The end of the model year for dealers usually occurs at the beginning of the fourth quarter of the calendar year. What that means for consumers is that just before the end of the year, right around November and December, dealerships offer end of model year sales in attempts to move out excess inventory and make room for the next year’s models that are already in production. For many customers in the market for a new vehicle, this is one of the best times of the year to buy. Additionally, because dealerships are eager to sell, buyers can have better luck than usual in talking down the prices on year end models.
Trading In Vs. Selling It Yourself
Another benefit of buying a year end model vehicle from a dealership is that it also allows customers to trade in their old vehicle for money off the purchase price of a new vehicle. For some customers, this saves both time and money. Selling your old used vehicle yourself might bring in more money than you would get on a trade-in, but you also then spend more time trying to find a buyer for the vehicle.
Buying New Vs. Buying Used
Both new and used vehicles have drawbacks and benefits. Used vehicles simply by nature of being used rather than new are more likely to have mechanical or other problems. As a buyer, you can’t know for sure how the previous owner or owners treated the vehicle or how well it has been maintained throughout its lifetime. On the other hand, however, used vehicles cost significantly less than new vehicles and won’t depreciate as quickly. New vehicles, while less likely to experience problems, also lose a large amount of value the minute you drive them off the lot. Still, they’re covered by manufacturer warranties, which can provide peace of mind to car buyers who worry about breakdowns and expensive repairs.
Negotiating a Good Deal
At the dealership, negotiating a good deal often depends on your ability to walk away. If you aren’t afraid to say no to a price you don’t like and really, truly walk away from the deal, you’ll be more likely to negotiate the price you want. Buying a model year end vehicle affords you more negotiating power than buying a newly produced vehicle. Know in your mind how much you want to spend, and start by offering less money than you plan to spend at first.