How to Find Deals Amidst Spiking Car Prices

Many Americans received incredible deals on new vehicles thanks to the government’s Cash of Clunkers program. On the other hand, if you purchased a car last month you probably paid more than you should have.

Consumer prices for new cars increased 1.6% in October, the biggest increase since May 1981 according to the Department of Labor. Used car buyers were worse off paying 3.4% more than the previous month. Fortunately, smart car buyers can still find bargains between now and the end of the year.

• Though 2009 inventory may be low, dealers are still likely to be offering special incentives to make room for 2010 models.
• Shop low demand vehicle styles such as mid-size cars and large trucks.
• Skip the mall on Black Friday, dealerships are likely to offer big incentives to reach end-of-the-month sales quotes and keep sales numbers up over the holidays.
• Consider end-of-design cycle models, more buyers will be waiting for the updated version leaving you big discounts on the old.
• Look to Ford, Nissan and Toyota, all offering higher than average discounts. For example Ford is currently offering 0% APR financing with $1,000 cash back. Nissan is offering $2,000 cash back on the Sentra. If you’re looking to lease Toyota is offering many low cost offers expiring the end of the month.

Most importantly, shop around. Despite current high prices there are deals to be found. Request price quotes, compare models, and research available rebates and incentives.

10 Most Unreliable Cars of 2009

Unexpected repairs are a nightmare for any new car buyer. After investing thousands in a new vehicle the last thing you should be burdened with are repair bills. Fortunately we can tell you which cars to avoid. Consumer Reports recently released their 2009 Annual Car Reliability Survey, using this and five-year repair-cost data Forbes.com has complied a list of the 10 most unreliable cars to buy.

1. Volkswagen Touareg
    Consumer Reports Rating: 66
    Five-year Cost of Repairs: $907
2. Mercedes-Benz GL450
    Consumer Reports Rating: 77
    Five-year Cost of Repairs: $1,509
3. Lincoln MKS
    Consumer Reports Rating: 73
    Five-Year Cost of Repairs: $869
4. Jaguar XF
    Consumer Reports Rating: 72
    Five-Year Cost of Repairs: $1,301
5. GMC Canyon
    Consumer Reports Rating: 41
    Five-Year Cost of Repairs: $718
6. Ford F-250
    Consumer Reports Rating: 37
    Five-year Cost of Repairs: $969
7. Dodge Caravan
    Consumer Reports Rating: 60
    Five-year Cost of Repairs: $807
8. Chrysler Town & Country
    Consumer Reports Rating: 64
    Five-year Cost of Repairs: $807
9. Chrysler Sebring Convertible
    Consumer Reports Rating: 45
    Five-year Cost of Repairs: $770
10. Chevrolet Colorado
    Consumer Reports Rating: 41
    Five-year Cost of Repairs: $798

The car with the best Consumer Reports reliability rating was the Honda Insight, followed by numerous Toyota, Honda, and Nissan models.

An Industry 1st, Ford Unveils Inflatable Seat Belts

In a press release yesterday, Ford announced the 2011 Ford Explorer will be equipped with back seat belt-mounted air bags. According to Ford, they are the first carmaker to mass produce this safety feature. The inflatable belts are designed to protect children and the elderly who are at a higher risk for head and neck injuries.

The seat belt is designed to inflate on impact within 40 milliseconds using cold compressed gas. Standard air bags use a heat-generating chemical reaction to inflate at a rapid rate, which would have been dangerous as the air bag is held tight against the occupant's body. Instead the belt air bags inflate slowly (if you can call 40 milliseconds slow) and only reach surrounding temperatures.

Ford chose the Explore due to its popularity with families, but aims to include the feature in additional models in the future. This advancement is likely to increase Ford’s hold on industry safety ratings. Currently the automaker has more 5-star U.S government and IIHS safety ratings than any other competitor.

Why the New Taurus is Key to Ford’s Success

Ford Motor Company has taken full advantage of it’s fumbling competitors over the summer, reporting a third quarter profit of $997 million according the New York Times. Ford’s profit gains were due in large part to its new Ford Taurus sedan which increased sales 141% over last year. What is it about the new Taurus that has attracted car buyers interest?

Of course we could attribute it to the lack of competition, but that would be cutting the new Taurus short. In fact, the Taurus is a sedan built for American drivers. Big and comfortable it bridges the gap between the traditional family sedan and luxury cars. It offers a quiet, smooth drive with a powerful V-6 engine.

Ford designers created a more assertive stance for the new Taurus, toughening up the traditional family car design. The interior, though simple, is spacious and well crafted, with thoughtful extras to improve driver and passenger comfort. The list of new tech features for the Taurus is so long I won’t begin to list them here, but be sure they’ll have you feeling like you’re driving an intelligent automobile.

The Ford Taurus is an excellent example of Ford’s understanding of what American drivers want. On top of it all, a starting MSRP around $25,000 makes it easy to see why smart buyers are choosing the Taurus.

Ford Shelby: Somehow the design changed before it hit the street, but it's still hot

When Ford originally announced a year or so ago that it was bringing back the Ford Shelby GT500, there was quite a buzz around the company's proving headquarters and grounds in Dearborn, Michigan.

That's because the "original re-design" of the 500-horsepower muscle beauty called for it to hit the street looking something like a cross between the Shelby Cobra CSX 7000 and its cousin the Shelby Cobra CSX 4000.

