Will Gas Prices Go Down?

Will Gas Prices Go Down?

Gas Prices Expected to Fall After a Summer Spike

Gas Prices are out of control at the gas pumps. Photo by Harrison Haines
Gas prices topped  $4.60 at the end of May, putting them more than $1.50 higher than last year. 

Will the madness ever end, or is $5 gas a new normal?

gas pump iconWill Gas Prices Go Down?

Eventually, but probably not until after the summer. Global production has increased month over month since the end of COVID lockdowns. 

Once the summer travel season is over, demand for gas will also decrease, allowing production to catch up with demand finally. 

And several executive orders from the White House should begin to show up at the pump in the coming months. 

Prices Trending Up After COVID Dips

According to AAA (they watch gas prices closer than anyone), the June 6, 2022, average price for gas in the US was $4.86, which is also the all-time high price for gas in the US. Compare that to $4.61 a week ago, $4.27 a month ago, and $3.05 a year ago. 

Triple-A gas price graph. Courtesy of AAA

What’s Causing the Hike?

Pandemic: When we were all locked in our houses during 2020, we quit buying gas. That means oil companies had to reduce oil production to keep their costs down. Plus, lockdown orders mean drilling sites and refineries were already operating at a significantly reduced capacity. Production is only just now returning to pre-pandemic levels.

Texas Production Shortages: According to Newsweek, several disruptions in gulf coast oil refineries drew down US gasoline inventories, causing even higher demand. 

During the month of the deep freeze in Texas, crude oil production dropped by nearly four million barrels per day

War in Ukraine: The Russian invasion of Ukraine has contributed to the increase in fuel costs. War requires a great deal of gasoline, increasing global demand. Plus, the refineries and wells in war-affected areas cannot produce as much. Finally, sanctions against oil-producing countries cause dips in global availability. 

How Do We Fix It?

The White House: President Biden announced a number of initiatives to increase supply, reduce demand, and lower prices at the pump, including:

  • A fee is charged to any company with an oil lease on federal lands that isn’t actively drilling 
  • Coordination with congress to incentivize a switch to electric energy
  • Use of the Defense Production Act to speed the extraction and production of minerals and materials used in electric vehicle batteries. 

Pandemic: As long as we can avoid upticks in COVID cases, production should continue to increase. And as more people move to electric vehicles and the travel season comes to an end, demand will continue to decrease. 

Is Now the Time to Go Electric?

Eclectic vehicles are definitively less expensive to drive, charge, and maintain than combustion-engine vehicles. And they’re more affordable than ever. There isn’t an abundance of economy options yet, but the entry price to EV ownership has ticked down year over year. 

Additionally, newer and popular used car models are selling on the Carmigo marketplace at and above new-car prices. That means you may be able to swap out your current wheels with a much less expensive electric vehicle. 

If you snag a qualifying model, you can earn up to $7,500 in tax credits on your 2023 tax return.

If you’re ready to make the switch, Carmigo can sell your car faster and for more money. Seriously. List within a day. Sell within a day. Carmigo is easier. Please read our reviews for proof.


When Should You Sell Your Car? Maybe It’s May.

When Should You Sell Your Car? Maybe It’s May.

Carmigo’s May Used Car Market Watch

The May used car market seems to be just as hot as it was in the previous months of 2022. 

May Used Car Market Watch

The average sale price for both new and used cars is still rising, but for how much longer? Is it the right time to sell or will prices jump again? If you sold your car today, could you afford to replace it? 

Let’s get into it. 

Average Prices?

Car Gurus has the average used car sale price at $30,819, up 0.34% over the past 30 days,+0.25% over the past ninety, and +21.56% since last year. 

And after a brief dip, the average new car price was $46,526 in April, a nearly $200 increase over march and more than a $5,000 increase over last year (according to KBB).

But that KBB report came with some good news for buyers interested in an electric vehicle. Because manufacturers are making more and more EVs, prices have begun going down. The average EV sale price dropped more than $1,000 from March to April. 

