The Toyota Corolla is a small car that many people buy because it's dependable and doesn't use a lot of gas. It's popular around the world and is often chosen for its low cost and good reputation.
A hybrid powertrain uses both a gas engine and an electric motor, which helps save fuel and is better for the environment. It can give you more power while using less gas.
A clubman is a type of Mini Cooper that has more space and extra doors. It's designed to be a bit more practical than the regular Mini, making it easier to get in and out of the back seats.
Vehicle value is how much a car is worth. It can go up or down depending on things like how old it is, how many miles it has, and how much people want to buy it.
When a dealership's cars are worth less than what they paid for them, it's called being 'underwater' on their inventory. This means they might have to lower prices to sell those cars and recover some money.
The Ford F-150 is a popular pickup truck that many people in the U.S. use for work and personal purposes because it's strong and can carry a lot of stuff.
The best-selling used vehicle is the car that people buy the most when they are looking for a used car. It shows which cars are popular and trusted by buyers.
The Ford Model T is one of the first cars that many people could actually afford to buy. It changed how cars were made and helped more people own a vehicle, making it a big deal in car history.
Dealer fees are extra costs that car dealerships might charge when you buy a car. They can include things like paperwork fees and other charges that aren't part of the car's price.
Out-the-door price is how much you actually pay for a car after adding everything together, like taxes and fees. It's the total cost to get the car home.
A new car payment is how much money you pay each month when you buy a new car on credit. It can change depending on how much the car costs and how long you take to pay it off.
Used car prices are how much you have to pay for a car that someone else has already owned. These prices can go up or down depending on how many people want to buy used cars.
CarMax is a big company that sells used cars. They have a lot of cars to choose from and make buying easier by having fixed prices without negotiations.
Retail automotive is how cars are usually sold in stores called dealerships. But now, with high prices and options like Uber and Lyft, fewer people might want to buy their own cars.
Ride-sharing services are apps like Uber and Lyft that let you get a ride from someone else instead of owning a car. This can be cheaper and easier for many people.
The Toyota Tacoma is a type of truck that can handle rough roads and tough jobs. It's known for being strong and lasting a long time, making it a favorite for people who need a reliable vehicle.
Depreciation is how much a car loses value as it gets older. For example, a new car is worth less after a few years because it's used and not as 'new' anymore.
Dealer markup is when a car dealer charges more than the price suggested by the manufacturer. This can happen when a car is very popular or in short supply.
LIVE
Dear Savvy, Toyota says you can have it all, with the Camry, the Corolla, and the Corolla
Cross.
You've got the tech, you've got the drive, and you've got Toyota value that spells affordable.
You ready?
Find yours at Toyota.com.
Toyota, let's go places.
It's noon here in Venture New Jersey and 9 a.m. in San Francisco, and this is Courage
Live for Thursday, January 8th with your hosts, me, Ray here in Venture, and Zach, well, out
in San Francisco.
How are you today, handsome?
I'm doing well.
Good morning, Pops.
Glad to be here with you today on the show.
We're going to be talking about CarMax, Dad, and their interim president and CEO coming
out and saying some pretty interesting things before we do.
Yes.
Let me remind you all, caredge.com.
If my dad and I can help you out with anything, car buying related, car selling related, car
insurance related, we've got all the resources back at caredge.com to help you out.
Now, Dad, the big, big, big story this morning, and it's getting some press and getting some
headlines.
CarMax intending to cut their prices in 2026 and boost their marketing spend to try and
spur on used car sales in 2026.
I've got some important quotes here I'm going to pull in just a second, but just high level
here, Dad.
CarMax cutting prices, increasing marketing to boost car sales in 2026, kind of an indication
of where the used car market is right now.
Price has got two dog on high.
Prices have been two dog on high for about five or six years now.
They continue to remain the two dog on high.
Let's face it, CarMax has some of the highest used car prices out there.
Has it impacted their business?
Perhaps.
Let's spend some time on the show today, by the way.
We're going to go on CarMax.
We're also going to go on Carvana, and let's actually look at the prices of those vehicles
that are for sale.
Let's do some market analysis to try and help people understand what's reasonable for
used car prices.
But before we do, yeah, used car prices went sky-high, and CarMax's interim CEO has come
out and said, yeah, essentially, car prices have crept up too high over the past few years,
and we need them to be lower to sell more cars, shocking development.
