheel drive system and practicality. The 2026 model is the latest generation available with updated features and pricing.","simplifiedExplanation":"The Subaru Forester is a small SUV that is good for families and can drive on all kinds of roads because it has special wheels that help it grip better.","imageAttribution":"TTTNIS (CC0)"}},{"startTime":1420.5,"endTime":1427.6,"type":"term","title":"customer cash rebates","url":"/glossary/customer-cash-rebates","quote":"\"Another lever is to incentivize the sale of the vehicles through the use of customer cash rebates, dealer incentives to move units so that the dealer can afford to sell it at a lower price...\"","canonicalId":"term:customer-cash-rebates","priority":0.5,"confidence":1.0,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"Customer cash rebates are discounts offered directly to buyers by manufacturers to incentivize vehicle purchases without lowering the MSRP.","simplifiedExplanation":"Customer cash rebates are money the car company gives you to help pay for the car, making it cheaper to buy."}},{"startTime":1427.6,"endTime":1462.3,"type":"term","title":"specialized financing rates","url":"/glossary/specialized-financing-rates","quote":"\"...dealer incentives to move units so that the dealer can afford to sell it at a lower price, specialized financing rates. These are the type of levers that you're seeing the manufacturers use in lieu of actually lowering the price...\"","canonicalId":"term:specialized-financing-rates","priority":0.5,"confidence":1.0,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"Specialized financing rates are promotional interest rates offered by manufacturers or lenders to make car loans more attractive, often lower than standard rates.","simplifiedExplanation":"Specialized financing rates mean the car company offers you special deals on loans to help you pay for the car with less extra money added."}},{"startTime":1479.6,"endTime":1500.5,"type":"term","title":"credit score","url":"/glossary/credit-score","quote":"\"...it's about 4% of the population actually qualifies for these 0% interest loans because typically you need a credit score of 720 or 740 or higher to qualify for it. It looks good in an ad.\"","canonicalId":"term:credit-score","priority":0.5,"confidence":1.0,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"A credit score is a numerical representation of a person's creditworthiness, used by lenders to decide loan eligibility and terms. Higher scores mean better chances of qualifying for loans like 0% financing.","simplifiedExplanation":"A credit score is a number that shows how good you are at paying back money you borrow. The higher the number, the easier it is to get loans with good deals."}},{"startTime":1530.4,"endTime":1540.2,"type":"term","title":"0% interest","url":"/glossary/0-interest","quote":"for the 0% interest. They might qualify for the 1.9 or the 2.9 or whatever it is as it goes up in tiers. It's not costing the manufacturer as much to cover that incentive because the vast majority of people don't qualify for the best portion of that incentive.","canonicalId":"term:0-interest","priority":0.9,"confidence":1.0,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"0% interest is a financing incentive where the borrower pays no interest on the loan for a set period, making the cost of borrowing effectively zero during that time. It is often used by manufacturers to encourage vehicle purchases.","simplifiedExplanation":"0% interest means you don't have to pay extra money on top of the car price when you borrow money to buy it. It makes buying a car cheaper because you only pay back what you borrowed."}},{"startTime":1593.6,"endTime":1605.0,"type":"term","title":"repossession","url":"/glossary/repossession","quote":"He used to say to customers, he said, you're allowed up to three repossessions. How many have you had? And when the customer would go, great, I've only had one, Frank would say, hey, thanks for stopping by.","canonicalId":"term:repossession","priority":0.5,"confidence":1.0,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"Repossession is when a lender takes back a vehicle from a borrower who has failed to make loan payments. It negatively impacts the borrower's credit and ability to get future loans.","simplifiedExplanation":"Repossession means the bank takes the car back if you don't pay your loan. This makes it harder to borrow money later."}},{"startTime":1672.0,"endTime":1676.9,"type":"term","title":"sub-vented interest rates","url":"/glossary/subvented-interest-rates","quote":"And that is an intentional decision from the cap to finance companies to make it more accessible for these sub-vented is what they're called interest rates.","canonicalId":"term:subvented-interest-rates","priority":0.5,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4.1-mini","data":{"explanation":"Sub-vented interest rates are special low-interest financing rates subsidized by manufacturers or lenders to make car loans more affordable for buyers, especially those with lower credit scores.","simplifiedExplanation":"Sub-vented interest rates are cheaper loan rates that the car company helps pay for, so it's easier for people to buy cars even if their credit isn't perfect."}}],"speakers":[{"id":"s1","name":"Ray","role":"host"},{"id":"s2","name":"Zach Shefska","role":"host"},{"id":"s3","name":"Bleav","role":"host"}],"transcripts":[{"url":"http://getcarcurious.com/episodes/car-market-crash-cox-automotive-sounds-the-alarm-episode-1029/transcript.vtt","type":"text/vtt"}]}