Why Cheap Cars Are Disappearing

There are about 40 different car brands in the United States, but one kind of car that appears to be disappearing is the cheap car. Historically, about 20 percent of vehicle sales would have transacted below $20,000; however, they have completely dried up in the last few years. New cars are becoming more expensive, and it is unlikely those cheap cars will ever be back.

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Why Cheap Cars Are Disappearing

50 Comments

  1. Amr Saad on December 25, 2020 at 9:49 pm

    You take a lot of time to get into the point of the video! I hope you make your videos shorter! Too many bla bla bla and repitiotions☹👎🏻

  2. Sukhrab Babajonov on December 25, 2020 at 9:50 pm

    2:12 spark . I have a car called spark . Spark is a good car especially speed is nice

  3. Seelenverheizer on December 25, 2020 at 9:51 pm

    To be honest its cause is the death of the working middle class + the new electonics in the car Eighter you are short on money and buy some older used car, or flush enought to buy a status symbol car thats more expensive. Middle class cars just dont have a target demographic anymore.

  4. Jonki Pastramki on December 25, 2020 at 9:51 pm

    The teeny-tiny noodle perceptually rob because icon reassuringly separate amid a far-flung dedication. stimulating, dirty edger

  5. Sword of Word on December 25, 2020 at 9:51 pm

    Cheap cars are disappearing because greedy corporations keep getting even more greedy.

  6. maye on December 25, 2020 at 9:53 pm

    The younger generation doesn’t want to wait…for apply carplay?? Wanting heated seats would be luxury but being able to plug your phone into your stereo system? I think not…

  7. Escape From Zombie Island on December 25, 2020 at 9:54 pm

    Between my 2019 frontier 4×4, my lexus ex 350 and my 2011scion xb, the xb is my favorite car & cost me the least. They stopped selling them bc they know the economy here is going to crash hard. Many car makers are shrinking their choices. Nissan is getting out of the van biz. Ford stopped selling most of their cars. etc.

  8. fred mahony on December 25, 2020 at 9:55 pm

    They missed (or intentionally avoided) how the housing-crash era "Cash For Clunkers" program took a lot of good, reliable used cars off of the road. This caused used car prices to hike and people started thinking "why buy a 4 year old used car for $15K when I can get a new one (with some sort of warranty) for just over $20K?"
    They also have completely avoided how COVID’s impact on auto production and transport may effect auto supply and pricing come 2021-22.

  9. jpusar on December 25, 2020 at 9:56 pm

    Dumb but I can’t complain: bought a brand new Chevy Spark for under 10k three years ago. Still runs like a champ and fun to drive.

    Y’all buying SUVs are just burning cash imo.

  10. Jay Sahni on December 25, 2020 at 10:00 pm

    Ah yes, used 2016 honda civic is my dream car when I get one.

  11. Eero Nikola on December 25, 2020 at 10:03 pm

    Just buy older and more reliable cars, i’m young and i drive a 16 year old mercedes. has not failed me once.

  12. Amr Saad on December 25, 2020 at 10:04 pm

    …and unnecessary long interviews of guests who explain the same points the narrator repeats…interesting topics presented in time wasting way

  13. Leshpar Dracendor on December 25, 2020 at 10:04 pm

    I paid $13k for my brand new kia spectra in 2008. I still drive her today. Best car I’ve ever had.

  14. Bobby Bob on December 25, 2020 at 10:04 pm

    With the price of these new, used cars going up, it’s time to go back to the horse and buggy.

  15. shuki1 on December 25, 2020 at 10:05 pm

    And the media and celebs will continue to push that banning straws and single use plastic bags will be great for the environment and nothing about encouraging people to use smaller cars whose production and future use which would make a much greater impact for the better.

