LouieAuto · Dealer Intelligence Network

THE LOUIE REPORT

Auto Retail Intelligence, Powered by AI

Published every Tuesday  ·  Issue #48  ·  Week of June 16, 2026

Vol. I  ·  Issue #48  ·  Your Dealership  ·  June 2026

The #1 thing GMs miss every Monday: how many deals died on Saturday night after 6pm. Louie catches every one.
— Louie's Report Engine  ·  Your Dealership

What It Looks Like

Issue #48 — June 24, 2026

LOUIE REPORT — Issue #48 · Tuesday, June 24, 2026
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 LENDER ALERT
Westlake Financial tightened FICO floor to 535 (was 520) effective Monday.
Deals 520–534 previously approved under the old program now route to CAC.
Action: Strengthen structure before submitting thin-file deals to Westlake.

 RATE WATCH
2-Year Treasury: 3.69% (↑ 12bps from last week)
10-Year Treasury: 4.23% (↑ 8bps)
Prime: 7.50% (unchanged)
Impact: Expect 0.15–0.25% advance rate tightening at variable-rate lenders
in the next 10–14 days. Front-load this week.

 MARKET PULSE
Consumer Sentiment (UMich): 49.8 — lowest in 8 months
Auto loan 60-day delinquencies: +0.4pp MoM (Experian)
What this means: Subprime volumes softening. Lenders getting selective.
Strengthen every deal in the 550–600 range before submitting.

 THIS WEEK'S EDGE
Best approval windows: Tuesday–Wednesday at Westlake (+34% vs Thu–Fri)
Ally Financial end-of-month: quota pressure → aggressive until June 30
Capital One LTV watch: Keep all deals ≤ 110% LTV for max approval odds
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Powered by Louie · louieauto.com

Section A

This Week in Auto Retail

🏈

July 4th Window Opens — 18 Selling Days to Run It Right

The window between June 16 and July 4 is historically the second-highest gross-per-unit period of the year for independent dealers. Nationally, truck front gross runs $400–$700 higher in this window vs. May baseline. Dealers who pre-price inventory by June 20 and activate SMS campaigns by June 25 outperform by 19% in appointment-to-close ratio vs. dealers who react week-of. Flag your aged inventory for pre-4th front-end reductions now — 45-day-plus units need to move before the buyer window closes.

Fed Holds — But Used Market Reacts to Forward Guidance

The June FOMC held the federal funds rate steady. The real signal was the tone: Powell's language shifted from "patient" to "data-dependent" — which markets read as one cut possible in Q4, not two. Used auto rates at indirect lenders have already repriced +18 bps on Tier 2 programs since May 1 in anticipation of a longer hold. Dealers with rate-sensitive BHPH portfolios: your portfolio cost of capital is rising faster than your advance rates. Review your purchase price ceiling before buying at the lane this week.

Routing

EV Glut Still Clogging Used Lots — Who's Buying and at What

Used EVs are sitting an average of 78 days at independent dealers nationally — 47% longer than comparable ICE vehicles. Model 3 and Model Y are clearing fastest at $21K–$26K. Bolt and Leaf below $17K are moving in secondary markets. The trap: dealers buying EV at wholesale book and pricing at retail aren't accounting for the 25–30% faster depreciation curve on 2021–2023 model years as newer-gen inventory arrives. If you're buying EV, underbook 12% from MMR.


Section B

What Louie Is Seeing

Anonymized Cross-Dealer Patterns

PATTERN 01 / LENDER ROUTING SHIFT

Three dealers in the Southeast network shifted routing priority off Westlake Tier 3 (post-tightening) toward CAC and Meridian for 520–535 FICO apps this week. Average approval rate on the rerouted deals: 71% vs. 44% through the old path. Front gross held within $180 PVR of prior Westlake deals. The routing engine updated the lender weight automatically — zero dealer intervention.

PATTERN 02 / BK DISCHARGE WINDOW

BK PACER data shows 389 Chapter 7 discharges filed in TX-Western District between April 1 and June 10 with vehicle need flagged. Dealers targeting post-discharge buyers in the 30–90 day window are seeing 18% appointment-set rates vs. 6% on cold used-car leads. The window is predictable: Chapter 7 from filing to discharge averages 110 days. File date is public. Run the math.

PATTERN 03 / SUMMER SERVICE SPIKE

Service drives across the network saw a 23% RO volume increase the first two weeks of June vs. May baseline — consistent with annual summer prep pattern. Dealers who sent a personalized service recall alert via SMS converted at 34% vs. 8% for generic email. Average RO value on recall-triggered visits: $610. If you haven't sent your summer service push, this week is the window.


Section C

This Week's Dealer Win

The BK Lead That Closed in 9 Days — And Why It Closed Fast

A BHPH dealer in Texas pulled a BK PACER filter: Chapter 7, Texas Western District, discharged April 1–June 1, vehicle need flagged. The list came back with 31 names. Called the top 12 by score. Eight answered. Six set appointments. Four showed. Three bought. Gross per unit: $4,400. The fastest close — 9 days from first call to funded — was a nurse, 28, who said no other dealer had called her since her discharge. She didn't negotiate on price. She just wanted someone who would approve her. That's the BK window. It's predictable, it's public, and almost nobody works it.

— Anonymized  ·  BHPH Dealer  ·  Texas

Composite scenario from trial deployment. Details generalized to protect dealer identity.

Example Issues

What Past Issues Would Look Like

Illustrative previews, not real historical publications — The Louie Report hasn't shipped its first real issue yet.

May 27, 2026  ·  Issue #44
May Week 4: Strong Gross, Slow Funding
Avg. front gross up $340 · 3 lenders tightening
Lender Watch
June 3, 2026  ·  Issue #45
Memorial Day Hangover: What the Data Said
+18% walk-in volume · Service spike 23% RO
Market Signal
June 10, 2026  ·  Issue #46
Rate Hold Fallout: How Dealers Are Adjusting
Fed holds · Westlake Tier 3 tightens · +18 bps
Fed Watch
June 17, 2026  ·  Issue #47
EV Inventory Crisis: Who's Buying and at What Price
78-day avg. sit · $21K–$26K sweet spot for Model 3
Inventory
June 24, 2026  ·  Issue #48  ·  Current
Westlake Tightens, CAC Steps In: Routing Shift This Week
Lender floor ↑ to 535 · Rate Watch: 2yr +12bps · UMich 49.8
Lender Watch