Are prices trending up or down?

Up. They’re still going up. 

How to watch the market link

A report from KPMG predicted the used car market could collapse later this year. But their estimate that the average sale price could drop by 30% means prices are still higher than pre-pandemic levels. And that report came out late last year, so prices have already remained high longer than expected.

Other industry experts are saying manufacturing supply and used car prices don’t normalize until 2025.

May Used Car Market Contributing Factors

The factors have pretty much stayed the same since our March market report.

Used cars are still experiencing heavy demand due to a shortage in new car manufacturing. And while most manufacturing facilities are currently operating on schedule, the market hasn’t recovered from two years of manufacturing shutdowns, supply chain disruptions, chip shortages, and unexpected global trade issues—not to mention a war. 

Additionally, the tax deadline has passed and the IRS is issuing refunds every day. Auto Remarketing reported a large chunk of survey respondents planned to use their tax refund on a car. That means even more buyers in an already-crowded marketplace.

What’s this mean for you?

If you have a car that you don’t need, it’s time to sell. You have cash sitting in your driveway. 

On the other hand, replacing a car isn’t as easy as selling one in the current market. 

But here’s the good news: You may still be able to sell your car, buy a new one, and come out ahead. 

Overall prices are up, but used car prices have outpaced new car prices since the start of the pandemic by a large margin. That means you may be able to get way more for your used car and only pay slightly more for a new car. 


It’s Electric: Everything You Need to Know about EVs so far in 2022

It’s Electric: Everything You Need to Know about EVs so far in 2022

Everyone seems to have announced new EVs this year, and that’s just the start.

When children of the future read about the transition from gas-powered vehicles to EVs, the first part of 2022 may be the tipping point. 

Ford split in half, Tesla broke more records, everyone announced a new EVs (even DeLorean), charging infrastructure improvements are promised, the postal service is going electric, and charing is now officially cheaper than fueling.

If that sounds like a lot to you, don’t worry. We’ve got it broken down here, plus links if you’re a nerd like we are.

Everyone Announced EVs in Q1

It feels like new EVs are announced every single day. There are so many we can barely keep up. 

Thankfully Car and Driver put together a list of something like 60 EVs we can expect to see in the next five years, but it doesn’t even include some of the announcements made in the last few months.

Here are the models we’re most excited about.

EV Charging Prices Are Cheaper than Gas

An illustration of anthropomorphized gasoline pump and electric extension chord (which represents charging for EVs) boxing in a boxing ring.

Soaring gas prices have a lot of us asking if EV charging prices are cheaper than gas. We break it down as gas and electric duke it out (Spoiler: Charging is WAY cheaper than fueling)!

Hopefully, this means you’ll be spending less money on transportation in the coming years. And if you can’t afford EVs now (most can’t) chances are they’ll be available in every price range soon.

It’s Easier Than Ever to Try EVs

Photo of Tesla rental EVs in front of a Hertz retail location.

Research shows that a major barrier to entry for EVs is that most car buyers are unfamiliar with the technology. So rental companies like Hertz and Enterprise are buying up EVs in large quantities in order to give people an opportunity to test drive electric models.

On top of that, Tesla subscriptions have made Kyte the Netflix of Teslas. That’s right, rental company Kyte is testing out short-term Tesla subscriptions in New York and California this summer. 

Tesla Still Breaking Delivery Records

Photo depicting each of the Tesla models on offer, from left to right a silver Model S, a red Model 3, a white Model X, and a blue Model Y.

Speaking of Tesla, they’re absolutely on fire when it comes to production and delivery. 

Tesla produced more than 305,000 cars and delivered more than 310,000 during the first quarter of 2022. And the company achieved these numbers despite COVID outbreaks forcing two extended shutdowns at its Gigafactory in Shanghai. The factory performs final assembly of Model 3 and Model Y vehicles. 

EVs are Going Postal

An illustration of one of the Postal Service's new EVs.The US Postal Service announced it’s going to order more than 10,000 electric vehicles as a part of its larger order of 50,000 “next generation” delivery vehicles.