Well, I guess it's an admission that if you lower prices, hopefully people will show up
and buy the stuff you're selling at a lower price.
I will say this, yesterday I received an email from Carvana, in regards to one of the old
clubmen that I used to own, and if you remember on the 22nd of December, I got a notice from
them that the value of the vehicle had fallen to $19,600, and yesterday I got an email from
Carvana saying, great news, as of January 7th, that very same clubman is now worth $20,600,
went up 5.5% in, what was that, 16 days?
Not bad.
Cool.
Which indicates to me that perhaps Carvana hasn't bought into the same theory that CarMax
is buying.
Okay, I was wondering where you were going with that.
Let's lower the prices so that we can sell more cars, and I believe the difference between
the two companies is that Carvana, much more than CarMax, wants to just be a loan originator.
I don't know if I agree with you there, Dad, I think they all want to originate loans.
That being said, let's stay focused here on the alarm bell that CarMax is really ringing,
which is right here.
CarMax plans targeted price cuts with reductions varying across inventory rather than applying
a uniform decrease.
The approach is designed to drive sales growth while meaningfully maintaining profitability.
The goal here, Dad, not only at CarMax is it to reduce their expenses by $150 million
annually, but goal here is to have targeted price cuts.
This is, generally speaking, good news for consumers out there.
I hear you on your anecdote about your one particular vehicle with Carvana, but I think
the general consensus here, Dad, is that used-card prices are too high, and we've seen a slowdown
in new and used-car sales, and so CarMax is sounding a bit of an alarm here.
It's not like the CEO of publicly traded companies gets fired all the time, and that's what happened
over at CarMax.
Their CEO got ousted, and now they're trying to cut prices to regain some growth.
Yeah, it's almost as if he's saying that their inventory is underwater.
What do I mean by that?
Oftentimes, dealerships will look at their used-car inventory, and they'll suddenly realize
that the $1,000,000 worth of used-cars that they have on the ground is only worth $750,000.
Okay, the value of their vehicles has decreased dramatically,
and I believe that's what he's saying without saying it.
We are underwater in our inventory.
We own it for too much money.
We have to make price reductions at least in targeted areas so that we can get rid of the
vehicles that we are desperately underwater in with the hope of being able to pick up some
additional profits back in the finance and insurance department when they close the deals.
When you're in operation as large as CarMax to be underwater in your inventory,
you would find yourself in a rather desperate situation, I believe.
Yeah, I think that's exactly what we're starting to see.
Let's take a peek there.
Let's go to CarMax's website and let's have some fun here.
Let's look at some vehicles and let's do some market analysis on these vehicles.
So, we're on CarMax.com.
Want to drive a car buying and selling experience designed for you.
So, we know with CarMax, you cannot hangle.
You cannot negotiate.
And so, at CarMax, you're going to have this really awesome experience,
but typically that means you're going to pay a premium for it.
You can buy a name of vehicle.
What are you interested in doing some research on today?
Let's look at a mainstream brand.
Let's look at a Ford F-150.
Okay, we're going to go with America's favorite used car.
And that is actually, it's convenient that my dad chose an F-150.
I will literally pull this up for just a second here.
The most popular used car in 2025, wait for it, the F-150.
The Ford F-150 maintains its decades-long grip as the best-selling used vehicle in America.
We have some data from our friends over at IC Car.
So, there you go.
We're going to be doing the research here.
I'm the most popular used car.
Now, dad, let's do something here.
I'm currently in California.
That's why it's defaulting to California.
Do you want to go somewhere else?
Let's go somewhere else.
Do you want to go like middle of the country?
Where do you want to go today for this research?
Yeah, Omaha's nice.
Okay.
I mean, I've never been to Omaha, but I hear it's nice.
Give me one second.
Let me get a zip code for Omaha 68010.
Give me a second.
68010.
Okay.
So, yeah, Omaha.
Here we go, y'all.
And let's do this experiment across two different vehicles,
a newer used vehicle and an older used vehicle,
because I think we've seen a lot of differences
between newer and older used vehicles.
Does that sound fair?
Yes.
And let's not do that one-fifty lightning.
All right.
So, let's do a newer used vehicle.
