Price of Ownership

Dealership prices are often inflated by as much as 10%. Even if they aren't, it's possible their costs have gone up and they're asking for more money in order to cover those expenses. So while a dealership might sell a vehicle for $26,000, their actual cost may be closer to $22,700. If you can get financing from somewhere else on better terms (e.g., via bank), then's likely better to wait until later in the year when prices drop to take advantage of deals.

Special Financing Deals

Many deals are time-limited, so you'll need to act quickly if you want them. You can check out current offers at car deals websites like auto trader.

Marketing Promotions

Sometimes manufacturers offer special deals on specific models (e.g., for Black Friday). If there's a particular vehicle that strikes your fancy, it might be worth taking advantage of these kinds of promotions.

Credit Availability

New cars lose their value very rapidly, which makes financing difficult at times (i.e., people will only finance new cars that they plan on keeping for several years). This means the availability of credit could influence your purchase decision.

Interest Rates

The interest rates you can get could also affect your decision. If the rates are low, then it could make sense to buy now instead of paying monthly for a few years. Of course, if the rates are high, you'll likely save money by waiting until later in the year (when they're expected to drop).

Other Factors

There will be many other factors that influence whether or not this is a good time for you to buy a car. Your age and credit score may affect the kinds of promotions and offers available to you. And perhaps most importantly, there are no one-size-fits-all answers as your individual situation will differ from someone else's entirely.

5 Reasons To Buy a New Car

1. New cars make fantastic investments

Over the course of your life, you'll probably spend around $450 000 on transportation (although many people spend much more). If you're like the majority of Americans, when it comes time to trade in your 5-year-old beater for something new, you'll sell to another private party. And that's exactly how one makes the best possible investment on their money. When you sell to another person, like yourself, they'll pay what your car is worth. And that means more money in your pocket at the time of sale than if you traded it into a dealer or sold it through an ad service like AutoTrader (although trading in is also great for some people).

2. New cars are more fuel-efficient

One of the biggest reasons to buy a new car is that they're just plain better for the environment. This isn't something AutoTrader takes into account when ranking vehicles, but it's still an important factor that you should consider when you decide what to buy. Our experts have found that newer models are more fuel-efficient than their predecessors, meaning that you'll spend less money on gasoline over the lifetime of your car. And for those non-enthusiasts out there who will never have an interest in squeezing every last mile out of a tank of gas, this means that newer cars cost less to run!

3. Newer models can have more modern features

Have you ever wondered why, when all that's really changed are a couple of small design aspects, some cars command thousands of dollars more than similar models? The answer is simple. Cars with newer designs have more modern features which can include touch-screen navigation systems, heated seating, backup cameras, and Bluetooth connectivity. These are all items that you would have to pay extra for if your car didn't have them, so it's a great deal when they come standard with the purchase of a new vehicle.

4. Your individual car will probably go down in value

Since new cars are designed to last longer, chances are that your personal car will actually lose value over time. This is a little puzzling at first, but it actually makes perfect sense when you think about both the value in the original purchase and what that money could be invested into. Car manufacturers have a lot of overhead, so it's in their best interest to design cars so they depreciate over time. Your car will still be reliable for years to come, but it won't be worth as much once you're ready to trade it in.

5. When you buy a new car, somebody will take care of it for you

Since your new car is still covered under the manufacturer's warranty and has very low (if any) mileage, dealerships and service centers are no longer charging full price for their services. And since they want to keep your business, you can expect better deals on oil changes and tire rotations than you would get if you were driving an older car with higher mileage. The only downside is needing to bring it in more often, but hey – that gives you plenty of time to check out all the new features!

Conclusion

There's a lot that goes into the decision of whether or not to buy a car now, and it will help you make an informed choice by doing your research first. If you still have any questions after this, feel free to drop us a line. We look forward to hearing from you!