IT'S BEGUN! The Car Market CRASH of 2027

The car market crash of 2027 has already begun. Dealers are feeling the pain. Inventory levels are shooting through the roof along with vehicle repo rates. Most people can no longer justify a new vehicle purchase. Most folks are giving up on buying new cars every 3-5 years like they used to. Now, people are having to choose between making their car payment or mortgage/rent payment. With the cost of auto insurance has doubled since 2023, tripled in some places... and the average cost of a new vehicle has ticked over $50,000. People cannot justify paying $770 or more every month for a depreciating asset. Over $1000 per month for a new truck in 2026. Auto manufacturers and car dealers got greedy throughout the pandemic, and these refused to let go of pandemic pricing. Charging markups or addendums over MSRP on so many vehicles, dealers treated the consumer like another number... another brick in the wall. People are fed up. Vehicle repossession rates continue to skyrocket within the US. Between 2023 and 2024, we saw an unprecedendent growth of 23%, from about 1.5M vehicles repo'd to 1.75M repos. Then in 2025 we saw over 2.5M cars repossessed. We're on track to surpass 3M vehicles repo'd. People are giving up, they're feeling drained by all the constant price hikes. We're seeing the highest auto loan delinquency levels since the 08-09 recession. By the end of 2026, we're slated to surpass the amount of 30-day and 60-day auto loan delinquency rates of the 08-09 recession. Consequently, new vehicle inventory within the US is on the rise. We have so many unsold 2025 and 2026 carryover units still on dealer lots. All while new 2027 models are hitting the lots. MSRPs have risen over 45% across the board since 2019. With the tariffs considered, we're looking at a 50% growth by mid-2027. New cars, trucks, SUVs are already wildly overpriced as it is, how do auto manufacturers believe they'll be able to get away with more price hikes? Fellow car market analysts agree that the tariffs will have an estimated 5-7% growth on new car prices over the next year. People overpaid for their new vehicle throughout the last few years, because of that -many folks are upside down on their auto loans still. 1/4 auto loans out right now have a negative equity, meaning, the person owes MORE than what the vehicle is currently worth. In 2025, 1/4 trade ins carried a negative equity... of those, 1/5 had a negative equity of over $10,000. The national average for negative equity is right at $7,800. So between being upside down on their auto loan, and the hugely inflated price tags of new vehicles, people are deciding to keep ahold of their current vehicle for much longer. On top of it all, interest rates haven't let up, we're still looking at a 6-7% APR national average for NEW vehicle purchases, and 11-12% for USED vehicle purchases in 2026. Over 23% of all auto loans taken out in 2025 and 2026 so far were for 84 month loans, 7 year auto loans! Crazy. Once popular makes and models are now sitting on dealer lots for several months on end. Examples include Toyota Tundra, Tacoma, Ram 1500, Chevy Silverado and Ford F150s. Vehiucles that once sold within days are now collecting dust too, to include the Rav4, TRD Pro models, Trailhunter models, Platinums Fords, ZR2 Bison, Kia Telluride, etc. Manufacturers like Acura, Honda, and Toyota are adjusting their production lines to ensure matched demand. Nissan and Stellantis continue to struggle tremendously, with no silver lining in sight. BMW, Audi, and Mercedes Benz are seeing record low sales right now too, even when they generally target the upper class. Nobody seems to have money right now. All new cars have become luxury status symbols that have far too much tech and creatuyre comforts included. EV Sales will continue to plummet as the federal-government subsidy was removed end of Sept 2025. EPA regulations and restrictions are being lifted under the Trump administration, which is lessening demand and interest in EVs across the board, and bringing back a lot of V8 gas engine options -like with Ram. The huge inventory levels will undoubtedly force some dealers to go bankrupt in 2027, the floor plan costs will eat them up. Do you think all of this is a recipe for a car market crash in 2027? So what are you seeing at your local dealerships? Are they selling cars? Or are they sitting collecting dust like they are here? Let me know in the comments. If you enjoy this type of content, please consider Liking and Subscribing for more! Your support is greatly appreciated. Thank you. Stay Untamed... #carmarket #marketcrash #vehicles ENGAGE WITH ME ON INSTAGRAM: @untamed_motors