What the Current Inventory of Consumer Reports’ Most Reliable Cars Tells Us

by Justin Fischer | Last updated Jun 27, 2023 | Car Buying, New Cars

The current landscape of the car market is an intricate maze of fluctuating inventory levels and shifting price tags. Your guiding light through this labyrinth? Knowledge, of course. The knowledge that shines the brightest is the understanding of Market Day Supply (MDS). This illuminates the number of days it would take to sell all the inventory of a particular model, assuming no new cars enter the market and the current sales rate holds steady. A high MDS suggests a surplus that may give you, the buyer, some bargaining leverage. In contrast, a low MDS may indicate the sellers have the upper hand.

By exploring CarEdge Data, we’ve highlighted which new cars in 2023 have the best and worst reliability ratings, and what the inventory data tells us about them. We think you’ll agree that these insights are rather fascinating, and provide you with the knowledge to navigate the market like a pro.

The Most Reliable New Cars Today: Inventory and Negotiability in 2023

Using CarEdge Data, we analyzed nationwide supply and sales data for the ten most reliable cars in America, according to Consumer Reports. Here’s the data, and what it means for buyers.

Firstly, the reliability leaderboard has a strong Toyota presence. Models like the Toyota Corolla Hybrid, Toyota Prius, and Toyota Corolla claim high reliability ratings from Consumer Reports. These models fly off the dealer lots relatively quickly with a Market Day Supply of just 23-24 days, showing the high demand for reliable Toyota cars. Data was unavailable for the Corolla Hybrid, so we have included the latest numbers for the overall Corolla model. These popular, reliable cars will be less negotiable due to higher demand and quicker sell times. 

CarEdge’s Ray Shefska made it clear that despite great reliability and high demand, the days of being forced into paying a dealer markup are long gone. “No matter what the dealer tells you, never pay a markup or so-called ‘market adjustment’ for a new Toyota. The car market is very different in 2023 compared to the madness we saw during the chip shortage.”

Next, the MINI Hardtop (2 Door and 4 Door) and Lincoln Corsair, despite their high reliability, have a much longer MDS (95 and 96, respectively), suggesting these reliable models may not be as in-demand. You’ll have more leverage negotiating these prices, especially with industry knowledge and familiarity with how to work a deal.

The Subaru Crosstrek, another model with a high reliability rating, stands out with the lowest MDS among the top 10 reliable cars, indicating the supply can barely keep up with demand. CarEdge Car Coach Justise says that Subaru has been the low-inventory king for many years, and that’s not changing any time soon.

Looking at the price tags, the most reliable vehicles come with a broad range of starting prices, from $22,795 (Toyota Corolla) to $59,775 (Lexus GX). This proves that reliability isn’t necessarily associated with a steep price.

Less Reliable, Less Demand? 

Car buyers aren’t racing to dealer lots for the models known for poor reliability. Unfortunately, American brands dominate the bottom ten.

The Chevrolet Silverado 1500, despite its less than stellar reliability, has a significant volume on sale but a relatively high MDS. The takeaway? It’s plentiful but not necessarily popular.

Two other models, the Jeep Gladiator and Lincoln Aviator, despite their lower reliability, have very high MDS (289 and 178, respectively). It appears these models may be the wallflowers of the dealership lots.

Meanwhile, the Nissan Sentra holds its own despite lower reliability, with a fairly low MDS (60). Its budget-friendly starting price may be a contributing factor.

Interestingly, the Hyundai Kona Electric does not have available market or sales data, shedding little light on its demand or supply status.

As we can see, both highly reliable and less reliable cars come with a wide range of starting prices. This indicates that the cost is not necessarily a reliable indicator of its reliability.

Conquer Car Buying with New Knowledge

Now, armed with these insights, you can navigate the market better. Whether you’re looking for a reliable titan like the Toyota Corolla, or even considering a less reliable model like the Chevrolet Silverado 1500, understanding the role of market days’ supply can give you the edge in your car-buying journey. Where there’s more inventory, greater negotiability is sure to follow.

