When is the best time to buy a new car? January? End of the Financial Year? Christmas?
Did you know you could save thousands of dollars depending on the time of year you buy a new car. This week we decided to look at how you can use the time of year to take advantage of car sales. So with a pre-approval for a loan ready, let’s dive in.
End of the Month
Dealers will aim to reach their monthly sales targets at the end of the month. You could take advantage of this by negotiating a cheaper deal for the car you’re after.
End of the Year
Dealers will try to sell as much stock in December as possible. At the turn of the new year, all the current year models will become last-year’s models. Naturally, the value of the models will decrease. We advise buying the vehicle you want, after Boxing Day (26th December). This is because the Christmas period is traditionally an expensive time of year. All remaining stock is likely to offered at discountable prices as part of clearance sales in January.
HINT: Be aware of when the vehicle’s warranty expires. Dealers will factor in the vehicle’s warranty into the final price.
In January, dealers will hold clearance sales to sell last-year’s vehicle models. You can buy last year’s model as a new car.
Not all vehicle models are replaced at the turn of the new year. Some vehicle models are replaced throughout the year. If you are aware of when a newer model of a particular vehicle is set to be launched, you might be able to secure a discounted priced for the model set to be replaced.
End of Financial Year
The End of Financial Year (EOFY) is another opportunity dealers will seek to reach their sales targets.
End of Quarter
Many dealers will use the change of seasons or annual quarters to promote a sale.
Limited Time Offers
Some dealers advertise sales for a limited time or on public holidays.
HINT: Don’t rush into a deal. Buying a vehicle is a significant long-term purchase and investment.
Times to Avoid Buying a Vehicle
- Start of the month
- Before Boxing Day (Christmas Period)
- Release of new model vehicle
The information contained in this blog is accurate only at the date of publication.