system
A chat on subreddit /r/wallstreetbets
human
&gt; They pay retail for shit vehicles, which I'm 90% positive is a rogue appraiser trying to get paid (they get paid flat fee).

Its been their business model from the start, attempting to take over the entire used market by operating at a loss on the front and making it up on backend. I've heard their per copy was very high (over 2k, some near 2500, this coming from people who worked F&amp;I at Carvana previously).

Then there are the rumors they're buying up all auction inventory then funneling it through another company and reselling the vehicles at auction again to drive up pricing to push other dealers out.

Im wondering where they're getting the money for this from.
gpt
Used car market was really inflated by the chip shortage. They had a big inventory and that shit was printing money in 2020.