Relief and excitement from the president of the Wisconsin Automobile and Truck Dealers Association. William Sepic says President Obama's signing of an extra two billion dollars for the "Cash for Clunkers" program will help improve the climate for car buyers – and dealers.
"It has motivated consumers to go out and shop, and has been able to help the car dealers out of a challenging situation that they have been faced with the last eight months," says Sepic.
Despite some grumbling from dealers about the paperwork involved, Sepic says the 'clunkers' program is bringing customers into the dealerships and many are
buying even if their 'clunker' doesn't qualify for the federal incentive. Sepic says those late model used vehicles will be needed. "As these manufacturers are gearing up to replace what has been sold, you'll probably see a slight increase in pre-owned prices for a short time period," says Sepic. "As there is a reduced opportunity to see the new cars, the used cars will all of the sudden have greater value."
Sepic says pent-up demand which dealers believed existed is finally being released by the publicity over "Cash for Clunkers," and the thawing of frozen credit markets.