Do you want to do this 2023 right here?
Yes, sure.
Okay.
So, the first vehicle we're going to do our little research on here,
again, because the headline today is CarMax
is starting to target, in a targeted way, cut prices
so that they can try and sell more vehicles.
That's a bit of an alarm bell going off.
You've got a 2023 F-150 Lariat, Dad.
Four sale for $39,998.53,000 miles.
The first question I'm asking is, is this a fair price?
The way that I'm going to try and answer that
is I'm going to do it back on the car edge car search.
So, let me come back over here.
What's your initial just sentiment as I pull up some data, Dad?
2023 with 53,000 miles and it's a 30, call it $40,000 vehicle?
It's a $40,000 pickup truck and the mileage is a bit high for the year.
So, I'm thinking it's off the top of my head,
three to $4,000 over price.
Okay.
Without knowing, just off the top of my head.
I appreciate where you're coming from.
So, I pulled this up over on car edge, Dad.
Target discount of anywhere from $600 to $2,600.
I'm curious of a couple of things.
One is, so they've had it for 63 days, days supplies 270.
So, these things are not flying off the shelves.
I want to go look at these other 12 in this area that are for sale.
So, let's go back here.
So, let's go shop used.
Let's do Ford and let's do F-150.
We don't need nationwide.
Let's do it within 100 miles.
And that was a 2023, correct?
Yes, with 53,000 miles.
So many miles.
It's a lot of miles for the year.
So, within 100 miles of that one, there's 136 others.
I'm not doing the same trim.
The trim was what, a Lariat, I think?
I don't remember, but it might have been.
Yeah, it was a Lariat.
All right.
So, we've got 35 within 100 miles that are F-150 Lariat.
And now, Dad, I want to look at that mileage.
80,000 miles, 81,000.
Look at these price points.
This is absurd.
Oh, absolutely, it's absurd.
I mean, you're talking about, you're talking about
three model years old, 23, 24, 25, or into 26.
Four model years old, okay?
80,000 miles.
That's 20,000 miles a year.
And you want to try and sell it for $40,000.
Are you suggesting to me that four years ago,
that was about an $80,000 truck?
Might have been.
But I seriously doubt it.
Yeah, the prices are ridiculous,
which is why we find ourselves in the affordability crisis
that we talk about all the time.
Dad, I'm cross shopping this one at CarMax,
because again, I'm paying a premium for the CarMax experience.
My initial reaction is actually that it's not that crazy of a price,
because here's a similar vehicle with only 22,000 miles on it,
but the dealer is asking $50,000, $10,000 more.
Half a mile, $10,000 more, what?
Yeah, yeah.
What is a good question?
I mean, we actually, we haven't seen a single one yet
that's under 40 grand.
No, it's...
Here we go, this is the one at CarMax.
Yeah, not to talk about my favorite wrapper,
but this is ludicrous.
So, or it's inconceivable, one of the two.
Dad, this is absolutely nuts.
So, CarMax are currently in the market,
the lowest priced one aside from the one at the internet car lot.
Is there a way to find out if that vehicle has been marked down at CarMax,
if that's one of the ones that they've targeted already?
Yeah, that's a great point.
Let's do it.
Yeah, just out of curiosity.
Yeah, of course.
We have the price history.
So, let's come down here.
Yeah, look at that.
They originally listed it for sale.
Wow, at $42,998, $41,998, $49,998, $39,998,
and that's where they are right now.
Yep, absolutely.
CarMax, this is the perfect example, Dad,
of what's going on in the used car market today.
And again, to tie it back folks,
CarMax, their interim CEO has come out and said,
we're going to cut prices this year to sell more cars.
We're doing an analysis here in the Omaha, Nebraska market
for a 2023 F-150 Lariat.
They've already come down on price $3,000.
And it's, if I may, and it's still not affordable.
No, definitely still not affordable.
It's really kind of crazy when you look at these numbers.
This is a four model year old vehicle.
It's still 40 grand.
It's still 53,000 miles.
It's still nowhere near affordable.
If you go to the out the door calculator.
Your wish, my command.
So we're looking at, what, somewhere around $43,000, $44,000 out the door?
No, target price, we've got it a little bit lower.
Price, you're at CarMax, so it's 40 grand.
All right, so yeah, so you're out the doors probably.
