Dealerships Are Still Drowning in Cars They Can't Sell (Video)

This is a 19 July 2026 published video.

The car market is crashing quietly. People 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 near doubling since 2023, and the average cost of a new vehicle being $50,000, people cannot justify paying $770 or more every month for a depreciating asset. Auto manufacturers and car dealers got greedy throughout the pandemic. Charging markups or addendums over MSRP on so many vehicles, dealers treated the consumer like another number, another brick in the wall. People are now fed up.

Vehicle repossession rates continue to skyrocket within the US. Between 2023 and 2024, we saw never before seen growth of 23 percent, from about 1.5M vehicles repossessed to 1.75M repos. In 2025, we saw over 2.5M vehicles repossessed. We’re on track to surpass 3M vehicles repossessed by the end of 2026. People are giving up, they’re feeling drained by all the constant price hikes. We’re seeing higher auto loan delinquency levels than 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 carryover units still on dealer lots. All while all-new 2027 models are hitting the lots. MSRPs have risen over 45 percent across the board since 2019. With the tariffs considered, we’re looking at a 50 percent 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? 

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. The national average for negative equity is $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 7 percent national average for NEW vehicle purchases, and 12 percent for USED vehicle purchases in 2026. 

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. Vehicles that once sold within days are now collecting dust too, to include the Rav4, TRD Pro models, Trailhunter models, Platinum ford, 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 creature comforts included. 

Do you think all of this is a recipe for a car market crash in 2027? We have over 3.3M new vehicles sitting on dealer lots across the country. That number continues to rise. Dealers are becoming anxious! 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. 

https://youtu.be/rfe8DoJ32fM