Five Reasons Why You Should Buy a Pre-Owned C8 Corvette Now, Even If It Means Paying More Than MSRP

14376

Five Reasons Why You Should Buy a Pre-Owned C8 Corvette Now, Even If It Means Paying More than MSRP


I’ve been thinking about the C8 Corvette market a lot lately and how nothing is normal when compared to previous generations. We are now well within the second model year, and instead of demand decreasing, the market feels tighter than ever. For those of you who have sworn never to pay more than MSRP for a new Corvette, it might be time to drop those preconceived notions of waiting until the model is discounted and just pony up to the fact that you might have to “pay to play” now instead of waiting and then having to pay more later.

To present my case, here are five reasons why you should buy a pre-owned C8 Corvette now, even if it means paying over the Manufacturers Suggested Retail Price (MSRP).

1. Dealers Will Remain Sold Out Through 2021 and Into 2022.

Let’s face it, ordering a new Corvette has become a crapshoot. Dealers don’t have any idea of how many total Corvettes they are getting for 2021 as Chevy has been doling out the allocations in just three-month intervals. So most dealers are oversold and sadly, most don’t even know it. While this allocation squeeze has traditionally affected mostly smaller dealers whose allocations are minimal, we believe that demand for the car from even the national volume sellers has reached a tipping point. If GM isn’t telling dealers how many cars they can expect for the model year, then you can’t expect to know exactly where you are in relation to how many people are ahead of you vs how many Corvettes that dealer will get to sell. We continue to hear about customers who “placed an order” for a C8 Corvette all the way back in 2019, and many are still waiting to this day for their number to come up.

2. A Price Increase Is Already On the Way

We know that Chevy set the base price of the 2020 Corvette at $59,995 to impress the skeptics that GM could build an affordable and attainable mid-engine sports cars cheaper than anyone thought possible. We also look back to the C7 Corvette in which the base prices were raised nearly $5,000 by the end of its second year. We expected a price increase for the 2021 model year but because of COVID, GM opted to price protect all those customers who had an initial order placed for a 2020 model before they were bumped to 2021. And even though the price levels were protected for the major Trim Packages (1LT, 2LT, 3LT) in 2021, we still saw GM raise the prices on specific options anyway. For 2022, it’s widely expected that all the Trim groups will see their prices increased and we expect that a number of individual options could be raised as well. Finally, one other way to raise prices and cover costs would be for GM to raise the price on the mandatory $1,095 shipping fee that is charged on every single Corvette. Again, that something that was done early in the C7 generation. GM’s delay in raising prices until 2022 is going to make the price increase seem even greater than the gradual increase we had expected for 2021 as GM attempts to make up for that lost revenue while the demand for the car remains high.

3. New Model Rollouts Will Increase the Demand for All Models

It’s widely expected that the Z06 Corvette will be arriving fairly soon, either later this year or early next year is the general consensus. Once that happens, we’ll obviously see the same kind of high drama playing out of supply and demand for the upper level sports car. Chevrolet changed their ordering procedures a few years back so that an allocation is not specified for Coupe or Convertible and it won’t be specified for the Stingray vs Z06. With at least one-third of all orders likely going to the Z06 (and maybe higher based on size and scope of dealers with dedicated Z06 lists), you will see both dealers and Chevy giving preference to Z06 orders because of the larger price points. Those still waiting for a Stingray may have to wait even longer because of that prioritization and increased competition for that allocation.

We are also dealing with the fact that the C8 Corvette will most likely be the most exported Corvette in the history of the car. Already we have seen the number of sales to Canada and Mexico increase substantially and the new Right Hand Drive model has caused a buying frenzy in countries like Japan, Australia, and the U.K. that didn’t exist before. More than ever before, American buyers will be competing with foreign markets for the opportunity to purchase a new Corvette.

4. Plant Closures and Supply Chain Issues Are Not Going Away.

We’ve seen the devastating effect that COVID has had on the automotive manufacturing landscape and things aren’t going to turn around quickly anytime soon. The Corvette Assembly Plant just went through two weeks of downtime due to issues with the supply chain. That two weeks of downtime translates into another 1,800 Corvettes that weren’t built and they probably won’t be made up before the end of the model year changeover, whenever that happens. Currently, there is a global shortage of microchips used in automotive manufacturing and industry sources say that shortage could affect production through the year 2022.