Yeah, going to be closer to 43, something like that.
Okay, and the average interest rate on a pre-owned vehicle?
Yeah, it's not eight, it's closer to 10.
Okay, so at 60 months, it's $921 a month.
If you go to 72 months, what's it drop down to?
860?
803.
803, how is that affordable?
That is the average new car payment today is $772.
But again, Dad, that's actually in that market area, the lowest priced F-150,
aside from one other one.
So if Kudos to CarMax, they already are getting more aggressive on pricing.
It is an indication that used car prices across the board,
whether it be at CarMax or at various other dealerships, they're too high.
These dealers have no choice other than to cut prices to try and make these things
more affordable.
Let's do the same analysis, Dad, over at Carvana.
I'm very curious about this over here too.
They've got shack size selection.
Let's see if they've got shack size pricing.
Let's look for the F-1.
Thank you, Susan.
Probably do.
Let's see, let's see, let's see.
Certain F-150.
Yeah, so it was a 2023.
It was a 2023.
It was a Lariat, wasn't it?
Yeah, it was a Lariat.
Oops, 2023, 2023, trim, Lariat.
Okay, they only have four for sale.
It looks like nationwide.
That's not, is that right?
I can't be right.
I guess that's right.
And let's see here, Dad.
85,000 miles in there.
Oh my God.
85,000 miles, was that, were they running drugs in that truck?
I mean, come on.
85,000 miles on a 2023.
I mean, that's ridiculous.
And they still want 40 grand for it.
And they want $1,890 in shipping if you want to buy it somewhere
other than where the vehicle is.
I mean, you know.
Well, here's a super crew cab for 36.
Well, yeah.
Hey, and they're lucky there's one that the purchase is in progress.
Good for them.
So what do you think has to happen, Dad?
Again, CarMax is coming out and saying we need to cut prices to try and drive sales.
CarMax and Cargon are the two largest used car dealers in the United States.
Yeah, we're doing a little bit of an analysis here.
And it's just mind boggling how expensive these vehicles are.
What do you think has to happen, Dad?
Where do you think the prices need to get back to?
Or do you think this is the new normal?
And I bring that up in the context of there's a great car sales guy.
Yes.
I don't want to sound like a broken record, but the price of cars are out of control
and there's no going back.
Remember when $400 was a big payment?
Like, is this just the new normal, Dad?
But if it is the new normal and it appears as if it is, if this is the new normal,
then the new normal is that the vast majority of Americans cannot afford to buy a car.
It's just end of sentence.
Okay, put a big exclamation point next to it.
You know, I know that over the next week or so, we are doing a poop ton of media interviews
talking about affordability.
But when you look at this, the reality is that most Americans are priced out of the market.
I know that for 2025, it will come out that it was somewhere between $16 million and $16.2
million new vehicles that were sold.
And I'm guessing that it'll be used vehicle sales will probably be somewhere around $35 million.
Yeah.
The used vehicles that we're just looking at, A, are extremely overpriced for what they are.
Yeah.
And are not affordable for the vast majority of people in this country.
So if this is the new normal and it appears that it is, this is really the death knell
of retail automotive as we know it.
And what do I mean by that?
You will see people utilizing Uber, Lyft, robo taxis, Waymo, whatever the hell it is,
but people won't be owning their own cars.
And the only organizations that will own the cars are those who have created the fleets of
robo taxis and everything else.
And they will be large corporations, not individual owners of vehicles.
And so the new normal for the vast majority of Americans will no longer include automobile ownership.
Dear Unstoppable, the Toyota Tacoma is raring to go.
With more muscle and more metal, this legendary beast is styled for the wild and built for the
bold.
An available iForceMax hybrid powertrain belts out up to 326 horsepower.
Add a truckload of attitude and you'll leave less arrivals in the dust.
Some call this a whole new breed of tough, we call it the Toyota Tacoma.
Find yours at Toyota.com.
Toyota, let's go places.
Let's do another experiment, Ted, because that was just pickup trucks, right?
Many be, may be pickup trucks are an anomaly and I bring that up in the context of-
Best selling.
It is, it is.
We have the data.
The F-150 is the best selling used car in the United States of America, but I'm purely curious
here and I bring this up in the context of Cox Automotive.