Here’s what Postmaster General Louis DeJoy had to say: 

“We owe it to our carriers and the communities we serve to provide safer, more efficient vehicles to fulfill our universal service obligation to deliver to 161 million addresses in all climates and topographies six days per week.”

Charging Stations of the Future are Unveiled

Electrify America's new plans for EV charging stations look like a hybrid between a gas station and an Apple Store.

Electrify America announced new “Human-Centered” EV charging stations and the fueling stations of the future look like… well gas stations (and Apple stores). 

Electrify America is calling its new EV charging stations a “customer oasis.” Quite frankly, they do seem like a nice place to spend 30 minutes while you charge up your monstrous F-150 Lightning.

F-150 Lightning Crushes Distance, Hauling, Weather Tests

Photo of a husband and wife cleaning up storm debris in their driveway while their Ford F-150 Lightning sits in the garage and provides back-up power to their house.

It feels like just yesterday when everyone thought an electric engine was no match for good-‘ole American combustion engines. But here we are — the most capable truck on the market might soon be an EV. We can’t wait to see the Denis Leary commercials for these trucks. “Plug into your inner tough-guy, and plug into the Ford F-150 Lightning. That’s right, lightning. Because these big tough trucks can tackle any job.”

This truck hauled a 10,000 load up the steep and frigid Ike Gauntlet in the snow. And then it hauled the same load across the sweltering Davis Dam which rises 3,000 feet in 11 miles. And it can drive more than 300 miles on a single charge.

Ford is so bullish on EV production that it split its operations in two this year in an effort to grow its EV line even faster.


The Problem With Charging Your Car is a Lack of Charging Stations

The Problem With Charging Your Car is a Lack of Charging Stations

EVs, EVs everywhere, but no charging stations to be seen.

Green line-drawing icon of an EV charging station.Where are all the charging stations when you’re EV is on E? 

The rise in EV ownership has not quite been mirrored by the number of available charging access. And this is especially true when you get outside of metro areas. 

How Many Charging Stations Are there?

A map showing the density of available Shell gas stations compared to the much fewer available Tesla charging stations.

While charging stations are readily available in most cities, the number of stations between metro areas makes long-distance EV travel difficult. This map shows the density of available Shell gas stations compared to the much fewer available Tesla Superchargers.

The United States has 46,000 charging stations and 113,000 charging ports. But that doesn’t mean there is a balanced distribution all over America’s highways. In fact, most all charging ports are in metro areas. So the EV road trip is still a little ways off.

For example, the country’s most car-focused city (Los Angeles), has 2,434 charging ports, more than a third offer free charges. 

But compare that with the 266 charging ports in Carmigo’s home state of Mississippi. When we say “ports,” think gas pumps. That’s not 266 “electric gas stations,” it’s 266 plugs. 

This means charging is a little tricker for rural folks to make the switch to EV since electric cars still can’t drive quite as far as gas-powered vehicles. 

Is This Forever?

Electrify America's new plans for EV charging stations look like a hybrid between a gas station and an Apple Store.

Electrify America announced new “Human-Centered” EV charging stations and the fueling stations of the future look like… well gas stations.

Of course not. 

But President Biden has outlined a plan to have 500,000 EV charging locations in the US.

And we’ve written about Electrify America’s plans to create the charging station of the future. 

So while we may not be ready for the EV road trip yet, it’s close enough for us to start planning.


EV Charging Prices Are Cheaper than Gas

EV Charging Prices Are Cheaper than Gas

An illustration of anthropomorphized gasoline pump and electric extension chord (which represents EV charging prices) boxing in a boxing ring.


The Fueling vs. Charging fight might be over.

Green line-drawing icon of an EV charging station.In the green corner, weighing in at 49 KW-hrs per 100 miles with an incredibly unreliable network of charging stations, it’s EV CHARGING PRICES! 