5. The Supply of Pre-Owned C8 Corvettes Continues to Grow as Sellers Can Still Get More Than MSRP

Traditionally, we’ve seen the ability of owners to flip their new Corvette for a profit decrease as more and more new Corvettes are produced. But these aren’t normal times and sellers are continuing to get more for their Corvettes than what they paid for them, even as we are well into the second model year of the run. Sample searches of a number of websites show the number of pre-owned C8 Corvettes has ballooned. A search of Autotrader this morning reveals a total of 737 results on a nationwide search of 2020-2021 Corvettes. With that kind of quantity available, the seller’s market is quickly becoming a buyers market in terms of availability and selection.

Now, as much as I am of the belief that smart shoppers should only pay MSRP for a Corvette and not a penny more, these again are not normal times. Ask any new C8 Corvette owner if they believe their Corvette is worth more than what they paid for it. Overwhelming you will hear a YES to that question. Ask any C8 Corvette owner who paid more than MSRP for their car if they regret it, and I bet the answer will be an overwhelming NO. Those that have their C8s are out enjoying the hell out of them right now while the rest of us are only wondering where our place in line is and if our number will ever be called.

While I’m not advocating spending significantly over MSRP, there are plenty of low-mileage C8 Corvettes offered in the $5,000-$10,000 range over MSRP where you can get the car you want and still feel good about the price paid for it. There aren’t conventional times, so don’t let conventional wisdom stop you from enjoying the most technologically advanced Corvette ever made.


Related:
2020 Corvette Stingray Convertible Headed to Carlisle’s Lakeland Winter Auction
Owner Offers To Sell 2020 Corvette For $2 Million As Proof That Everything Has A Price
Corvettes for Sale: First 2020 Corvette Stingray Touches Down in the U.K.

 



24 COMMENTS

  1. Enough! This is not good advice. Prices have already come down from previous price gouging prices. And guess what????? They’re still making them! A year ago I tried to find a dealer in my area that had available allocations. NOTHING! And in the last 30 days I’ve received calls from two of those dealers advising they had allocations available and wanted to know if I was still interested. And get this? Both offered to sell at MSRP.

  2. I would guess the reason to buy a used C8 at a premium price is due to the knee jerk introduction of the C8. You can’t
    find one at a dealer that isn’t already sold. Production is stopped until Tuesday 2/16/2021 and they build them so quickly that they run them selves out of parts. The used C8 are complete prior to their original delivery and the warranty is transferable. Most are brand new cars that have only been titled not operated anywhere. When the base price starts to move up the use C8s will hold their price because you can mot buy a new one as easily as the 2020 already produced. They are product cars with an exotic volume in existence. Basic supply and demand.

  3. I got mine last June from Kerbeck at MSRP. It’s a great car and I love it. I get offers to sell it for more than I paid for it. At my vintage, I don’t want to spent the time to wait to get a replacement.

  4. It’s true. The C8 Corvette is amazing. I never ordered my new 2020 C8 Corvette from a dealer.
    The person who purchased this new C8 after 22 miles had the valve springs break and the engine was damaged beyond repair.
    This owner did not want to wait for the replacement engine and backed the deal out. The dealer put this never been titled Blade Silver C8 Corvette on the show room floor for customers to admire but was not for sale until a numbers matching engine could be installed.
    . I was in the dealership at this time and was put first on the list to purchase this vehicle. It took 3 weeks and the new engine arrived. What a stroke of luck to be in the right place at the right time. I did pay MSRP. I have seen the same C8 advertised for 35K over my MSRP price. Wife says we are keeping this Corvette. The value plus will always be there.

  5. I couldn’t care less if the price is going up
    or down because I love my new C8 convertible and I waited over a year to get and have no intention of selling it.

  6. It is a law of supply and demand economy. If you are that desperate for a C8, and are willing to pay more than MSRP, then you are screwing everyone else who would like one, but can’t afford to pay $5K, $10K , or more over the MSRP. If we all get patient, and enjoy the corvette that you have, the price will come down. Doing this one may be able to buy one for less than MSRP.