Don’t forget to check out CarEdge Car Search, where auto industry insiders see behind-the-scenes data with every new and used car listing!

But we won’t leave you just yet. We want to arm you with more resources to make your journey smoother. One such tool is our free Car Buying Cheat Sheet. This popular resource can enhance your understanding of the market and help you zero in on the perfect car at the perfect price.

For a more detailed understanding, download your first CarEdge Report today. This report offers a comprehensive breakdown of key numbers in a simple and digestible format, setting you up for success at the negotiation table.

And if you’re looking for a personalized touch, CarEdge Coach is your ticket to savings. Our expert car buyers can offer personalized advice and help you negotiate thousands off your next car. 

Don’t navigate the car market alone; let CarEdge steer you in the right direction. You’ll be thankful you did.

The Rising Trend of Canceling Factory Orders: What It Means for Car Buyers

by Justin Fischer | Last updated May 1, 2023 | Car Buying, New Cars

If you’re in the market for a new car and considering a factory order, you may want to think twice before committing. A recent survey of nearly 3,000 car buyers shows that more buyers are canceling their factory orders, with over one-third of orders being canceled in recent months. Greedy dealers who force add-ons and last-minute price hikes are among the reasons why buyers are canceling, leaving many factory-ordered vehicles searching for a new buyer. Let’s take a look at this trend, and how it affects car prices for the rest of us.

Also: Factory Ordering a Car? These Are Wait Times We’re Seeing in 2023

Survey: Over One-Third of Factory Orders Canceled

We asked the CarEdge YouTube Community what happened to their factory-ordered vehicles in recent months. Here’s what 2,900 respondents had to say about their recent factory orders:

I took delivery = 22%

I canceled my order = 37%

I’m still waiting for my order to arrive = 30%

Other = 11%

That’s right, well over one-third of new car orders are being canceled in recent months. Those factory ordered vehicles are still manufactured, and now they need to find a new buyer. 

Among the respondents who selected the “other” option, these were some of the common themes shared:

• Dealers insisted on forced add-ons even for factory-orders, so the order was canceled.
• Some dealers raised the price upon delivery, after months of waiting.
• A better deal was found on the lot.
• The hassle of negotiating an order with the dealer drove some to buy used for less.
• And our favorite response, “In 1977,  I ordered a white Pontiac Firebird with red interior. I’m still waiting for delivery.” Love it.

The car market is still out of whack, and car buyers haven’t forgotten the normalcy of pre-pandemic car buying. “I canceled my factory order because I figured being debt free and driving a clunker bunker that is safe and still runs a much better option in this market.”

Clearly, when automakers take too long to deliver on a promise, the excitement that typically comes along with purchasing a shiny new vehicle often dies. “After waiting almost 2 years for my Bronco, the love affair kind of died. Decided to use the money on a new house.” We don’t blame you!

More Room for Negotiation: Higher Availability on Dealership Lots

The high rate of factory order cancellations means there are more cars available on dealership lots, which gives car buyers who are willing to forgo a factory order more room for negotiation. Dealerships will be eager to sell these vehicles. They may be more willing to negotiate on price and add-ons, especially if the cars have been on the lot for an extended period of time. This situation puts car buyers in a better position to secure a good deal, as long as they do their research and are prepare to negotiate.

Negotiate Like a PRO With This Cheat Sheet Made By a Former Dealer

The Importance of Transparency, Fair Pricing, and Timely Delivery

In conclusion, the new car market is facing a new wave of disruption as thousands of canceled factory-ordered vehicles flood dealership lots nationwide. As more and more car buyers opt for factory orders, dealerships and manufacturers must ensure transparency, fair pricing, and timely delivery to avoid losing customers. With the evolving market conditions, it is crucial to keep up with consumer expectations and deliver quality service to maintain a loyal customer base.

If you’re in the market for a new car, make sure to do your research and leverage the current state of the market to negotiate better deals. Be aware of current factory order wait times. For additional insights on car buying like negotiability data, suggested offer, and local market availability, check out CarEdge Data. We’re here to help car buyers stay in the driver’s seat of their deal. Car buying, the way it should have always been.