Why You Should Wait Until Fall to Buy a New Car (2024)

FAQs

Why should you wait to buy a car in fall? ›

In November, the average price of a new car was the highest it's ever been. Waiting for the market to cool off might save you some money.

Best seasons to buy a car

The time around the New Year, in particular, is regarded as a good time to buy since it benefits from the end of monthly, quarterly, and yearly cycles, falls around a holiday, and you can still find some of last year's models at deep discounts.

Now, however, may be the right time to upgrade that older model, industry watchers say. "2024 is probably the best year since the pandemic to buy a new car," Mark Schirmer, director of industry insights at Cox Automotive, told ABC News. "2021 and 2022 were really difficult years.

If you're considering buying an older model, it's wise to wait for the most updated version to roll out. “While you might be able to land a deal on the older model, it's wise to consider holding out for the updated version. It's very rare that an all-new version of a model comes out, and it's $5,000 more,” he says.

New car prices are expected to remain near current levels as we move through 2024. In a best-case scenario, prices could trend downward slightly over the summer.

You should look for a vehicle from the outgoing model year that has generous incentives. According to Edmunds data, December has the year's highest discount off MSRP — 6.1% on average — and the highest incentives. Automakers and dealerships want to close the year with strong sales.

Auto loan rates are expected to stop rising and possibly start descending in 2024, but they'll likely remain elevated in comparison to recent years (alongside the broader interest rates environment).

“Traditionally the tax return season is an important time of year in the vehicle market.” Looking forward through 2024, Smoke predicted, “For consumers looking to buy a vehicle, it's the best year by far since 2019.”

Credit the federal government's vehicle import laws, which allow the importation of vehicles that are at least 25 years old "without regard to whether it complies with all applicable Federal Motor Vehicle Safety Standards." This age is based on the date of manufacturing, meaning that a given car can only be imported ...

What is the best month to buy a car? ›

What Is the Best Month to Buy a Car? In addition to certain times of the week or holidays, some months are better to buy or lease new vehicles or purchase used cars than other months. In general, May, October, November and December are the best months to visit the car dealership.

Individual vehicle prices aren't going down, but the average car price is overall. That's because automakers are mixing up vehicle types and trims, according to analysts at AlixPartners. Combined with incentives improving, average transaction prices could fall 7% by 2025.

Your Current Car Keeps Breaking Down

But if you make many mechanic trips, it's probably time for something new. Frequent breakdowns are not only frustrating, but they can also be expensive. If you're spending more money on repairs than you would on a monthly car payment, it's probably time to start shopping around.

A new car may cost you less in terms of repairs, at least for the first few years. By the time the vehicle starts to need major repairs and upkeep, you may be ready to trade it in. If you pay cash, a used car may cost you more for maintenance but less in interest charges on a loan.

Standard cars in this day and age are expected to keep running up to 200,000 miles, while cars with electric engines are expected to last for up to 300,000 miles. Keeping a car that long has a lot of benefits, including the fact that it could save you a great deal of money.

As mentioned, October through December is generally the best time to purchase a car. According to Edmunds, "if you need a car in October and want to get the best deal, you might want to wait until December, even though you'll run the risk of having fewer cars to choose from."

Best Month to Buy a Car

November: November savings can be greater than October for two important reasons: dealers are motivated to reduce their current year inventory to make way for the new models, and November is when dealerships gear up for Black Friday sales.

The best time to buy a car is between October and January 1. The month of May is another great time to buy a car because it's when dealerships start the summer buying season.

In the fall.

Not only are old models being moved out, but fall is also a time when most people start thinking about holiday bills – and that means they're less likely to consider taking on a car loan. Fewer sales and lower demand means more opportunities for savings for you.