  16. Dark Shadow on December 25, 2020 at 10:07 pm

    Bye Bye Sedans

  17. Josh Deranzin on December 25, 2020 at 10:08 pm

    Buying a car is a scam. The moment you drive away from the car lot, it has already devalued by at least 20%, just because it left the yard. Honestly, try to re-sell it one minute after you buy it. EVERYONE will assume that something is wrong with it and prefer to give a couple of grand extra and buy a new one themselves, ergo YOUR car now is *at least* 20% less valuable, because that is the minimum margin that would convince someone to buy from you your "brand new car plus 10 miles on the odometer" and not buy a new one.
    I drive the family car, by the way. Built in 1992. Still going on just fine. Why would I want to buy a new one that will develop problems in computer systems within 5 years? And even if I were to replace my old car, why wouldn’t I buy a used car for a fraction of the value the car dealers are selling them? With 20.000 I can buy four decent cars in the span of two decades (assuming each one will last 5 years, which is quite a modest prediction). Give me *one* reason, why I should buy a new one then.

  18. Nicholi on December 25, 2020 at 10:09 pm

    If Andrew Yang was president… More cars would be bought #freedimdividend

  19. Richard Monroe on December 25, 2020 at 10:09 pm

    They should raise the prices significantly so they are not cheap anymore

  20. Emmanuela Zizhou on December 25, 2020 at 10:10 pm

    Conclusion= go by a second hand car ey last longer like the new1😂😂

  21. PointingOutObvious on December 25, 2020 at 10:10 pm

    In 1920, the average salary is $3,269 per year, a car only cost $650-$850 on average.

    Today, the average salary is ~$35,000, the average new car cost $37,876.

  22. Lord Vladimort on December 25, 2020 at 10:11 pm

    "More expensive features like bluetooth and apple car play." You can get both in an aftermarket stereo for less than $500, but the automakers package them only in trims costing several thousand more. Oh you want all those features? Ok, but you have to get these overpriced wheels, some cheap carpet we value at $800 and 3rd row seats. The automakers are doing this on purpose.

  23. Myrddin R Emrys on December 25, 2020 at 10:14 pm

    This feels like a Pre-Covid trend that could already no longer be true. (From the Consumer’s point of view)

  24. LX Media on December 25, 2020 at 10:17 pm

    My definition of cheap is under $10k. And buy USED, save money.

  25. kbnice23 on December 25, 2020 at 10:17 pm

    makes no difference car prices fall to half after five years any way so if you want a cheap car try a five year old with the lowest mile you can find the car im looking at right now for 15 grand was 30 to 40 grand just five years ago

  26. Avery Tatavitto on December 25, 2020 at 10:18 pm

    Here’s the reason they’re disappearing, SUVs are destroying the compact market and pre-owned vehicles are better for young people. New cars are terrible for first-time buyers. Realistically, buying a new car is a terrible financial decision

  27. Louie Villacortes on December 25, 2020 at 10:18 pm

    Basic car is the best, hitech cars are more complicated and costly to maintain. Personally I still prepared manual transmission and cheap cars.

  28. mrlaydback11 on December 25, 2020 at 10:20 pm

    Customers don’t want more technology in cars. They are told they want it and force it on the customers.

  29. luckylion on December 25, 2020 at 10:21 pm

    just buy a used car. young people especially should not waste too much money on a depreciating asset!

  30. luffararne on December 25, 2020 at 10:21 pm

    20? something for a Camaro, Mustang, Challanger must be concidered cheap where I live in north EU, heck even with a boring engine and no frills basic with no extras. 90k however, well that is ludicrous expensive even where I live, did not think they went that high even if says something like Demon, Shelby GT whatever..? That is almost touching Porsche territory and I am not the one counting horsepower like it is everything either, power means a lot sure bu Camaro in this world from a production line will ever take on a premium German in terms of quality and feel, that thing hard to put the finger of but experiences, touch, smell, a finger on the steering wheel and feel everything.. Ohh well that is only me, I would likely go for a Corvette if I want something fast cause I don’t have the $ for the best Europe can offer. Maybe even a Tesla hahaha, sure fuel here is crazy expensive perhaps even among the most costly in the world and 90% of it is just taxes, upon taxes. The engine noise is something you Americans really understand though, satisfying to say the least.

