If you've been shopping for a new or used vehicle in your local area, you'll be hard-pressed to find a great deal these days. Due to the computer chip shortage impacting the entire auto industry, dealerships have far less inventory than usual, driving up prices of new vehicles. The shortage has caused manufacturers to significantly scale back production and even temporarily shut down some assembly plants. This comes at a time when the country is beginning to reopen following the COVID-19 pandemic. Demand for automobiles has increased compared to the early days of COVID-19 as Americans once again are feeling confident in making larger purchases and are looking for a safe, socially-distanced way to travel.

Shorter supply and higher demand of new vehicles have led shoppers toward used cars as an alternative, which has impacted both the availability and pricing of pre-owned vehicles. It’s unknown exactly how long the chip shortage will last, but the demand for semiconductors is only expected to increase as vehicles get more sophisticated, and our use of technology in our everyday lives continues to grow over time. Automakers are competing for semiconductors with manufacturers of smartphones, laptops, video game consoles and the like. Chip manufacturing may see a boost from government funding, but we don’t expect to see the current situation to change overnight.

Despite the recent increase in used car prices, you can still get a great deal with Hertz Car Sales, as we continue to offer below-market, no-haggle prices on quality used vehicles of all types. Hertz Car Sales has always been known as a smart alternative to the traditional dealership model, and with the current market prices of used cars, there has never been a better time to consider Hertz Car Sales for your next vehicle.

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