The world is currently going through an unprecedented chip shortage near State College. What kind of chip are we missing? We're missing computer chips, the kind used in many of our appliances, modern technologies, and newer vehicles. While we've known about this shortage for a while, it's finally beginning to have a noticeable impact. Read on to find out how this shortage may affect you.
What is the Chip Shortage?
As explained above, the chip shortage is a shortage of computer chips used in most of the technology we use daily. That includes things like microwaves, our smartphones, and of course, modern cars. The shortage specifically came into being these past couple of years, as demand for computer chips slowed down and then rapidly shot up in recent months. Suppliers cannot keep up with the huge increase in demand, and therefore we are beginning to see the effects of a chip shortage.
How Does the Chip Shortage Affect the Auto Market?
So, how does the chip shortage affect the automotive market specifically? Since most, if not all, new models feature advanced technology for infotainment, comfort, and safety features, it goes without saying that automakers are having trouble keeping up with demand as well. Many vehicles simply cannot continue to be made until they receive a computer chip. This lack of production then results in a lack of inventory for dealerships. Buyers who order vehicles directly from the dealership could also find that they will not receive their custom vehicle for much longer than anticipated.
What Does the Shortage Mean for You?
If you are a Bellefonte driver that does not need to buy a new car or sell your current one, there is a good chance you might not have to worry about this shortage yet. But for those than need to purchase or sell, you'll already begin to feel the effects. For starters, the value of vehicles will be going up due to a lack of vehicles in dealership inventories. This means vehicle prices might go up, and it also means those looking to sell their vehicle might be able to do so for more. If you are looking to sell your vehicle, now may be the time, as your vehicle will likely be worth much more than it typically would. And if you are looking to buy, it might be a good idea to wait, as it'll be more difficult to find the vehicle you want at the price you need.
What are the Value of Trade-Ins?
If you do end up attempting to purchase or lease a new vehicle, however, we recommend trading in your current vehicle. While trading in vehicles is not a new concept, now is the time to remember to trade in a vehicle. As the value of vehicles goes up, so does the value of a trade-in. It is more likely you will receive a trade-in offer that satisfies your needs and wants. At Lion Country Kia, we want to work with you to swap your trade-in for a vehicle that suits your needs.
Let Us Help
While the implications of the computer chip shortage can be daunting, we at Lion Country Kia strive to make it less so. We offer comprehensive help where and when you need it. Worried that you won't find the car, SUV, or truck that fits your lifestyle? Let us help you sort through our available inventory and see which vehicles you like. Plus, once you do find a vehicle you like, we recommend scheduling a test drive.