How to Find the Best Labor Day Car Deals

How to Find the Best Labor Day Car Deals

If you’re in the market for a new ride, Labor Day can be a great time to shop and save money on a car. This holiday has become a prime time for car manufacturers and dealerships to offer discounts and incentives on both new and pre-owned vehicles. That said, not every Labor Day sale you encounter means you’re getting a good deal. It’s important to know what to look for; a little understanding can help you find a deal that genuinely saves you money.

Why Do Cars Go on Sale for Labor Day?

Labor Day has come to be associated with the rolling out of a new model year. As fresh vehicles roll onto showroom floors, dealers often want to move inventory that remains from the previous model year. This can translate to opportunities for consumers in the way of lower prices and special incentives.

Promotions around Labor Day weekend can come in all shapes and sizes, and the ultimate deal will depend on the manufacturer, type of car/truck/SUV/motorcycle, dealership inventory, and what the local market is like.

What Kind of Labor Day Car Deals Are There?

Labor Day deals will vary according to vehicle and can be dependent on your qualifications as well. Some common promotions may include:

• Cash-back rebates
• Better financing rates
• Lease incentives
• Dealership discounts
• Loyalty offers
• Lower prices on previous model-year vehicles

Remember that some incentives could come with eligibility requirements. Be sure to check the terms on an appealing offer to see if it applies to you.

How to Get the Best Labor Day Car Deal

1. Do Your Research

Before heading out to a dealership, look into the vehicle you want. Find the MSRP and do a comparison of prices across several local dealerships. This will afford you a better idea of whether or not the advertised sales are actually competitive offers.

2. Factor the Out-the-Door Price

A deal isn’t based only on the advertised sale or monthly payment. Inquire about the out-the-door price, which takes into account the vehicle’s selling price, its taxes, plus any registration and dealer fees. Seeing a big discount offered won’t always necessarily mean you’re getting the best overall price.

3. Compare Financing Options

Holiday sales can be a great time to score special financing. Be sure to consider the interest rate, loan term, and total amount you’ll pay—not just the monthly payment.

After a bit of number crunching, you might find that a cash rebate is a better deal than promotional financing. Do your homework to see if the low-interest offer means bigger savings.

4. Consider a Previous Model Year

If buying the current model year isn’t a must, last year’s model could be excellent value. Dealers are often more motivated – read: willing to slash prices – to sell off inventory as the new vehicles arrive.

Still, review any price difference, and keep in mind how the model year could impact any future resale value.

Is Labor Day the Best Time of Year to Buy a Car?

Labor Day sales can be a good opportunity, but they aren’t a guarantee of the lowest price of the year. While this holiday does coincide with the roll-out of the new vehicle model year, the best car deals will depend on the specific model you’re shopping for and what the market is like.  And if you don’t manage to visit a dealership over Labor Day, remember that December and other big sales periods are just around the corner.