Ever heard that you should buy a car at the end of the month or year-end? There’s a reason why they’re considered the ideal times for purchase. Let’s find out more.
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Why are the end of the year or end of the month the best times to buy a car?
Dealerships work on sales quotas – usually monthly, quarterly, and yearly targets. As these deadlines approach, sales teams become highly motivated to close deals. This is why end-of-period timing is usually advantageous for car buyers.
Historically, October through December have been the prime months to find deals on a car. By the end of the calendar year, dealerships are clearing out current models and pushing to meet annual goals. Cars sold in late-year months often come with bigger discounts and incentives compared to other times. In fact, industry data shows that the week between Christmas and New Year’s frequently has the highest amount of new-car incentives of any period – dealers are eager to offload inventory before the new year.
End of the month (or quarter) is another smart time to buy. Even if it’s not December, the last week of any month is good because salespeople may slash prices to hit their monthly quota, even if it means a smaller commission. A MarketWatch report notes that competitive deals often emerge in the final days of a month or quarter when reps are “more motivated to slash sticker prices” to reach their targets. In essence, a dealership that’s one sale away from a bonus is more likely to give you a bargain on that sale.
Combining these two strategies can yield the best results. For example, shopping during the last week of December (end of month, end of quarter, and end of year all at once) can maximize your chances of a steep discount. Many car buyers who time it right have traditionally gotten great deals during this year-end crunch. Just be aware of a trade-off: by late December, inventory might be more limited. Popular models could be sold out or only available in limited trims/colors. As experts note, you may need to be flexible with your choices when shopping at the very end of the year, since many people are hunting for deals then and the selection can dwindle. If you find a car on the lot that meets your needs, though, you’re likely to get an excellent price.
Here are the best times to buy a car:
- End of the Year (Oct–Dec): Dealers offer larger discounts and year-end clearance incentives to meet annual sales goals. December in particular often features the biggest price cuts (with some deals rolling into early January).
- End of the Quarter/Month: In the last few days of a month or quarter, sales teams push to hit targets. You’re likely to find competitive deals as salespeople become more willing to negotiate on price. Even if quotas have been met, many reps get bonuses for surpassing goals, so there’s still motivation to make a deal.
- Combined Timing (Late December or Fiscal Year-End): When the end of the month and end of the year coincide, such as the final week of December, it’s often a golden opportunity for buyers. Dealerships are clearing out old stock and scrambling to boost year-end numbers – a perfect recipe for bargains.
Should you wait for the end of a model year to get a better deal?
When new model-year vehicles are about to arrive, dealers heavily discount the “last year’s” models to make room for new inventory. For example, if the 2025 models are hitting the lot in the fall of 2024, a 2024 model on the lot becomes an outgoing model. Dealerships will be eager to sell those older-model-year cars and often advertise clearance prices on them.
In the past, new models tended to debut in the late summer or early fall, meaning August–October was prime time to snag the outgoing model year. These days, manufacturers launch new models throughout the year, and some even as early as spring or summer. The timing isn’t as strictly defined as it once was, but the principle remains: once the next year’s model is announced or released, current models lose a bit of their luster in the showroom. That’s when you strike.
Keep an eye on news from the manufacturer about release dates. If you hear that the latest version of a car you like is coming soon, know that the current model might get marked down. As Kelley Blue Book editors have noted, the old wisdom still applies: if the outgoing model meets your needs, you can likely get a great deal on it when the new model hits dealerships. For instance, an SUV that lists for $30,000 might be had for several thousand less once its successor is on the premises.
However, it’s also important to note that popular models may sell out before new ones arrive. If it’s a hot-selling vehicle, waiting for the new model year might mean your preferred configuration is gone. So, balance your desire for the latest features with your budget. If having the absolutely newest model isn’t a priority , buying at model year-end can be one of the smartest timing moves to save money. Dealers get the sale, and you get essentially the same car for less.
Which holidays offer the best car deals?
Car commercials often hype holiday sales events – and for good reason. Holiday weekends and special sales days can be excellent times to buy a car. Dealers and manufacturers frequently roll out promotions around holidays to boost sales. Some of the best car deal holidays include:
Black Friday
The day after Thanksgiving is known for retail bargains, but even car dealerships offer significant discounts and incentives during Black Friday promotions. You might find limited-time doorbuster deals on certain models or extra manufacturer rebates at this time.
End-of-Year Holidays (Christmas to New Year’s)
The week between Christmas and New Year’s Day is often the best week of the year for car deals. Many dealerships hold Year-End Sales Events. In fact, J.D. Power data indicated that new-car incentive spending peaks in this final week of the year. New Year’s Eve and New Year’s Day specifically have been shown to offer the highest chances of a bargain on a used car as well (47.9% more deals than average, according to one analysis). It’s a perfect storm: end of month, end of quarter, and end of year, plus a holiday vibe that puts everyone in deal-making mode.