They own Mannheim auctions, which are the largest car dealer used car auctions out there.
Their 2025 trends report for December came out recently.
And you can see here year over year price changes for various types of vehicles.
In total, used car prices are a little bit more expensive right now than they were a year ago at
dealer auctions, but compact cars, for example, have gone down.
Interestingly, pickups have gone down.
Midsize cars have gone down.
SUVs have gone down.
It's luxuries and EV vehicles that have actually seen an appreciation
in their prices as used vehicles year over year.
Let's do a compact car.
Let's do a compact car.
Let's see if we can find something here on the compact car side of things that makes a little
bit more sense.
We could go to our IC cars data.
Actually, why don't we do it?
Let's see which compact car they say is one of the best selling.
All right, so we've got pickup trucks, pickup truck Toyota Camry, right?
That would be a compact car.
I believe that would qualify.
I don't think that's a midsize, but I could be wrong.
Okay, well, is the Corolla smaller than the Camry?
I guess the Corolla was.
Absolutely, it is.
Okay, we'll do the Corolla here because the Corolla is the number nine most popular
used car for sale in the United States of America and as a Toyota.
So let's Toyota Corolla.
Okay, we're still in Omaha, Nebraska.
That's where we're doing today's experimentation.
And let's do another 2023.
Does that sound good?
Sure.
Do you want to do a hybrid powertrain or non-hybrid?
Let's do non-hybrid.
The LE, isn't that the base model?
Isn't that the base trim?
Am I wrong?
Isn't the LE the base trim?
I don't think you're wrong, Dad.
Yeah, I don't think you're wrong.
The LE is there too.
That car, may I say one thing?
It's 56,000 miles on it.
They're asking $20,000 for it.
And that car in 2023 had a list price of $24,000?
$24,000.
Here, we can actually, we can get the list price back on the CarEdge website.
So I'm going to copy that then.
We're going to come back over to CarEdge.
That's ridiculous.
I generally agree with you.
I'm going to do the VIN search.
Oh my God.
Okay, so we've got here the vehicle, the window sticker,
for the most part, it should be accurate here.
So let's see.
Well, actually on an LE, it's free.
That's why you have to wait for it.
Scroll down for it.
That can't be.
It was $23,000 brand new.
It was $23,000 brand new.
Thank you very much.
It is depreciated $3,000 in three years and 56,000 miles.
Tell me that is not insanity.
I mean, there is no way you can convince me that that makes any sense for anyone.
And back to our lead story.
CarMax is cutting prices.
Well, CarMax has cut the price on this vehicle.
They're down $1,000 on their asking price for this vehicle.
No, that's very nice of them.
In my heart of hearts, I believe they're $4,000 or $5,000.
This car was $22,7,000, MSRP brand spanking new.
Dad, I want to say the window sticker for the Toyota at least is a bit of an estimate.
It could miss some things there.
So even if it was $25,000, we're not talking a big amount of depreciation here
from the past couple of years.
That's absolutely crazy.
Yes, which is why I think I'll stick to my theory that automobile ownership
for the average American will be jello, fond memory.
Before you three, Dad, from now.
Before you do, just like we did over on the F-150,
let's get a sense for market conditions for this particular vehicle.
So CarMax is asking $20,000 on this particular vehicle,
2023 Toyota Corolla LE, and what did it have?
50, where was it?
Where was it?
Where was it?
55,434 miles on it.
So let's go back here.
All right, Toyota Corolla LE.
There are 43 for sale within 100 miles, and we said a 2023.
So let's just do 2023.
We're down to nine.
All right.
So there are nine within 25 miles, obviously.
CarMax has one of them.
CarMax has another one here.
So it got two of them.
Let's look at one that's not at a CarMax.
So 54,000 miles here, Dad.
This is a hatch.
18,5 is what they're asking.
And let's see here, 15,000 miles.
So actually, there are seemingly better lower priced vehicles out there.
Yes.
Perhaps it's time for CarMax to adjust that price down even further.
Yes.
I think that's a bit of what I wonder when we do this type of experimentation and analysis.
It's like, okay, is CarMax priced fairly?
And it seemed like on that F-150.
Yeah, and they had done the three price reductions.
On this particular, I'm actually curious to have us come back to it.
Here's how long they've had it for sale.
So let's go back.
It was this one.
