10 Reasons to Buy a Car at the End of the Year

So it’s time for a new car. You’ve done your research, know what down payment you can afford, and have picked out the perfect make and model that meets all your specifications. When is the best time to take the leap and purchase a new car? There are sales all year round and buying a car has a reputation for being a stressful, haggle-filled experience that most people dread. If you wait until the end of the year, though, and take advantage of a few other tips, your car buying experience can be a smooth ride, filled with savings. Missouri Central Credit Union is here to help along the way when you start to think about financing. Here are a few reasons why the end of the year is the best time to save on a new car.

1. Making room for newer models. Dealerships are making deals on current models to make room for next year’s models that have already been released. According to autotrader.com, the end of the year is ideal because the dealerships don’t want older models taking up space that could be used for newer cars coming in.
2. Year-end sales goals. The sales team is usually trying to hit a sales goal. Many dealerships have a yearly sales quota and if you can wait until the last week of December, you can reap the benefits of this last chance to make a sale.
3. End-of-the-year sales events. While most automakers run sales throughout the year, for what seems like every holiday, several dealerships have end-of-the-year sales events that usually generate the greatest savings of the year.
4. If you are looking to purchase a smaller car. According to U.S. News and World Report, midsize and compact cars are better deals in November, when there is a higher demand for larger crossover and SUVs.
5. Treat yo’self! You can use extra holiday cash to make a larger down payment. A larger down payment can lower the total financing amount, meaning you can pay your car off sooner and roll that monthly car payment into another account.
6. Black Friday. Shopping malls and big box stores aren’t the only places to take advantage of Black Friday sales. Dealerships also partake in the shopping holiday, so make yourself a leftover turkey sandwich and head over to see the car dealer this year if you want a great deal on a car.
7. Baby, it’s cold outside. Colder weather elicits thoughts of sweaters and hot chocolate by the fireplace, not wandering around a dealership looking at cars. People aren’t as interested in buying a car during the colder months, so dealerships need to compensate for the drop in sales.
8. End of the day negotiation. You will have more leverage in negotiations at the end of the day, when the sales team is ready to go home. It may not be ideal to wait that long, but sales staff are more likely to do what it takes to make the sale and get home at the end of the day.
9. Combine and save. You can combine several of these tips to really capitalize on the savings. Going to the dealership at the end of the business day on December 31 could generate huge savings and might be worth being late to your New Year’s Eve party.
10. Let MCCU help. When it is time to buy a new car, check out all of MCCU’s auto financing options. Missouri Central Credit Union doesn’t have a penalty for early repayment, so if you can make a higher car payment one month, you can pay your car loan off sooner. They don’t charge an application fee and have excellent rates so if you are thinking about buying a new car, fill out an application today for loan pre-approval.