Buying a new vehicle is an almost monumental event for most people. It is a long, tiring and usually painful procedure that sometimes culminates in feelings of regret. If a buyer has these annoying feelings of regret, they generally come from a hunch that he overpaid for his new car.
The smartest car buyer goes out of his way to get the most value for his business. By weighing critical factors, such as the needs of your own vehicle and the offers of the concessionaires of the competition, the buyer might think that he has his bases covered. However, one factor that is usually overlooked to get the best possible deal is time.
So, When Is the Best Time to Buy a Car?
There are many broad and overlapping factors that you must consider when considering the best time to buy a new car. Considering how these factors complement and interact with each other will provide you with the information you need to determine the best time to buy.
1. The purchasing environment
There are exterior conditions such as the tsunami in Japan, gas prices and the general economic mood that have a profound impact on the automotive market. But considering these external conditions and the effect they have on the automotive market will enable you to obtain the best possible offer.
For example, you are a subcontractor and need a van to transport your tools and equipment from one site to another. The last two years have shown us that it is a practical expectation that gas prices will increase in the spring through the summer. The increase in fuel prices creates a greater demand for more efficient cars, which cuts the demand for vans. The lower the demand for a car, the more likely you are to obtain a better deal.
2. Manufacturer incentives
Manufacturers offer incentives at different points throughout the year to keep inventory moving. Manufacturers basically offer two different types of incentives: 1) buyer incentives, such as discounts and discounted financing terms; and 2) incentives to dealers, which effectively reduce the cost of dealers buying the vehicle from the manufacturer.
3. End of month
The end of the month is usually a good time to purchase a car because both individual sellers and dealers have incentives to meet the fees. These quotas are almost always executed on a calendar month calendar, which means that as the end of the month approaches, both individual sellers and dealers are willing to lower prices and provide better incentives to move inventory.
4. End of model year
The end of the model year is one of the best times to buy a new vehicle as many of the above factors converge at the same time. As the model year approaches, manufacturers and dealers must empty their old inventory to make room for new cars. This usually means that manufacturers provide incentives to both buyers and distributors. All this can be great deals for the buyer. Click here.
5. End of car’s design cycle
Manufacturers renew the designs of their models every year. Perhaps the just sweeter time to purchase a new car than at the end of the model year is the end of the model year when the manufacturer is launching a new design. All of the above applies, only more aggressively.
The best time to buy a new car is when some of these factors align with your requirements. It is not realistic to think that the next time you need to buy a car all these factors will come together by chance. But at the same time, most people are in the automotive market for about a month or more, so most people have some discretion when they purchase.