Yeah, 20,000.
How long have they had this vehicle?
They've only had it for 19 days.
Oh, okay.
That's why we have limited leverage.
Yeah, and also it's CarMax.
But they've had it for 19 days.
They've already reduced the price of $1,000 in 19 days.
That pretty aggressive pricing.
Well, that is looking at the market and saying,
I am sure CarMax and Carvana have some detailed data when it comes to their vehicles.
And you can look up the data as to how many times that vehicle has been demoed in a week.
Or maybe like 15 days.
Yeah, test driven.
And when the response is zero, then you think to yourself, okay, after 15 days,
perhaps it's time to have a price reduction.
And I would think that that data, especially at CarMax, A is very detailed.
And B, that they use it in order to figure out what their pricing should be
and to reduce prices as necessary.
Now, let's go one more stop on this experimentation train.
We're going back to Carvana.
So let's do Toyota Corolla.
We'll do LE.
And it was a 2023.
This is really interesting, by the way.
So they have five for sale nationwide.
Yes.
Wow.
Oh, there's a hybrid for $23,000.
Yeah, but I'm looking at this first one.
Similar mild when they're asking for similar price.
Yeah.
You can pre-order this one.
Yeah, the good news is that either CarMax or Carvana, you can overpay.
Yeah, but I think the unfortunate reality is they're kind of overpaying wherever you
go right now.
Yes, yes, yes.
I am still subscribing to my theory that pricing, even on pre-owned cars, is still
ridiculously high and way, way higher than it should be.
This is previously a rental car too.
Dad, I can't even find the vent.
Where's the vent?
Am I crazy?
Where's the vent?
I don't know.
I haven't seen it yet.
Am I going nuts?
I mean, the vent.
Well, maybe not.
Maybe it would be under vehicle details.
That's all right.
We just wear.
Okay, well, maybe not.
View all features and specs?
Is the vent a feature?
The vent a spark?
There it is.
It's under there.
Wow, that is kind of hard to find.
Yeah.
Okay, so let's come back over here.
Let's see if we...
I'm curious how long they've had this shop used.
Yeah, that was crazy how hard it was to find that then.
Well, you don't want to make it easy for you.
They just want to make the pricing easy for you.
35 days they've had this.
It's not that long.
I wonder if the price will be coming down
as they sit on it more and more.
Also, Dad, I love this.
It's a rental car with one key.
Like...
Yeah, like that's a negative.
Yeah, yeah.
It's an expensive one.
They're not that expensive on an LE,
but they're still expensive.
So again, for those of you that are just joining,
what we talked about today, car max is cutting prices.
That's the big used car market alarm bell
that is being rung.
And it's not too much of a surprise
when you start to do the analysis that we just did.
Who can afford these things
is an ongoing conversation we've been having
for a long, long time and will continue to have.
And it's justified because when you look at these price points,
especially relative to original MSRP,
they're just...
They're not reasonable.
And as a result, these car dealers have to drop prices.
That's the only thing that they can do to sell the inventory.
Yeah, I mean, there's two bubbles that they're not.
They're not reasonable and they're not affordable.
And when I say that, I mean that for the vast majority of people.
For sure.
In order for somebody to get a $10,000 to $15,000 used car.
And let's say they wanted a Toyota Corolla.
So my guess is what?
It's got to be a 2019, maybe?
Let's keep doing the experimentation.
So we'll do Toyota Corolla.
And you said you wanted one at what price point then?
Between 10 and 15,000.
So max price will do 15,000.
Yeah, here's what you're looking at.
2015, 2014.
That have 100,000 miles on them.
I mean, that's...
And these are...
You're talking about an LE.
You know, it was a $22,000 car.
It wasn't even a $22,000 car back in 2015.
You know, and so...
And here's the real sad reality.
For somebody that wants that $10,000 to $15,000 car.
And they all came up closer to $15,000 to $10,000.
Okay?
Most of those people don't have $15,000 cash to buy it with.
No, no.
So you have to finance it.
You're talking about financing a 10 or 11 year old vehicle.
That already has 100,000 miles on it.
All Toyota, but still.
Or has pretty damn close to 100,000 miles on it.
And so what are you going to finance it for?
Three years?
Four years?
I wouldn't think you could finance it for more than that.
But then again, I don't know.
