25 April 2023
Are you in the market for a new vehicle but dragging your heels, hoping to get the best deal possible? Though waiting could be strategic, it could also hold you back and—ultimately—cost you more than it saves.
Why? Many strategies are based on misconceptions no longer relevant in 2023, following a global pandemic that transformed the auto industry.
To help you separate fact from fiction, we’re busting three of the most common car-buying myths below.
MYTH: The best time to buy a car is at the end of the year
FACT: Higher demand for new vehicles (due to the semiconductor shortage that led to fewer cars produced over the past few years) has made taking advantage of year-end deals more challenging. As many dealers transition to new models as early as the end of summer, some even earlier in recent years, August and September are often better times to search for a good deal.
Waiting will likely make it harder to get what you want, especially if you're unwilling to compromise on color or features.
MYTH: The end of the month is the best time to hardball a deal
FACT: Much like the old "visit on a rainy day” tactic, this was arguably true in the past. However, today’s demand is extremely high, with fewer new vehicles on lots. Waiting until the month-end may not necessarily result in better deals.
Additionally, the Automotive Parts Manufacturers Association reported that the semiconductor shortage would likely continue for the remainder of the year. That means waiting could result in missing out on a potentially in-stock model. That could mean a longer wait time for your new car.
MYTH: It's better to buy a new car than a used car.
FACT: This myth hasn’t aged well. For example, a growing family may need to trade their recently purchased sedan for an SUV or minivan, while a handy person may need to sell their two-year-old car for a new truck. In other words, when buying used, you can get great vehicles in great condition for less. In some cases, used cars can offer the benefit of lower insurance rates, not to mention that fees like freight no longer apply.
Most experts also predict that used car prices will drop by 10 to 20 percent in 2023, making a used model a great choice, especially as new vehicle shortages continue to cause higher prices and longer wait times.
Stop letting common myths hold you back; if you’re in the market for a new vehicle, there is no time like the present.
Whether you are an existing client or brand new to LendCare, you can access financing for automotive repairs, healthcare (including dental and vision), and trips to the vet.
You can learn more about—and apply for—our current consumer financing programs below.