Buying a car is a big decision. From saving for a down payment to calculating the real cost of an auto loan, smart buyers know that it is important to consider every financial aspect of such a major purpose.
For that reason, taking time to consider when the best time is to buy a car and get a good deal is also important. From the day of the week to the month in the year, there are times that it is statistically better to buy a new or used car.
In fact, by leveraging when you buy a car with proper financial preparation for the purchase, it’s possible to find the vehicle you want but get it at a more affordable price. So, before taking a test drive, take some time to consider when you can get the best possible deal by considering these three broad timelines for buying a new car.
Best Day of the Week to Buy a Car
For most car shoppers, the weekend is the best time to look around since they don’t have work, so there is time to spare.
So, it would make sense that the weekend is a busy time for the dealership.
All hands are on deck trying to make sales and convince buyers to upgrade to a newer model or more expensive trim. The large volume of buyers during weekends can also make the process feel rushed as sales staff try to close one deal so they can move on to the next.
Monday is different.
Most buyers have returned to work, meaning you are more likely to get a salesperson’s undivided attention, allowing you to ask more questions and better evaluate the different options. Especially if they had a successful weekend of sales, most dealerships have the time and space to negotiate on Mondays.
Banks are also open on Mondays, so it’s possible to talk to someone about your auto loan during the sales process.
Buy a Car at the End of the Month or Year
The end of the month, year, or model year all represent another opportunity to cash in on deals as salespeople and dealerships work to meet quotas and turn over their inventory before manufacturers send in a new shipment.
Each of these times represents a specific opportunity to find a car at a good price that is worth noting:
End of the Month or Year
Regardless of what they are selling, sales professionals who work on commission often have their eye on end-of-the-month quotas.
Both sales staff and the dealership itself can earn incentives by selling a particular number of vehicles by a specific time, usually by the end of the year, quarter, or month.
Therefore, while they may not say why some “great deal” just appears, this is a likely reason.
End of the Model Year
The end of the model year presents yet another opportunity to take advantage of deals on previous model years.
As manufacturers get ready to send in next year’s stock, dealerships are keen to unload the older versions to make way for the new. This is especially true when a model has undergone a major revision for the new model year.
Dealers will want to really focus on the improvements made to the new model, which means that you are helping them out, in a way, by getting rid of the evidence of the older version of the car.
Special Consideration: Holiday Weekends
This final best time to buy a car is probably the most well-advertised. Specific holidays such as New Year’s Eve, Black Friday, and three-day weekends like Memorial Day and Labor Day are typically quite popular.
Dealerships will often advertise specific deals offered during these times of the year, so it’s important to look at all the potential deals in your area.
However, in contrast to buying on a Monday, dealerships will be quite busy during this time. You can speed up the buying process by monitoring auto loan rates and even getting pre-approval before you arrive by working with your lender in the weeks leading up to the sale.
Is Buying Used Cars Any Different?
Most of these tips focus on the ebbs and flows of buying a new car directly from a dealership.
However, there are some other items to keep in mind if you want to buy a used car instead. Mondays are still a great time to buy, the model year still matters, but in a different way. Specifically, used car prices drop the most three years after it was launched.
This is because most lease terms are 36 months long and, as these leases expire, and leasers trade up, dealerships must manage the influx of that older model.
The Secret to Buying a New or Used Car with Ease
Timing is certainly important when it comes to a vehicle purchase, but so, too, is financial preparation.
For many car shoppers, picking out the right car or truck is hard enough on its own. However, affording that vehicle is also important. Discussing your financial situation with a trusted lender and getting an auto loan (or at least a pre-approval for one) before setting foot in a dealership is an important best practice.
At HRCCU, our lending professionals are standing by today to discuss your vehicle and other financial aspirations. Contact us today to learn how we can help you take advantage of the best time to buy a new car.