    The price is going to stay high as long there are lots people out there with too much money.

  7. A fool and his (her) money are easily separated. The C7 is an awesome car too and will hold you over until the squeeze is over.

  8. Foolish advice.

    Keith Cornett… you might consider doing a few more moments of research next time before you tell people to spend their hard earned and saved money on something that is in a bubble.

    Fortunately, I’m guessing that most of the readers here have a bit more experience than you and have seen many bubbles come and go over their lifetimes, so they know enough to wait it out for the next bubble to come along.

  9. Yes the author is probably correct that the MSRP will go up in the upcoming years, also the 1st year quirks and other items will be sorted out which is worth additional money! If you are patient you will be able to order one at MSRP and probably get a better car as a result!

  10. This is horrible, terrible advice. Never, ever pay over sticker for a new car and never pay anywhere near sticker for a used car if that model is still in production. Unless you’re talking about Italian supercars maybe.
    Anyone considering this advice needs to take a deep breath and realize that, 12 months, new C8s will be sitting on dealer lots covered in pollen at 5,000 off sticker. And they are available at sticker now in New Jersey if you place an order.

  11. Buy a used C8 for a premium over MSRP?! Never… the vaccine is here, the COVID threat will end this year, production will be back to normal, the delays and lack of availability will end, and then one can order a NEW C8 for MSRP or less. It’s the smart play. My dad told me long ago, never trust a journalist. He was right in so many ways! 😬

  12. I would never pay MSRP for a vehicle, let alone above MSRP. If money is no object and you feel your obligation to support the US economy than please purchase a used C8 at the market price and enjoy your conquest. I don’t really understand the intention of this marketing article vs real automotive journalist news.

  13. Every time I read this kind of stuff, I love my C6 Z06 more. It looks like a real Corvette with (almost) round tail lights and has 427 cubic inches. The C8 looks like it came out of a “Hot Wheels” box, you can have it.

  14. Fed keeps printing fiat currency and yes we have inflation. Grocery bills are way up, gas is spiking. Too many dollars chasing a limited supply.

  15. People pay a premium so they don’t have to wait a year.
    Look at it this way. Would you pay $20,000 over MSRP? Probably not. But let’s say the day after you pick it up someone offers you $20,000 premium and you don’t sell it. You just paid $20,000 over MSRP. It didn’t come out of your pocket but it is an opportunity cost. You could have sold it and then immediately order another one. But you didn’t. Why? Because you didn’t want to wait a year to receive another one. You wanted to drive it today. It’s the same thinking by the people who pay a premium.

    And no one is getting ripped off. A void in the market place is being filled by willing buyers and sellers.

  16. All you really need to know is paragraph one of Keith Cornett’s article. How long would you
    be willing to wait? How much time do you have left? How cheap are you to do without
    what you really want, just to save some hard earned bucks? You can be the judge.

  17. I ordered a 2020 Convertible in February of 2020
    When I was told my order was canceled and had
    To order a 2021 It worked out so much better!
    Now I’m told a year later that GM has not yet even accepted the order! I thought people who’s
    Order was canceled would be first in line to receive a 2021! Woman at GM said she didn’t think so. Kinda disappointing. Thought I would have had some idea of production by now. May just get a different car this summer.

  18. The C8 continues to be a car of mystery and complexity in a number of different ways. The Corvette didn’t get all those awards for no reason. The C8 dominated its racing class for a reason. There are a record number of YouTube vids for a reason. People love this car and people want this car. I know. I paid over sticker for one when I was in the right place at the right time. I don’t need affirmation from anyone. I love driving this car. And I spent way too much for it, considering the sticker price. Yet I’m not at all sorry. The price is not going to go down, but the driving experience will continue to be outstanding. GM did two things right in the past several years: Bring out the C8; bring forth a Cadillac Black Wing V8. AF

  19. I have a C8 Torch Red 3LT I will sell soon as my 21 comes in maybe the next 6/8 weeks.I expect it to sell quickly above MSRP.If not I will be ok.Its a great car and worth the $$$$.

  20. GM does audits on dealers, if the car that’s marked up doesn’t sell, guess what they loose their allocations, know a dealer here they did that on the C7 they haven’t had a new one since 2016

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.