Maybe you could finance it for five.
But the point is that even at $15,000 and 100,000 miles,
you are about to...
You are entering territory where you are going to have some
expensive repairs upcoming on that 10 or 11 year old vehicle.
And if you don't have the $15,000 in cash to buy it up front,
you ain't going to have the money to repair it when it breaks down.
And I don't know what the guarantee is from CarMax or Carvana,
but I can guarantee you one thing.
It is going to need repairs, especially when you're driving around
a vehicle that's somewhere between 100,000 and 150,000 miles on it.
It is a virtual guarantee that crap is going to break, stuff is going to falter,
and you're going to need to take care of that.
There's a much greater likelihood of incurring a catastrophic repair
between 100,000 and 150,000 miles than there is between 50,000 and 100,000 miles.
So I am sticking to my guns.
10 years from now, 15 years from now, the average American will not own a car.
Automobile ownership will not be a thing for the vast majority of Americans.
Giant corporations will own vehicles that will ferry people back and forth
wherever it is they need to go for a fee.
For sure, for sure.
Folks, a friendly reminder, my dad's dystopian future may be a reality someday,
but between now and then we can help you with our car buying service.
If you are in the market to buy a new or used vehicle, please consider our car buying service.
Go to caredge.com, click on Car Buying Service right there to learn more.
We match with the concierge, they did work, you get the keys.
Start with a free consultation call with our team to see if it's a good fit and meet the team that
works on your behalf to help you navigate all aspects of the car buying journey.
You can click into any of these profiles, learn more about these team members,
and even see recent deals that they've been able to help community members with.
Please, please, please check out that service back at caredge.com, click on Car Buying Service.
Another reminder, dad, even though we're in the new year now,
save some doggone money on insurance.
Insurance rates keep rising.
Go to caredge.com, click on Insurance up there as well.
A kind contribution came in earlier, Dan, from Rich.
We appreciate this, Rich.
Thank you so much.
1957 Aurora Safety Car Screams Ray, but it does, but it do scream something.
All right, let's take a quick peek at this, dad.
1967 Aurora Safety Car.
This very well could scream me.
I don't know, or I could scream at it.
Let's find it.
Oh, oh, my.
What a strange, what a strange vehicle.
Oh, oh, oh, is that the back end or the front end?
Oh, my God.
Yes, that, that's that.
I know one thing it didn't scream and it didn't scream.
This is the future, huh?
Yeah, and unfortunately, that did not become the future.
Appreciate it, Rich, as always.
All right, everyone, enjoy your afternoon,
or if you're on the West Coast like me right now,
you're morning.
We're back with more Car Edge Live on Monday.
I am not here tomorrow.
I'll be off tomorrow, so dad, I'll see you back here on Monday.
How's that sound?
Well, it sounds like a reasonable expectation.
If the God willing in the creek don't rise,
I will be here for you on Monday.
And once again, I guess you'll be in San Francisco,
and I'll still be here in a bit.
Can't wait, Pops.
See you on Monday.
Everyone enjoyed the upcoming weekend.
Thanks for spending time with us today.
Check out the website.
We'll see you back here soon.
Have a great one, everybody.
Thanks for being here.
Dear Unstoppable, the Toyota Tacoma is raring to go.
With more muscle and more metal,
this legendary beast is styled for the wild
and built for the bold.
An available i-Force Max hybrid powertrain
belts out up to 326 horsepower.
Add a truckload of attitude,
and you'll leave less arrivals in the dust.
Some call this a whole new breed of tough.
We call it the Toyota Tacoma.
Find yours at Toyota.com.
Toyota.
Let's go, places.
About this episode
CarMax's interim CEO has raised alarms about the high prices in the used car market, announcing plans to cut prices and increase marketing efforts by 2026. The hosts analyze the implications of these changes, comparing CarMax's pricing strategies with those of Carvana. They explore various used vehicles, highlighting the affordability crisis as prices remain exorbitant. The discussion delves into the potential future of car ownership, suggesting that many Americans may soon be priced out of the market altogether, leading to a shift towards alternative transportation methods.
Today on CarEdge Live, Ray and Zach discuss the latest news from CarMax ... Tune in to learn more! Hosted by Simplecast, an AdsWizz company. See https://pcm.adswizz.com
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