What's the cheapest time to buy a car?

The cheapest time to buy a car is typically the end of the year (October-December), especially late December, as dealers clear out old models for new inventory and push to meet annual sales quotas, with other great times being the end of each month/quarter (March, June, Sept, Dec) and the slow month of January, plus weekdays (Mon/Tue) and evenings when it's less busy, notes.

What month is the cheapest to buy a car?

The cheapest months to buy a car are typically December, due to year-end sales goals, and January/February, when dealers clear out old models and face less foot traffic, with late summer (August/September) also being good for trade-ins and new inventory. Shopping at the end of the month or quarter (March, June, September, December) offers great deals as staff try to meet quotas, with December often providing peak holiday incentives and discounts. 

What is the 8% rule when buying a car?

The 20/3/8 rule is a guideline that suggests you put 20% down on a car and repay the loan over three years. Applying the rule correctly will also require your monthly payment and car expenses be 8% or less of your income.

What's the worst month for car sales?

The slowest months for car sales are typically January and February, following the busy December holiday season, as consumers recover financially and face cold winter weather, leading to lower demand and fewer shoppers, though this also creates great deals on leftover new models and used cars for savvy buyers. August and summer months can also see dips due to vacations, but winter (Jan/Feb) is consistently cited as the slowest period for overall sales volume.
 

What credit score is needed for a $30,000 car?

To qualify for a $30,000 car loan, most lenders prefer to see a credit score of at least 660 to 700. That being said, your credit score is only one part of the equation. Lenders will also consider: Your debt-to-income ratio (how much you owe compared to how much you earn)

BEST TIME TO BUY A CAR: 2024 Discounts, Incentives, MSRP Deals: The Homework Guy, Kevin Hunter

How much would a $70,000 car payment be?

A $70,000 car payment varies significantly but expect roughly $900 to $1,300+ monthly for a loan, depending on term (60-72 months common) and interest rate (e.g., 6-9% APR), or $700-$1,200+ for a lease, factoring in down payments, miles, and money factor, with total auto costs (payment, gas, insurance) potentially reaching $1,000-$1,500+ monthly for a comfortable budget. 

What is a good FICO score to buy a car?

A good FICO score for buying a car is generally 670 or higher, falling into the "Good" (670-739) or "Very Good" (740-799) range, which qualifies you for better interest rates and terms, though scores above 660 (Prime) secure favorable financing, with lower scores still potentially getting loans but at higher costs. 

What are three things to never tell a car salesperson?

Let's look at some things to keep under your hat while you explore the lot.

• "I Don't Know Much About Cars"
• "My Current Car Is on Its Last Legs"
• "My Lease Is Almost Up"
• "I'm Going to Pay Cash!"
• "I Already Have a Car Loan Lined Up"
• "I Love This Car"
• "I've Never Bought a New Car Before"

What is the red flag rule for car dealers?

The Red Flags Rule (the Rule), enforced by the Federal Trade Commission (FTC), requires automobile dealers to develop and implement a written identity theft prevention program designed to identify, detect, and respond to warning signs—known as “red flags”—that indicate that a customer or potential customer could be ...

When should you not buy a car?

Worst Times

Warmer weather and tax refunds bring buyers out in droves. With so much demand, dealers are far less likely to be in the mood to lower their prices. Plus they still have several months before the new models flood the lots. At the beginning of a new model year (assuming you want next year's model).

What is a red flag when buying a car?

Use your best judgment; if a car looks or feels wrong, don't buy it. Look out for excessive rust, a worn tailpipe, or illuminated dash lights. During your test drive, pay special attention to how the car handles and sounds. If something's off, ask the seller and double-check the title and history report.

What is the 6000 car rule?

The Section 179 tax deduction gives vehicles under 6,000 pounds that are used for business purposes a deduction cap of $12,400 and $30,500 for vehicles over 6,000 but under 14,000 pounds.

What is Dave Ramsey's rule on car buying?

Dave Ramsey's core car buying rule is to pay cash for a reliable used car, avoiding car loans entirely because cars lose value, and ensuring the total value of all your vehicles doesn't exceed half your annual income, emphasizing that things that depreciate shouldn't be financed. He advocates buying what you can afford outright to prevent debt, suggesting you save up and buy a modest, dependable vehicle instead of a new car that rapidly loses value.
 

What time of year do dealerships offer incentives?

Quarter-End Sales (March, June, September, December)

Dealerships work to reach quarterly goals. Extra rebates and lower interest rates may be available. Shopping during these months can mean better offers on popular models.

How do I negotiate a car price?

To negotiate a car price, first research the fair market value (using sites like Edmunds/KBB) and get pre-approved financing, then focus only on the total "out-the-door" price, not monthly payments, by getting multiple dealer quotes and using them as leverage, keeping the process detached and professional, and being prepared to walk away if the deal isn't right. 

Is it better to finance through a bank or dealer?

It's often best to compare both, as dealers offer convenience and special rates while banks/credit unions might provide lower base rates, especially with good credit; dealers have access to many lenders, potentially beating your bank, but can mark up rates, so get pre-approved by a bank first to compare offers for the best deal and transparency. 

How to win against a car salesman?

Car salespeople use various tactics to pressure buyers into purchasing vehicles they may not afford. Staying focused on the total cost of the car, interest rate and fees can help you avoid making a purchase you'll regret. Don't be afraid to walk away if the purchase doesn't feel right.

What is illegal for a car dealership to do?

In California, like many other states, it's illegal for dealerships to commit fraud or make material misrepresentations to sell a car. This includes advertising a vehicle as “clean” or having no accidents when, in fact, it has sustained significant damage. Unfortunately, this happens more often than you'd think.

How to deal with a dealer when buying a car?

So, let's explore some practical ways to help you negotiate like a professional at a used car dealership.

1. Research the Car's Market Value. ...
2. Set a Clear Budget. ...
3. Shop Around First. ...
4. Visit During Strategic Times. ...
5. Start with a Reasonable Offer. ...
6. Stay Calm and Respectful. ...
7. Focus on the Total Price. ...
8. Ask for the Out-the-Door Price.

How to not get screwed by a car dealership?

Make sure that the Total Cash Price on the written contract matches the price that you were told. If the prices are different, you may be the victim of fraud. If the dealership refuses to honor the representations made to you by the salesperson, refuse to sign the contract and walk away from the dealership.

Why do car salesmen always talk to their manager?

The ploy, “Let me go talk to my manager" is called a T O or a turn over. Most dealerships require that a salesperson do a T O before letting the customer leave, in other words, if they cant close the deal then they turn it over and let someone else try.

How to not put money down on a car?

Some ways to avoid a down payment on a car loan include improving your credit, trading in your current vehicle, comparing lenders, getting a cosigner and negotiating loan terms. It's generally recommended to put some money down when buying a car using an auto loan, but it's not always required.

Does pre-approval hurt my credit score?

Credit card pre-approval typically doesn't affect your credit scores because it usually involves a soft credit inquiry. Also known as a soft pull or soft credit check, a soft inquiry doesn't impact your credit scores. It's simply a way for issuers to determine whether you may qualify for their credit card offer.

How much would a $70,000 car payment be?

A $70,000 car payment varies significantly but expect roughly $900 to $1,300+ monthly for a loan, depending on term (60-72 months common) and interest rate (e.g., 6-9% APR), or $700-$1,200+ for a lease, factoring in down payments, miles, and money factor, with total auto costs (payment, gas, insurance) potentially reaching $1,000-$1,500+ monthly for a comfortable budget.