As for which day of the week you should go in, "Monday is usually the best day of the week to buy a car" since "showrooms will be the least busy," said MarketWatch. However, Tuesday or Wednesday can also be a good bet, especially in areas where dealerships aren't open on Sundays, said Edmunds.
The rule recommends making a 20% down payment on the car, taking four years to return the money to the lender, and keeping transportation costs at no more than 10% of your monthly income.
The best days to buy a car usually fall earlier in the week. If a dealer is open on the weekends, that tends to be the busiest time, so you're likely to get less attention from salespeople and buying a car can take longer. Mondays and Tuesdays are better, because fewer people shop for cars on those days.
“Mondays and Tuesdays tend to be less busy, as many people are occupied with work and other weekday commitments. By visiting the dealership on these days, you're more likely to receive prompt attention from salespeople and have more negotiating power.
The Best Days of the Week: Midweek Wins
Most people do their car shopping on weekends, which means dealerships are busier and less likely to offer significant discounts. To get the best deal and personalized service, consider visiting the dealership on a weekday, preferably midweek.
Is December a good time to buy a car? Yes. According to Edmunds transaction data, December has traditionally had the highest discounts from the manufacturer's suggested retail price (MSRP) for both new and used cars.
Best months to buy a car
On the other hand, December scores highly on both frequency and size of discounts — it's the month with the highest average discount and third highest frequency of deals — making it your best bet overall to find a good deal.
Rental car rates, like hotels and airlines, fluctuate based on supply and demand. When you rent in advance, you can get better prices on certain days of the week and even at certain times of day. Some say that one of the best days to rent a car is on a Saturday.
How much should you put down on a car? A down payment between 10 to 20 percent of the vehicle price is the general recommendation.
To apply this rule of thumb, budget for the following: 20% down payment: Aim to make a 20% down payment on your new car. 4-year repayment term: Choose a repayment term of four years or less on your auto loan. 10% transportation costs: Spend less than 10% of your total monthly income on transportation costs.
The two peak seasons for auto sales occur during the spring, from March through the end of May, and from September through November. During these periods of peak demand, cars' average sale prices can rise by 10% to 15%.
Car sales on Sundays are banned in 12 states: Colorado, Indiana, Illinois, Iowa, Minnesota, Missouri, Maine, Mississippi, Louisiana, New Jersey, Pennsylvania, and Wisconsin. Other states have similar laws, but they don't completely restrict sales.
On Mondays, it's recovery time. They're a little depressed because the weekend's over, and maybe they're working a little slower on account of weekend recovery. Bring your car in during the middle of the week — on a Wednesday, for instance — and you won't have to compete with weekend realities.
Since January is the slowest month for sales, it is much slower for luxury cars to sell. Because of this, it may be more challenging for the most expensive ones to be taken out of your parking lot. To sell out the most expensive ones in your inventory, January is the best time to offer promotional deals to the buyers.
Experts say that 2024 will be the best year to purchase a new car since 2019. As interest rates slowly drop throughout the remainder of the year, payments will become more manageable. Don't overlook manufacturer rate promotions, as they can save you thousands of dollars.
Mondays. Monday can be the best day of the week to buy a new car. Other potential shoppers are often at work, so representatives at car dealerships are focused on anyone who comes in the door.
Dealers generally do their best wheeling and dealing at the end of the calendar year. Automakers usually have big incentives to move the metal during the Christmas season because some dads and moms make the new car purchase their family's holiday gift. For some dealers, December is one of their biggest sales months.
At the end of the month or quarter.
That means when the end of the month comes around, car dealers are far more eager to make a sale than they are at the start of the month.
NerdWallet recommends spending no more than 10% of your take-home pay on your monthly auto loan payment. So if your after-tax pay each month is $3,000, you could afford a $300 car payment.
Dealers typically handle the issue of slow-moving inventory by incentivizing buyers through discounts and deals. They may also try to convert a new car into a lightly used one by making it a “loaner.” As a last resort, they may end up selling the car at auction.
Buy it online
If you don't want to talk to someone when buying a new car, online sellers have you covered. Check out a no-haggle buying site, like Carvana, or use a car-buying app. These sites operate on a what-you-see-is-what-you'll-pay model. You can also get a trade-in estimate without talking to anyone.
Unfortunately, it isn't an exact science because it changes from car to car and dealer to dealer. However, you can use the guideline of 2 or 3% on less expensive brands, and 5 to 10% on luxury brands as a rule of thumb.