Today I have got this eMail from John Meyers, an ex-car salesman. It's not about hockey but gives us more money to spend ...enjoy!
Knowing the Best Time to Buy a New Car Can Save You Big Money
If you know the best time to buy a new car, you can save a ton of money on the next car that you buy.
For most people, buying a new car tends to elicit a variety of emotions: the thrill of looking for a new car, the dread of having to deal with a car salesman, the concern at finding the money.
This has lead to an awful lot of "folk lore" methods which are supposed to save you money. However,it has left one big factor unexamined; when is the best time to buy a new car.
There is one little piece of so called wisdom about this, but honestly it's not really right anyway. So rather than spend time dispelling the myths, lets get right to the meat of the matter.
You need to understand a little bit about how car dealerships work in order to understand why knowing the best time to buy a new car is important. Car dealerships, or at least car dealerships that are selling new cars, are tied to the car manufacturers.
So, basically, a dealership that sells Ford is, in some way, a part of the larger Ford Company.
The manufacturer has numbers that they want the dealership to hit. These numbers are pretty key in determining the kind of deal you will get from the new car dealer.
If a dealership sells above the number that the manufacturer demands, the dealership gets a bonus. This can be on the order of tens of thousands of dollars, and the bonuses are determined monthly.
What this means for you is that the time of month. is the biggest factor. determining when the best time to buy a new car actually is.
Dealers will, of course, deny this up and down, saying that they have to sell cars all month long. But, the truth is, the best odds for you getting the best deal, happens on the last business day of the month.
If a car dealership is ten cars short of their bonus numbers, on the last day of any month, they are going to work hard and bend over backwards to get anyone who walks on to that lot; to drive away in a new car. This can lead you to getting the kind of crazy deals that occasionally come along.
Which makes perfect sense, if you think about it. If the dealership loses a thousand bucks on the car that they sell you but that sale qualifies them for ten thousand dollars in bonuses, they are still way ahead on the deal.
This makes the last day of the month the absolute best time to buy a new car.
Most people think that the period just before the new models come in; is the best time to buy a new car. Actually that is somewhat of a myth.
Yes, the dealers need to get the "old model year" cars gone and make a pretty good deal to get the new "old model year" gone, but the savings that you are going to get are false savings.
You see the very minute you sign the papers and drive out of the dealers drive way, your new "older model car" has become a year old. So guess what? Your brand new car has already depreciated one year in value and you haven't had the car 5 minutes yet.
So remember, the best time to buy a new car is the last day of the month. If you are going to get a great deal, a deal that makes it seem like the dealer might need to be committed, this is the time when you are going to get it.
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