In the red corner, weighing in at nearly $4.50 per gallon, the reigning champion, he’s rude, he’s crude, and he’s in a mood! FUELING!

Soaring gas prices and increased EV visibility have a lot of us asking, “Are EV charging prices cheaper than gas?”

So, Are EV Charging Prices Lower?

A chart showing down EV charging prices verses fueling costs.


According to the EPA, a Ford F150 uses 4.5 gallons of gas to drive 100 miles. And the same agency clocked the F150 lightning at 49 kilowatt-hours per 100 miles

(For the purposes of this conversation, a Kilowatt-hour is simply a way of measuring electricity.  There is a real explanation for the meaning, but I don’t know it.) 

So we crunched the numbers ourselves and fueling is about three times as expensive as charging. That starts to pay for the sticker price differences. 

A report from Zeta paints a fuller picture by breaking down the specific price differences for 16 states.

The report also points out that the electric grid is less volatile than the gasoline market.

Here’s what Zeta’s CEO, Joe Britton, has to say, “EV charging costs are not dependent on global oil markets—and are therefore not subject to the same price shocks, disruptions, and supply shortages.”

What About Vehicle Costs?

The other consideration in the price comparison is the cost of maintenance. And, combustion engines have WAY more moving parts than EV engines, so repairs will likely be needed more frequently. 

For more on that, Consumer Reports has a great breakdown of operating and maintenance expenses. To sum it up, operating and maintenance costs can be $1,000 to $3,000 more per year for gas-powered vehicles. 

And with each new EV model hitting the lot, sticker prices are going down. So much so that many industry experts predict prices to be even between EVs and gas-powered cars in the next five years. 

What Do EV Charging Prices Mean for You?

Hopefully, it means you’ll be spending less money on transportation in the coming years. Even if you can’t afford an EV now (most can’t) chances are they’ll be available in every price range soon.


Tesla Subscriptions Make Kyte the Netflix of Teslas

Tesla Subscriptions Make Kyte the Netflix of Teslas

That’s right, this car rental company is offering Tesla subscriptions

Green line-drawing icon of an EV charging station.Kyte is launching this month in the San Francisco and New York City areas, giving people the opportunity to sign up for monthly Tesla subscriptions. 

While the “subscription” model is new to the car rental industry, the concept seems familiar. Here’s how Kyte’s website describes the service: 

“All you have to do is make your monthly payment, and we take care of the hassle of owning a car.” 

That sounds a lot like leasing to us. But hey, there’s nothing wrong with using a rebrand to reach a new audience. 

How are Kyte’s Tesla Subscriptions Different?

Image of one hand passing a car key to another hand. Kyte is allowing Tesla subscriptions with an all mobile reservation process. The even bring the car to you.Kyte is different from legacy rental and leasing options because they source vehicles from multiple sources including traditional rental companies. 

And on the user-facing side, the entire process is done on mobile. As it stands, most rental companies offer online reservations but a great deal of in-person interaction is also required. No rental counter paperwork with Kyte. 

In short: These cars are a happy medium between ride-sharing and car ownership. For instance, you may not need a car for the next five years. And maybe you need to drive a little farther than a ride-sharing app will take you.

Can You Rent a Tesla other Places?


As we said in our story about traditional EV Rentals, a major barrier to entry for EVs is that most car buyers are unfamiliar with the technology. So rental companies like Hertz and Enterprise are buying up EVs in large quantities in order to give people an opportunity to test drive electric models.

Since rental cars are more associated with airports than luxury, Kyte may be cashing in on a perception problem in the rental car industry. 

So if you’re thinking about a Tesla, but not ready to commit, consider renting one.


Rental EVs Are More Common Than Ever

Rental EVs Are More Common Than Ever

Want to try a Tesla? Rental EVs may be the way to go

Hertz’s recent commitment to purchase more EVs has us thinking about how rental EVs will affect the larger market.

Rental companies purchase about 10% of new cars in the US each year, meaning their decisions have great sway outside of their rental niche. 

