A vehicle is no small purchase. Many people will research for hours before making a decision, comparing manufacturers, models, and even dealerships. When doing your research, don’t forget to answer this vital question: when is the best time to buy? By timing your purchase for a sales event, you can save yourself thousands of dollars on the ticket price or interest payments over the life of your loan.
Between inflation and high vehicle costs, it’s more important than ever to save on large purchases like a new car. By learning the best times to shop for a new car, you can stack the odds in your favor that you’ll be driving off the lot with the car of your dreams at a comfortable price.
During the week, especially Mondays or Tuesdays, many other would-be shoppers are working, leaving dealerships empty. Take advantage of this downtime to have the representative’s undivided attention. Ask questions and negotiate deals without worrying about being interrupted.
You may also benefit from coming in after a dealership had a busy weekend, where closed deals may have been higher, and goals have been met. The more relaxed atmosphere can work in your favor and representatives may throw extras into the deal to close a sale on a slow day.
The worst time to buy a car is during the weekend, where dealerships are crowded and if you don’t buy, someone else will.
Both dealerships and individual salespeople have periodic goals to meet, which often comes with bonus incentives. These sales periods are often monthly, quarterly, and annually, and if quotas have not been met by this point, auto dealers may be more inclined to negotiate prices and extras.
The end of the model year typically doesn’t line up with the end of the calendar year – new models begin releasing as early as Labor Day. Keep an eye out for reviews about new cars which tend to include the following year’s date attached to the model name.
Expect deeper discounts for models about to be discontinued, majorly redesigned, or slow-selling. The dealership must make room for new inventory and these vehicles will need to go.
If you don’t mind not getting the latest version of a car, you can save big by getting last year’s model. Sometimes the differences between annual models are negligible or cosmetic, though you may need to be flexible when choosing color or features.
Keep in mind that a vehicle will be considered one year old once its model year has passed, which means you will have lost an additional year’s depreciation more quickly than you may realize.
There are multiple major sales events for auto dealers during the year, and some are better than others.
While you are able to secure financing at the dealership for your new vehicle, you may not have much say in your lender. By getting a pre-approval before going shopping, the loan terms are already decided, and you are able to shop with a specific price point in mind. You’ll know the amount you’ve been pre-approved to borrow, the interest rate, and the length of the loan term.
Submit your pre-approval application online today!
If you’re looking to buy a preowned vehicle, don’t forget that American Heritage members can get a free* CARFAX Report about the vehicle before signing. This comprehensive report will give you these details and more:
*Limit 2 per member. All offers subject to change without notice.