Anyone who’s checked out Carvana, Vroom, or any local dealership could probably tell you: it’s a tough time to try to buy a new car
. Price tags have risen dramatically, and for a while, it seemed as though there was no end in sight. But thankfully, the storm may have passed for the time being, and we may be on the verge of a new day. That’s right—the U.S. car market is starting to make a comeback, and it’s something that we should all be celebrating. But you might find it harder to celebrate if your car insurance
is overpriced—take a look today and see if you can knock some dollars off what your current premiums are gouging you for. The U.S. car market is set to recover from its pandemic-related inventory slump
Q1 brought a new dawn to the car industry, as Just Auto
explains. Before you start pumping your fists, be aware that these are slight changes, which is to be expected considering everything that’s happened in the past two years. However, compared to March, April brought about increased sales. Original equipment manufacturers (OEMs) sold 300 units more per day, despite April being traditionally a poorer sales month. The national vehicle inventory was also up by 5,000 units compared to March.
These marginal numbers may seem insignificant, but remember that new and used cars are selling faster than they did pre-pandemic, and are thus in shorter supply. That means the fact that carmakers’ lots are holding any sort of surplus is a good sign.
What will the rest of the year look like for the U.S. Car Market?
At present, the rest of the year could be a toss-up as far as prices are concerned, but Q2, which is the months of April-June, is set to be red-hot. SWBC
reports that prices may actually drop throughout the rest of the year, which follows the predicted market trend of declining demand as spring gives way to summer. The reason? Primarily tax refunds, which are often used by Americans to start shopping on the U.S. car market. After all, the refund can be used for the down payment on a car loan.
MORE: When Will Used Car Prices Drop?
Continued low inventory is predicted to influence Q3, Q4
SWBC continues on, indicating that it’s likely that most consumers will either shop for a used vehicle
or keep their existing car for the time being. After all, even if new car prices drop, the markup is too much for many people. This is mainly due to car dealerships being short-handed on inventory. With fewer vehicles to sell, manufacturers are marking up prices in order to keep their margins, and consumers in the U.S. are left holding the short end of the stick.
Beat the new car crunch by lowering your insurance costs
We’re watching the U.S. car market right alongside you, and if you’re trying to find ways to cut costs on your auto-related bills, shopping for more affordable car insurance is a great place to start. Download the Jerry
app and see what you could be paying instead; find out why thousands of drivers have already trusted us to help lower their premiums. 
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