Photo of Tesla rental EVs in front of a Hertz retail location.Hertz Is Bullish on Rental EVs

Hertz has made the biggest media splash regarding EVs. In 2021, the company announced it would purchase 100,000 more Teslas. And then last month, it announced its intention to buy 65,000 Polesar EVs

The rental company intends to have 20% of its fleet made up of EVs by the end of 2022. 

The Rest of the Industry Is Too

Enterprise Holdings, which owns Enterprise, National, and Alamo, has also committed to expanding its EV fleet to meet customer demands. The company has said customers are using the rental company to try out EVs for the first time.

What Do Rental EVs Mean for the Rest of Us?

A Carmigo branded line illustration of a lightning bold.As we said earlier, rental companies purchase a significant chunk of the US new car inventory each year. 

But this isn’t necessarily a case of, “As the rental companies go, so does the marketplace.” In fact, large purchases by rental companies have typically corresponded with a devaluation of that model. Plus selling to rental companies typically brings in less revenue and dilutes the resale market. 

But, since electric vehicles are an emerging trend, partnering with rental companies could be a strong strategic move for EV companies. 

Research shows two major barriers to entry for new consumers are a general lack of knowledge and trust in the new technology. 

So now might actually be the time for you to try out a couple of EVs without paying loads of cash for a Tesla.s


They’re Birds? They’re Planes? They’re Flying Cars!

They’re Birds? They’re Planes? They’re Flying Cars!

Suzuki and SkyDrive Are Revolutionizing the Automobile with Flying Cars

A photo of SkyDrive's prototype flying car.

We don’t need roads where we’re going. Because the future is officially here with the development of flying cars.

Suzuki and Japanese startup SkyDrive are bringing us the future we were promised with a car that flies. 

The vehicle is a two-seat, electric-powered flying car, which they previously referred to as an “electric vertical takeoff and landing aircraft” or eVTOL. As the name implies, the vehicle can vertically ascend and descend with impressive stability. 

This flying car is special because it’s electric, fully autonomous, and features a completely vertical takeoff and landing. We don’t have all the details yet, but previous concepts show a two-seat design with eight propellers on what looks like a small fighter jet cockpit.  Basically, it looked like a really big drone — a people drone.

This model was designed to lift up to 1,100 lbs and fly at about 62 mph. Regardless of what the final model will look like, but since it’s a flying car we can expect it to look futuristic.

This is just the beginning

Japanese startup and Suzuki are teaming up to split the research, development, and marketing tasks. 

Suzuki released a statement that said the collaboration with SkyDrive will “start consideration to collaborate in areas of business and technology that include R&D, planning of manufacturing and mass-production systems, development of overseas markets with an initial focus on India, and promotion of efforts to attain carbon neutrality.” 

SkyDrive is also a member of Japan’s Council for Advanced Air Mobility and is the only firm in Japan to have successfully undertaken manned test flights. This is only the beginning of this air-bound journey.

Flying cars are a huge gamechanger for the automobile industry, but it will also be a significant factor in regard to carbon-neutral air mobility. 

Ambitions for flying cars are sky-high

A line-drawing of drone-like flying car.SkyDrive also intends to unveil an air taxi service during the 2025 World Exposition in Osaka, Japan. The company is already discussing potential routes for the expo, which include eight destinations and twenty flights an hour. This advancement will be a cornerstone of the Japanese government’s plans to solve mobility problems through air travel. 

Ahead of this exciting possibility, SkyDrive has already made waves by becoming the first company to succeed in a manned test flight, with a computer system that was also responsible for flight stability and safety. 

Now with the help of Suzuki, SkyDrive will be able to take things several steps further. For Suzuki incorporating flying vehicles will become the brand’s fourth mobility category, along with automobiles, motorcycles, and outboard motors. This also comes with a plan to invest $1.37 billion in its factory, located in India, to produce electric vehicles and batteries. 

There is definitely much more to expect from the Suzuki X SkyDrive dream team. As for now, we’re looking forward to seeing more flying cars. 


