Is December the best time of year to buy a new car?
I'm in the market for a new car. I know, instant depreciation and could save a lot of money buying used.
But I like to buy new and offset the depreciation with all the money I save on car payments once it's paid off.
I buy a good reliable make, like Honda or Toyota, something that can last 250K miles easily, while still having lower repair costs than a lot of cars do at 100k miles, then I drive it for 15 to 20 years until it needs a repair that costs more than the car is worth.
But I digress.
Most dealerships have "Holiday sales events" during the holiday shopping season, between black Friday and Christmas Eve.
Then they have their "year end event" during the last week of the year between Christmas and New Years.
My understanding is that those two sales events where dealerships will really want to sell as many of the 2019 models as they can to make more space for the 2020 models, especially since 2020 models for most cars are being sold already.
Yet I'll still be getting a brand new car that will last just as long as if I bought a 2020.
If I wait until December, or at least until after Thanksgiving, will I arrive at the dealership to find lower sticker prices, and them willing to negotiate an out the door price for a lower amount than if I bought it at any other point in the year?
Or would other factors make it all a wash, leading me to be no worse off if I got the car here in September?
- 2 months ago
- Anonymous2 months ago
New Years Eve is the best day for several reasons. One they are trying to get rid of the current years stock as quickly as possible and are more open to making a deal. My grandpa did this and so would my Dad. I cannot tell you how many times growing up my parents would start car shopping in December eventually making the purchase on NYE, with cash.
- TheRealLv 52 months ago
Most people don't notice this, but dealerships have sales every month. Manufacturers have big ad campaigns 4-6 times per year. "March Madness!!!", "Summer Sales Event!!!", "Year End Closeout!!!", etc. The reality is that the price remains the same. You might get a little bit more in regards to rebates, but that's it. "Prices are lower than they've ever been!!!". Yep, by one dollar. Now it's a true statement.
Please understand that dealers do not need to "make room for the new model". New model releases are staggered from January through December. Dealers don't just order 30 new cars, and then realize that they need to sell 30 cars by the end of the weekend. Allocations are determined months in advance, and numbers are figured by using many years worth of sales figures and trends.
Waiting until December may save you a few hundred dollars, but you will have far fewer vehicles from the previous model year to choose from.Source(s): 20 years retail auto sales experience.