Timing isn't everything; but if you've decided you want (or need) a new car, the month, day, and even time you go in and complete the deal can affect how good of a deal you get. There are two sides to thinking about this: First you need to decide whether it's the right time for you to get a new car, and secondly, we have some valuable advice to follow on when exactly you might find that better deal. If you’re wondering when is the best time to buy a car, you’re in the right place, and soon, you might find yourself test driving a new car.
Is the best time to buy a car the same for everyone?
The best time of year to buy a car may vary based on personal circumstances that overrule conventional wisdom. Assuming you've already decided that a new car—versus a used car—is best for you (and that's a separate debate altogether), you need to ask yourself some important questions: What does a car mean to you? Is it an extension of your image, or is it purely an appliance? If you're a salesperson, realtor, or other professional and having the right newer vehicle is important for your professional image, then don't wait. You should be considering leasing anyhow.
How do I know the best time to buy a car for me?
If you're planning to buy, you should consider the state of your current car. Has it been reliable? Would you feel better with a new vehicle before or after winter? Does your current vehicle get poor gas mileage that would be offset by getting a new, more fuel-efficient car sooner? In any of these cases, it might not be worth waiting for the few hundred dollars you might potentially save by buying at the right time.
Leasing vs. buying
Whether you’re leasing or buying, it’s important to keep an eye on interest rates. Interest rates are a more obvious factor when buying, but they do affect manufacturer-sponsored lease deals and incentives. Shopping carefully for the best car deals could save you money every month, whether you’re paying down your loan or making your monthly lease payment. Buying a car rather than leasing may also be more complicated, since when buying, you might be more tempted by car dealer options.
Fall vs. spring
Each fall, dealerships clear out vehicles from the current model year and welcome in truckloads of models for the new year. It can, for those who aren't as familiar with auto industry, seem like it should be one of the best times to buy. But for a number of reasons, it's not. One of them is that auto sales head into a natural upswing in the fall, as those new model-year vehicles show up, and shoppers head in to see them. Additionally, with families back from vacations, heading into a new school year or new contracts, and then ramping up to the holiday season, there's no shortage of potential customers.
Secondly, if you buy a car from the outgoing model year in the fall, even though you're likely to get a somewhat better deal on the lot, you're likely to take an even bigger hit on depreciation the moment you sign the sale papers and drive off the lot. Unless you plan to keep your car for a very long time—and the deal that you get on an already-dated model outweighs the momentary plunge in price—you're best to wait until a time when the dealership needs your business.
When is that? Based on analysis of pricing data from TrueCar—based on hundreds of thousands of vehicle sales, nationwide—you're likely to get the best deal on a new vehicle in the spring. May in particular could be the best month, as the stock of vehicles at dealerships is typically strong, and it's traditionally been one of the make-or-break times of the year for vehicle sales, before sales take a seasonal sputter in the summer.
Other times of the year, major holiday weekends like Memorial Day are additional windows of opportunity—because dealerships often have extended hours to move metal, and the pressure's on with many other potential customers out for a long weekend.
Other factors
As we've outlined in previous posts like this one, knowing when to shop and get the best deal is complicated, and there might not be a single right answer to the question when is the best time to buy a new car. However, the typical level of discount you get from a new vehicle could differ by one percent or more of the total vehicle price, depending on the time of the month you shake hands.
Generally (and using data-supported advice from the vehicle-pricing site TrueCar), we can stand by the following advice on when you're more likely to find the best deal (hint: weekday evenings aren't that time). The end of the month is better, typically. Major holiday weekends are windows of opportunity. Finally, Monday mornings are also a good time to shop.
Financing is one final piece to the question of the best time to buy a new car. If you're ready to jump into a new car, keep an eye on interest rates with your bank or credit union. Just a slight ride in the going rate could substantially bump up your monthly payment—or require a longer loan than you intended. If you think that rates are on the way up, don't put this off too long.
Remember that, all this considered, there's one other “best time” to go shopping for a new car, and that's after you've done some research—on potential models, pricing, and specs—and you can do it all here in our New Cars section.
Frequently Asked Questions
What time of year are cars cheapest to buy?
Looking for the best buy in auto sales? Generally, spring is probably the best time of the year to get the best deal, because dealer stock is typically strong and it's often considered a make-or-break month for the industry, before summer. In the fall, as the current model-year vehicles are getting cleared out and replaced by new ones, you'd better be getting a deep discount off sticker price, as the plunge in resale value—that you see the moment you drive off the lot—is even steeper.
What month do car prices drop?
Is it a good time to buy a car? According to experts, cars are most often available with significant discounts in December, and these discounts tend to carry through January and February.
Is it better to wait until the end of the month to buy a car?
Generally, yes. Experts advise that it may be easier to get a good deal on a new car at the end of the month.
What's the slowest month for car sales?
If, like many other shoppers, you’re wondering what’s the best month to buy a car based on sales rates, experts advise to shop during December, January, and February.
When is the right time to buy a car financially?
Your personal finances can absolutely play a role in whether or not it’s the best time to buy a car. If you’re not in desperate need of a car, it’s wise to wait until you have a down payment saved up and you qualify for low interest rates. However, if your current car is costing more in repairs and gas, it may be wise to run the numbers and decide if it’s better for you financially to buy a car sooner.
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