F1 Hits the Las Vegas Strip

F1 Hits the Las Vegas Strip

F1 to speed through the streets of Sin City next year.

Line illustration of the new F1 track in Las Vegas

After four decades, F1 is finally returning to Las Vegas, and the track looks dope!

Our marketing strategist, Austin Hille, actually drove a racecar on a racetrack in Las Vegas. So he’s basically an F1 driver at this point. He can’t stop talking about this race. 

In fact, yesterday’s marketing plan was, “Did you know they go so fast that their tires don’t generate enough grip if the car is going below 100 miles per hour? That’s literally the definition of built for speed.”

Look at This Track

The track design for Las Vegas will run down the actual Las Vegas Boulevard, which reminds us of the street course in Monoco (think Iron Man 2).

Image showing track layout for the 2023 F1 race in Las Vegas, which will see drivers flying past casinos.

The track announced for the 2023 F1 race in Las Vegas features a straightaway that will send drivers flying down the iconic strip.

Drivers will take 50 laps around the track 3.8-mile track that will send drivers flying past all of the city’s neon landmarks.

For anyone interested in F1’s history in the US, Autoblog did a great job summarizing it.

The Most F1 City in America

This is the third US stop on the circuit, and if there was ever a city built to host an F1 race… well it’s Miami. But Vegas is definitely the second-most F1 city in America.

Speaking of Miami, the premier racing circuit will make its debut in the Magic City next month (tickets sold out in one day). F1 has also raced in Austin, Texas for the last 10 years.

Three races don’t seem like very many, but no other country hosts more than two in a single season. 

Additionally, races in Mexico City and Montreal will bring F1 racers to North America five times in 2023. 


EV Models Galore: Everyone Announced EVs in March

EV Models Galore: Everyone Announced EVs in March

And some of these EV models look like spaceships

A line-drawing of a bullhorn in Carmigo branded colors.It feels like new EV models are announced every single day. There are so many we can barely keep up. 

Thankfully Car and Driver put together a list of something like 60 EV models we can expect to see in the next five years, and it doesn’t even include some of the announcements made in the last month.

And even though that list was published this year, it’s missing a ton of new EVs.

There were at least a dozen new EV models announced in the last month or so. Here are a few we’re excited about:

Wait a minute, Doc. Are you telling me you built an EV?

For instance, DeLorean tweeted a teaser for a new EV earlier this week.

The car is slated to be on display at the Pebble Beach Concours d’Elegance on August 21. But according to this tweet, the new DeLorean will officially be unveiled three days earlier. 

Honda has been busy.

Honda announced partnerships to make both high-end and affordable EVs. 

And they’ve teamed up with GM to create EVs for people currently priced out of the growing market. The new project aims to develop a line of compact crossovers that retail for under $30,000.

And the Japanese automaker is also partnering with Sony to create a much more expensive line of electric cars for those who enjoy the finer things in life. 

But that’s not all (for the luxury EV models).

Maserati, Rolls Royce, and Mercedes-Benz have all entered the chat. 

The Rolls Royce, which was announced last year, completed winter testing a few miles south of the arctic circle last month.

Meanwhile, Maserati announced its line of EVs called Folgore (Italian for lightning). 

And Mercedes-Benz teased the unveiling of its EQS, the first SUV in its EV stable. 

What Do These EVs Mean for You?

The more the market transitions to Electric Vehicles, the more EVs we’ll see on the resale market, meaning they’ll begin to be even more affordable.

At the same time, it’s good to see auto manufacturers innovating on both the economy and luxury ends of the spectrum. Making the latest technology available to all is key to innovation. 

But the changing EV landscape isn’t just for EV enthusiasts. As automakers switch production lines to electric vehicles, we suspect the demand for used combustion engine vehicles will continue to tick up. And as we all know, reduced supply and increased demand drive prices up. 

Take good care of that combustion engine and it could make you some serious money one day. When you’re ready to sell, give us a chance to sell it for you.