The economy has been wheeling and dealing so far in 2014, it has been driving the GDP to higher highs, which is strengthening the recovery. While each month shows better numbers in all sectors for consumers, the automotive industry being one of them, August has always historically been the month to visit a new car showroom.
Here’s why – a quick study of car sales for the past 3-5 years shows the average price for buying a vehicle in August is more than $150 lower than any other month. On average, that’s $500 less than the other 11 months.
August is the best month to buy a car or truck because dealers are cleaning out older inventory as the new models roll in,”
VP, Koons Automotive Co.
What may be more surprising is that average prices in August are $1,000 less than December! Even though conventional wisdom suggests December is one of the best months of the year in which to buy a new car, the data suggests it’s actually one of the most expensive.
So Why is it better in the “Dog-days” of summer?
“August is the best month to buy a car or truck because dealers are cleaning out older inventory as the new models roll in,” said Mirza Thomas VP of Koons Automotive Company. “This change-over means late-model vehicles are priced to be quickly sold off the lot. August is definitely the time to buy if you’re looking to save money.”
Let’s just take this concept for a test drive around some of Koons.com web sites; here are a few of the incentives for the month:
- 2014 – Ford Focus – 0% APR for 60 mos. PLUS $2,000 Bonus Cash.
- 2014 – Toyota Prius – 0% for up to 60 months + UO TO $4500 cash back
- 2014 – Chevy Silverado – UP TO $4,000 Cash Back.
- 2014 – Kia Sorento – 0% for 60 PLUS $1,500
I would say that as a representative sample? August has some large savings offered!
How much are you likely to spend for a new car this August? According to data from the last 4 years, the average August transaction price was $28,950. February, with its Presidents Day sales, is second, at $29,109
So you’ll definitely find good deals on new cars in August, that’s a given, but you’ll also be able to find some good buys on used cars, especially three year-old models from turned in leases. The automotive site Edmunds.com reports the average price of a used car at franchise dealerships was down $313 for all of 2013 to $15,791.
Let’s get right down to it: To clean my car, or not to clean my car… right? That is the question. If you clean your car before you trade it in you may see more of the dings and scratches. But if you don’t, all you’ll do is stave off the inevitable, the technician eventually sees all of the dents and scratches and then you’ll look like you have something to hide.
If you are a smoker, you may want to spend some extra cash and take some extra time to eliminate the smell of smoke from the interior
Why go into the sale of your car with doubt surrounding you? Some people think, “Why should I clean my car? It’s old and used and it’s not like I am going to get more for it, right?” That is not necessarily true. In fact, studies have shown that a salesman will consider giving you more money for a trade-in if you take the time to clean it beforehand. By having your car detailed inside and out, you show the car dealer that you’re serious about getting a good deal and that you have nothing to hide. Don’t get me wrong, other items do factor in to getting the right price for your car, but cleaning it is one thing that will definitely help.
The 5-Points to Clean Car Nirvana:
- Walk around your car before trading it in and think about the first impression it will make when a dealer takes a look at it. As you walk around your car, take note of the biggest problems that may leap out at you. Did you notice it the car had worn tires, filthy rims, torn upholstery or minor dents and scratches? Whatever you notice first will be the same things the dealer notices, so fix these items.
- Remove all the personal items from your car before trading it in. This will make it easier for the dealer to visualize how your trade-in will be sold. If it’s clean and uncluttered with car seats, garbage, and loose debris they will be able to see its value easier. Make sure you remove window clings, decals, and bumper stickers. Clean the trunk and glove box as well.
- Have the car detailed inside and out before trading it in. A clean car shows the dealer that you took care of it, and it’s less likely that you’re hiding problems. Have the carpeting and upholstery shampooed, the wheels and tires cleaned, and dust and grime removed from the nooks and crannies in the dashboard.
- Repair any minor dents or scratches. All dealers deduct money on your trade-in value for these. You can very easily have these items fixed in advance at a local body shop or with a good buffing.
- Take your car in for service and maintenance before trading it in. By having the oil changed and the fluids filled, you’re showing the dealer that you cared about the engine, and that it’s in excellent condition. Steam cleaning the engine compartment is also a good idea.
Tips & Warnings
- If you are a smoker, you may want to spend some extra cash and take some extra time to eliminate the smell of smoke from the interior through the use of ozone treatments, deodorizers and disinfectants.
Most importantly, bring your car to a reputable dealership like Koons for a no pressure fair evaluation of its trade-in value. We love cars and we love giving our customers the best service and pricing around, you can trust our pricing and our advice and you know when you drive away from the sale that you got the best deal in town. ♛