Three-Day Weekends (Federal Holidays)
Dealerships often advertise big sales for long weekends like Memorial Day, Labor Day, Presidents Day, Martin Luther King Jr. Day, and Fourth of July. These are popular car-shopping times with plenty of promotions on both new and used vehicles. For example, President’s Day and MLK Jr. Day in January/February often come with winter clearance deals (MLK Day is actually one of the top days for used-car deals, with ~43% more deals than average). Memorial Day and July 4th sales may focus on new model releases and mid-year clearances.
Other Notable Days
Some data even suggests days like Halloween or Veterans Day can have above-average deals for used cars. And don’t overlook New Year’s Eve itself – salespeople working on Dec 31st know it’s their last chance to boost the year’s numbers, so they might be extra motivated to cut a deal.
But why do holidays bring deals? It’s often because a lot of buyers are off work and ready to shop, manufacturers support sales with special financing or cashback offers, and dealerships capitalize on the increased traffic. Just keep in mind that holiday sales events can be busy. Showrooms might be crowded on big sale days, meaning you’ll have competition. It’s wise to do your research and even test-drive cars before the big holiday if possible. That way, when the sale hits, you’re ready to move quickly on the vehicle you want. Also, be prepared for some hustle and bustle at the dealership – perhaps go early in the day to avoid the peak rush.
Is it better to buy a car on a weekday or on the weekend?
If you have the flexibility, aim for a weekday. Weekends, especially Saturdays, tend to be the busiest time at dealerships. This means salespeople are juggling multiple customers, the F&I (finance and insurance) office has a backlog, and you might spend a lot of time waiting. With a crowd of buyers around, dealers have less incentive to knock dollars off the price – if you won’t pay, the next person might. In short, weekends favor the dealer by sheer supply-and-demand of shoppers.
On the other hand, weekdays – particularly Mondays and Tuesdays – are usually quiet. “Monday is usually the best day of the week to buy a car since showrooms will be the least busy,” notes MarketWatch. With fewer customers vying for attention, you can get more quality time to negotiate and ask questions. Sales staff, not distracted by a line of other buyers, often give weekday shoppers more focus. This can translate into a smoother, quicker transaction and possibly a better price. In fact, data shows that car-buying on Monday or Tuesday tends to be more efficient: you can complete the deal faster and potentially get more personalized discounts, simply because the dealership is trying to drum up business on a slow day.
If a dealership is closed on Sundays (common in some regions due to “Blue Laws” or local custom), then Tuesday or Wednesday might be your sweet spot. Many people will show up first thing Monday after a Sunday closure, so Tuesday/Wednesday see the absolute lowest foot traffic. The key takeaway is to avoid the rush: a salesperson who hasn’t sold a car in days may be extra eager to make a deal with the mid-week customer in front of them.
Of course, not everyone can take a Tuesday off to buy a car. But even if you must shop on a weekend, consider going later in the evening on Friday or early on a Sunday (if open) when crowds are thinner. And regardless of day, try to avoid end-of-day on Saturday – that’s often crunch time for sales teams dealing with the week’s busiest influx.
When is the best time to buy a used car (vs a new car)?
Many of the same timing principles for new cars apply to used cars, but there are a few extra twists. Dealerships often stock up on used inventory when new-car sales spike – for example, a big year-end push of new car sales means more trade-ins coming onto the used lot. This creates an abundance of used cars that dealers will want to sell quickly. As a result, the end of the year and winter months can be an especially good time for used-car deals. In fact, studies by automotive research firm iSeeCars found that November through February are the best months to find a deal on a used vehicle. During these colder months, demand drops and dealers cut prices to move cars off the lot. January and December stand out: one analysis showed January had about 41% more used-car deals than average, and December had about 33% more. These are significant advantages for patient shoppers.
The same holiday effect we discussed for new cars also benefits used-car buyers. New Year’s Eve/New Year’s Day isn’t just great for new car bargains; it ranks #1 for used cars too, with nearly 48% more deals than average. Martin Luther King Jr. Day (mid-January) is a close second for used cars (about 43% more deals). Why? Likely because by January, dealers are laden with vehicles traded in during the holiday sales flurry and year-end. They’re motivated to discount these used cars and clear space.
Another factor unique to used cars is tax season. Early spring (around April) is when many people receive tax refund checks and consider buying cars. Some experts note this can actually create a mini buyer’s market in late March to early May – dealerships anticipate the influx of customers with tax refunds and may roll out deals to capture that business. As The Wall Street Journal reported, when people get their refunds and start shopping, dealerships compete by offering promotions to attract those customers. That said, not all data agrees on how great spring deals are. Statistically, April through August tend to have fewer deals on used cars compared to winter, likely because overall demand is higher in spring/summer. The upshot: if you’re shopping used, you’ll generally do better in the cold months than the warm months.
