Episode 49

full
Published on:

27th Apr 2023

Base Car Inflation - Don't Pay Too Much For a Base Model Used Car

00:00 - SHOW OPEN - Watch Out For Base Car Inflation

Don't Pay Too Much For a Base Model Used Car

When the top of the line model of a particular used car or truck goes up in value, many sellers of base-model examples of the same car try to capitalize on this by asking inflated prices for their base cars.

01:25 - INTRO -What Is Base Car Inflation?

EXAMPLE: Price of the 300ZX Turbo vs. lesser non-turbo 300ZX and 300ZX 2+2 siblings

From May of 2018 to July of 2022, the Hagerty Price guide shows the value of a 1990-1996 Nissan 300ZX turbo (the most popular model of the Z32 300ZX) went up more than 300%. Lesser models like the non-turbo 300ZX and 300ZX 2+2 also went up in value, but not by the same percentage and not as quickly.

However, in spite of that, many sellers of the non-turbo 300ZX and 2+2 models tried to sell them for prices that were much higher than those vehicles were worth, hoping buyers would get caught up in the frenzy of rising prices for the 300ZX Turbo. That's what I mean by Base Car Inflation.

05:30 - You Didn't Pay Too Much... You Just Bought Too Early

That might be true if every car goes up in value, no matter what features it has. However, in reality, the highest specification cars will always be worth more money in the long run. The base model cars will continue to lag in terms of price.

06:30 - 1991 Toyota MR2 + Automatic Transmission = Meh

While a 1991 MR2 with a 111,000 miles in good condition would normally be of interest to enthusiasts, the original asking price of nearly $9000 was too much for a sports car that's been neutered by an automatic transmission. When buying an MR2, you will want an example with a manual transmission.

09:30 - The 1996 Honda Del Sol Si - Nice Car, But No VTEC Love

The Honda Civic Del Sol VTEC with it's B16 motor that made 160-horsepower was a revelation and very fun to drive. However, lesser examples like this Civic Del Sol Si with 127-horsepower were just okay. That said, many sellers of lesser-model Del Sols try to ride on the VTEC version's desirability by asking for a high price. Don't fall for that Jedi mind trick!

11:50 - Optimistic Price For A First-Gen Integra LS With NO AC!

This was a very nice car with only 55,000 original miles and excellent overall condition, but two things held it back. First, it was a basic LS model, that while decently equipped when new from Acura, today it's sorely lacking in amenities, including AC! Asking $15,000 for a base model car with no AC is a little crazy. If this were a special model, I might change my mind, but this one is not special.

13:40 - WRAP

Base car inflation is real, so as you search for a used car, try to avoid the Jedi Sales Mind trick of being asked to pay too much for a lower spec model that isn't worth a higher asking price.

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About the Podcast

Better Than New
Find a cool used car, truck or SUV at a price you'll love
The average new car sales price in the US is nearly $50,000, and the average used vehicle sales price is close to $30,000... I think that's insane! Well if you're like me and you don’t want to pay these crazy inflated car prices, I believe you should still be able to drive something fun. That’s the idea behind Better Than New – a podcast to help you find a cool used car, truck or SUV at a price you’ll love.

I’m Gary Crenshaw, host of Better Than New and a long time automotive enthusiast, and I want to inspire car buyers on a budget to think differently about what they can actually afford to drive. My goal is to introduce listeners to the broad array of interesting, fun-to-drive, enthusiast-friendly used cars, trucks and SUVs available at prices just about anyone can afford… vehicles from the 80s, 90s, 2000s and beyond that offer buyers a wide range of interesting choices. Each week we’ll explore a specific vehicle or vehicle category, tell you what to look for and what to avoid, and give you practical tips to help you find your next cool used car, truck or SUV and keep it on the road for years to come.

With a little work, the joy of owning a cool used car at price you’ll love is within reach and this podcast is here to help you find it.

So hop in, buckle up and let's go for a drive!

About your host

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Gary Crenshaw

A lifelong lover of all things mechanical, Gary has spent the majority of his existence driving, dreaming about or wrenching on cars, motorcycles and even the occasional airplane.

It started with mini-bikes and go-karts as a kid, progressed to 2-stroke dirt bikes, followed by his first car… a 1969 Volkswagen Beetle. Then came the Yamaha era with several RD400s, RZ350s and a Canadian RD350LC (should have kept that!). A pilot’s license was next with some memorable hours flying a 1946 Aeronca Champ low and slow around the Pacific Northwest. While in college, his brother-in-law who sold high-end cars hired him to deliver BMW, Mercedes and Porsche vehicles to customers.

Those early experiences led to a lifetime of owning an eclectic mix of interesting used cars, including a ‘65 Mustang GT, a ’72 Datsun 510, a Porsche 914, a Celica Alltrac Turbo, a Mini Cooper S, a couple of Miata’s, two Audi S4 Avants, a Galant VR4, a Fiat 850 Spider, a 1983 Subaru 4x4 GL wagon and a first gen RX-7, along with dozens of daily driver cars and SUVs from Acura, Honda, Toyota and Mazda. And his favorite? Depends on when you ask, but that distinction likely goes to the Mazda RX-4 station wagon he learned to drive in. That fun-to-drive car combined Gary's passion for wagons, rotary engines and manual transmissions all in one.

So what about you? Which used car, truck or SUV would you love to own? Let’s find it together!