In a recent in-depth discussion, Joe Segrave, the founder of Benchmark Auto, shared his firsthand experience with the rising prices of used cars and the significant impact these changes have had on his customers. As someone at the helm of a thriving automotive business, Joe offers a unique dealer’s perspective on the evolving auto market.
Over the past year, the auto industry has witnessed an unprecedented increase in used car prices. Factors such as supply chain disruptions, decreased new car production, and economic fluctuations have contributed to this surge. This shift has posed challenges not only for dealerships but also for buyers who traditionally viewed used cars as a more affordable option.
Joe explains how the Lease Here Pay Here (LHPH) model has become a crucial element in maintaining affordability for consumers. “The LHPH model has provided a buffer against these price hikes, enabling customers to access vehicles they need without the full financial burden of rising costs," he stated. The flexibility of this model, which often includes lower upfront payments and the possibility of lease-to-own arrangements, has made it an attractive alternative for many.
The benefits of LHPH have been particularly noticeable over the last year. According to Joe, “the affordability benefit of LHPH has been exponential, offering a lifeline to many of our customers during these challenging times.” He highlights how this model not only helps customers manage their budgets better but also allows dealerships like Benchmark Auto to maintain sales volume and customer satisfaction despite market volatility.
For anyone looking to understand the current dynamics of the used car market, Joe’s insights provide valuable clarity. He emphasizes the importance of innovative financing solutions like LHPH in helping dealers and customers alike navigate the complexities of today’s economic environment.