Whether new or used, one universal tip is don’t wait until you’re in a pinch. If your old car is on its last legs, start looking before it completely dies. You’ll have more freedom to choose timing. It’s better to buy a car when you still have the luxury of time and transportation, rather than being forced into whatever deal you can get because you urgently need a vehicle. When you’re not desperate, you can walk away from a bad deal and wait for a better one. This is especially important for used cars, where conditions and selection vary widely – give yourself time to shop around.
What else should you consider about timing and market conditions?
Timing isn’t everything. Market conditions and your personal situation play big roles too. For instance, in recent years we’ve seen unusual market swings: supply chain issues (like the microchip shortage) led to low inventory and record-high prices for both new and used cars. In such times, even the “best” time of year might not yield great deals simply because there aren’t many cars to sell or discounts to give. As of early 2025, industry reports noted that inventory was improving but still not back to pre-pandemic levels, and discounts were only about half of what they used to be. In other words, if the market is running hot (high demand, low supply), you might not save as much even buying in December versus, say, June – the overall pricing might be inflated year-round.
Also keep an eye on interest rates and economic factors. A rising or falling auto loan rate can influence the effective cost of your purchase. For example, if interest rates are very high today but expected to drop in a few months, the “best time” for you might be when you can get a cheaper loan, not just when the sticker price is lowest. Conversely, if you have a trade-in, its value might decline over time. Some analysts point out a trade-in is worth more now than it might be later as the used market normalizes. In short, there’s a balance: wait for car prices and financing to improve, but don’t wait so long that your trade-in or personal situation worsens.
Finally, remember there’s no perfect, one-size-fits-all moment. The best strategy is to combine general timing wisdom with your own needs. Do your research on pricing for the specific make and model you want. If you notice that local dealers are pricing a car much higher than its book value (Kelley Blue Book, Edmunds, etc.), it might not be a great time to buy that model. Patience and preparation are your friends. Know the fair price range for your desired car, get your financing lined up, and be ready to pounce when the right deal appears. That might be at 7:00 PM on a quiet Tuesday in December, or it might be after the next interest rate drop – but with the tips above, you’ll recognize the moment when it comes.
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FAQ: Answering Common Car-Buying Time Questions
Q: What is the best month to buy a car?
A: The best month is typically December. Dealerships often provide the deepest discounts and incentives in December as they rush to hit year-end targets. In fact, many experts say the last week of December can have the lowest prices of the year. Other strong months include October and November (also part of the year-end push). If you can’t wait until year’s end, try for the final days of any month – those can be almost as good for scoring a deal.
Q: Is it better to buy a car at the end of the year?
A: Generally, yes. End of the year (late fall into December) has long been known as the prime time for car deals. Dealers are clearing out inventory and highly motivated to meet annual sales goals. You’ll often see more manufacturer incentives like cash rebates and special financing around November-December. One thing to note: by late December the selection of models, colors, or options might be thinner, so you may need to compromise on your exact preferences to capitalize on the savings. But in terms of price, year-end is hard to beat.
Q: What holidays offer the best car deals?
A: New Year’s Eve/New Year’s Day is arguably the top holiday period for car deals – it’s right at year-end and dealers are in clearance mode (this period has nearly 48% more used car deals than average). Other great holidays include Black Friday, which extends through Thanksgiving weekend, and major three-day weekends like Memorial Day, Labor Day, Presidents Day, and Martin Luther King Jr. Day, when automakers often run big promotions. Many buyers also find Fourth of July sales worthwhile. Essentially, any well-advertised holiday “sales event” is worth checking out, but the late-year holidays (Thanksgiving through New Year’s) tend to bring the steepest discounts.
Q: Should I buy on a weekday or a weekend?
A: If possible, buy on a weekday. Mondays and Tuesdays are typically the best because dealerships are least crowded then. With fewer customers, you get more personal attention and potentially more flexibility on pricing – sales staff are keen to make a sale on slow days. Weekends, in contrast, are busy. You might face more competition on a Saturday, and salespeople have less bandwidth to negotiate. So, a quiet Tuesday morning could save you money (and time) compared to a hectic Saturday afternoon.
Q: Is December or January better for car shopping?
A: December is better for new car bargains, while January can be great for used car deals. In December, you’re at the absolute end of the sales year – dealerships are pushing to hit yearly quotas, and automakers often pile on incentives for new vehicles. By January, those year-end new car sales have resulted in lots of trade-ins, so dealerships in January/February often have abundant used inventory they need to sell. According to analysis, January edges out December for used-car deal frequency (helped by New Year’s sales events). So if you’re after a new car, December is king. For a used car, late December through January is a fantastic window. Either way, you’re looking at winter as the prime season to save on car purchases.