  31. HuntaKiller on December 25, 2020 at 10:22 pm

    In my country the local brands like rebadged Daihatsu and Geely are selling for $8000-9000 and they’re either compact Asegment hatch or the 1300cc sedan with 4at gearboxes,but still i consider them as expensive
    But the sedan is quite feature packed tho

  32. Shackattack85 on December 25, 2020 at 10:24 pm

    Bc republicans and democrats cheer bailouts of bad business models which props up higher prices. The love affair between big business and republicans and democrats is the foundation for corruption!

  33. Zack Gilmore on December 25, 2020 at 10:24 pm

    This will open up a giant window for Chinese cars.

  34. Gobi Murugesan on December 25, 2020 at 10:24 pm

    Wait for Chinese manufacturers to flood ur market

  35. Ajay Sampat on December 25, 2020 at 10:25 pm
  36. bmoreorless on December 25, 2020 at 10:26 pm

    People want cheap cars but don’t want small cars. Young people have families too. Get a comparable midsize for 18k- it’ll sell.

  37. Grahame Nicholson on December 25, 2020 at 10:27 pm

    The smaller SUV built on a sedan chassis is a good idea. The past was all about making commuter cars look like some sort of race car. When you can make a more spacious vehicle that will suit a family on the same platform as an I30 then it just makes sense. Not everyone thinks that a car that looks like a sports car is a good idea. We drive through the city and towns at regulated speeds in our $20,000 Toyotas side by side with $50,000-$500,000 sports cars and arrive at the same time in good comfort and safety at a fraction of the cost. The old racer car shape is just a bad use of space for 90% of people who just dont care if they look fast or not while commuting.

  38. Christopher Davis on December 25, 2020 at 10:27 pm

    High Tech in all automobiles should be standard now & no one should have to pay a premium for safety!!

  39. Richard Monroe on December 25, 2020 at 10:28 pm

    Cadillacs are expensive but worse than the least expensive cars available

  40. Texas Made Born N Raised on December 25, 2020 at 10:30 pm

    We need to cut out the middleman dealerships and start letting them sell direct to consumer

  41. ARIES MIGHT on December 25, 2020 at 10:30 pm

    THE NUMBER ONE REASON IS GREED!!!

  42. Marek Bielesza on December 25, 2020 at 10:30 pm

    The Government manipulate market. First with gasoline prices, air pollution, than intre

  43. James Richardson on December 25, 2020 at 10:34 pm

    Dear Auto: Industry I don’t want or need all your techo BS in my car…I know how to drive.

  44. angela manning on December 25, 2020 at 10:36 pm

    Cars need to be 5,000 or less new. Without bells and whistles. 20,000 is too high.

  45. Christopher Davis on December 25, 2020 at 10:36 pm

    Talk about the auto industry being in bed with the auto insurance companies!….auto insurance companies are price gouging @ a all time high!!!!…..credit score shouldn’t have nothing to do with your safe and responsible driving history/record!!!!!!!

  46. Bernard Finucane on December 25, 2020 at 10:41 pm

    US new car sales peaked in 2015 at 17.5 million units.

  47. Paris V on December 25, 2020 at 10:41 pm

    I can fix everything myself on my truck from 1990 short of a rebuild.. today’s cars just can’t offer the amount of DIY cost savings that older cars do.

  48. Gin Mador on December 25, 2020 at 10:44 pm

    we need cleansing, we need bankruptcy, bailouts are for walking dead zombies

  49. Paul USA on December 25, 2020 at 10:46 pm

    If you want a cheap car buy a used expensive car

  50. Monte Harrison on December 25, 2020 at 10:47 pm

    Gas has been extremely cheap for a couple years now. I’m sure that plays a role

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