There was even a TV commercial circulating around "Ford-dom" showing a shadowy vehicle racing over bridges and down streets before finally coming to a stop with only its rear end showing, and the words "Return of the Shelby" on the screen.

Nobody's saying what happened to that original intent to bring back a classic Shelby design like the 7000 and 4000, in lieu of "shoe-horning" 500 horses into the existing Mustang engine compartment, but it's still a hot little number.

Where is the 50 mpg car when you need it?

According to experts, US drivers are most likely going to have to wait about 3 years for a car to be sold that gets 50 miles per gallon, even though such models already exist in Japan and Europe. While we have a penchant for bigger and more powerful cars in the US, the biggest problem seems to be the cost to develop them for a mass market here.

To reach 50 mpg, buyers may have to compromise on one of the 3 pretty essential areas: cost, quality of the ride or safety. At this time, high tech equipment to make the car either lighter or more fuel efficient can't help impact the ride and vehicle in one of these key areas. Ford recently estimated what it would take to build the Ford Focus out of a lighter-weight aluminum frame. This would pop the mileage up to 50mpg from its current 35 mpg, but it would cost $50,000. Hmmm… Gotta admit, that's a pretty expensive Focus.

To read more about different manufacturers take on reaching the 50mpg mark here in the US. Check out this article in the New York Times.

Is Ford finally getting an "Edge" on the competition?

Many times, sometimes deservedly so, Ford Motor Company gets a bad rap. People say their vehicles are either too stodgy (built to attract older more conservative drivers) or their designs are out of touch with the times.

But, an orange will always be an orange. It is what it is. Let's face it, Ford will never be as creative as, say Chrysler, when it comes to innovative designs unless the brand changes their creative philosophy altogether - something that's about as likely to happen as Tiger Woods never winning another golf tournament.

But you can't knock Ford for its latest efforts with the Ford Edge, a cleverly designed, two-year old crossover vehicle that may have just saved the company's hide in the highly competitive CUV market.

If Ford can avoid the big "R" word (recall) that has beset some of its more promising vehicles and poisoned folk's minds against the company in recent years; it may be well on the way to making younger, new car buyers believe the company actually does know they exist.

Who knows, this could be the start of something, well, over the Edge for Ford as it struggles to regain its rightful place among world automotive leaders.

Stockholders to Ford, GM: We are not happy

Investors sent their own message to Ford and General Motors last Monday, in response to promises from both auto maker's that they're doing what they believe is right to turn around sagging auto sales. Their message: We don't believe you.

CNNMoney.com reported last week, Ford and GM stock dipped to new lows by close of business on March 17th. Many interpreted it as a sign that investors are more than just a little concerned about both companies ability to pull out of their respective sales funks in a reasonable amount of time.

Even before these recent stock dips, Ford offered to buy back 81 dealerships as reported in The Detroit News in a move designed to stop the bleeding in its minority driven Dealer Development Program.

Also, General Motors has announced it will cut back production in the second quarter in response to losses directly resulting from the two-week old strike at American Axle Manufacturing Company. To read more about the strike see this article in Forbes.

The stockholder's low vote of confidence may be just the first shot across the bow of American automaker's ships as they struggle with staying afloat in some of the toughest economic times in the last 20 years.

Believe It or Not: NADA says there are 100,000 jobs to fill at dealerships

If you believe what the National Automobile Dealers Association says, the time to buy a new car might be fast approaching. Why?

Well, the organization that was founded in 1917 and which represents more than 19,700 domestic and international new car and truck dealers, claims there'll be more than 100,000 jobs to fill at dealerships nationwide very soon.

In a recent NADA Press Release, kicking off "Automotive Career Month," Chairman Annette Sykora says: "We are encouraging students to schedule a visit to their hometown dealership and ask about internships or summer jobs, which can often lead to a full-time career a few years down the road."

But wait! Aren't automotive sales down in this slumping economy? And isn't the long-term outlook for new car sales just as gloomy, especially with Ford Motor Company recently making a highly controversial offer to buy back 81 dealerships? Get more details on Ford's offer at MarketWatch.

Well, apparently NADA sees better times on the near horizon, which could translate to some great deals for car buyers, especially if, as they claim, there'll be 100,000 jobs available at dealerships very soon. Think of it as 100,000 new dealership representatives fighting for your business.

The Ford Ranger: Holding On With A Nice Price

The Ford Ranger has an impressive past. It was a best-seller for 18 years. And while its solid workhorse sensibilities remain, it hasn't had a full update in over a decade. The Ford Ranger has a low price which keeps it in the compact truck game, but it is easily outclassed by more modern competitors on most other fronts.

Unfortunately, many of the Ranger's qualities are quite simply out of date. In an age where most trucks come with a ton of safety features, like stability control, hill and parking assist-the Ranger's boasting of standard ABS hints at its serious deficiency in this department. Off-road capabilities are still note-worthy with the FX4 package. But overall ride quality suffers from the aging suspension which makes for a bumpier ride than most. The interior doesn't have many modern frills, but it's clean and straight-forward. If you need a truck for old-school (and we mean old) utility, these grievances may not matter. And admittedly, the price is hard to beat.

A couple of more modernized competitors worth looking into are the Toyota Tacoma and the steeper-priced Dodge Dakota which has more features and better performance.