Tap to Read ➤

Best Month to Buy a Car

Omkar Phatak
The timing of your purchase can have a substantial effect on a car's price. Ergo, it is prudent to know about the price dynamics of the automobile industry and the best month of the year, to purchase a car.
When it comes to shopping or buying assets like cars, timing matters, if you wish to buy it at a price you want, rather than at a price, which the seller decides. You can have your desired model, even though it's a bit beyond your budget, if you only wait for the right time to buy it.
To understand what could be the best month to buy yourself a car, one needs to know about the production cycle of the automobile manufacturing industry and the business conducted by dealerships, all over the year.
Another thing to understand is how the price of a car is determined. If you understand what factors affect the price, then you may be able to determine which is the best month for purchase, at a substantially discounted price.
The price of a commodity is a function of demand and supply. Understanding simple economics can help you decide which would be the best month of the year, for a purchase. Prices are high when the supply is low and demand is high. On the other hand, prices are lower, when the supply is high, while the demand is low or poor.
When you plan to buy a new car at a lower price, than which is on offer in boom time, you need to wait for a time when demand drops. Another thing to take into consideration, is the dealership you approach.
Buying a new car is a major financial decision for many, and if you want your dream car, you need to do your homework about automobile sales. If you understand the sales process, deciding which is the best time to buy, will be obvious

The Best Months

The period is September, October, and November of every year. There are many reasons why these months may be the right time for a discounted purchase.
One prime reason is that new car models, for the next year, are generally rolled out in these months. That is why, there is a pressure on dealerships, in this period, to sell the old models and make space for new ones that are coming in.
The longer the older models linger with dealerships, more is their price drop. That is why, in this period of October and November, they need to sell these models fast. Every salesman is under pressure to look good on the performance charts, when it comes to selling cars at the end of the season.
You can take an advantage of this situation in bargaining for the price. Smaller dealerships are more under pressure than big ones, due to the lesser space of accommodation for cars. October or November end gives you a high probability to buy your car at a discounted price.
Of course, a lot depends on the choice of the car too. Select your model and study its selling history, with an eye on price fluctuations. Also, consider the other factors that affect prices.