What Is The Best Time To Buy A Toyota

It’s no secret that the global pandemic has turned the automotive industry on its head. Dealerships are stocking their lots very lightly and the pre-pandemic buyer’s market is long gone.

As workplaces are getting back to normal, people are going back to commuting in droves. Inevitably, more people are purchasing cars across the country to replace older, more dilapidated cars.

However, since supply is extremely limited, huge price jumps have buyers wondering if it’s the best time to buy a car. Since 2021, used car prices have skyrocketed by more than 40%.

When looking at buying a Toyota or any other make, it can be difficult to know the best time to buy a new car. While timing is less important than choosing the right car, even knowing the best time of year to buy a car can help.

If you’re asking yourself “Should I buy a car right now or should I wait to buy a car?” we’ve got you covered. Read on to learn when is the best time to buy a car and other car buying tips!

The Car Market Right Now

It seems only yesterday that a customer could walk onto a lot and have salesmen practically begging for their business.

However, car prices have seen a massive increase since 2019, and dealerships have a lot of leverage in this market. Let’s examine how the market got this way.

During the lockdowns of 2020, manufacturers had to greatly slow down and even stop production worldwide. This production shutdown limited the supply of the computer chips that all modern cars legally require.

When people were still staying at home during the lockdown, no one worried about buying a car. However, now that workplaces are returning to normal, demand for new and used cars has seen a huge surge.

Car manufacturers haven’t nearly caught up to demand, so supply remains limited. In a market with low supply and high demand, prices go up to compensate.

It’s not all bad news, though. There are still ways to get a good deal buying a car from a dealership, even in this market.

When You Can Expect Good Deals

You’ve likely heard that at the end of the month you can get a good deal on a car. This advice used to be accurate, as car salesmen would take a loss to meet quotas.

However, this advice may not hold water as dealerships keep smaller inventories. Car salesmen have much less incentive in this market to come down on price since they likely have several potential buyers lined up at any given time.

If you’re trying to find a certain time to get a better deal, you should consider the best time of year to buy a car. While monthly quotas don’t mean much right now, the end of the year and major holidays still offer some potential for sales.

The best holidays to go car shopping include the 4th of July, Memorial Day, and Labor Day.

Buying a New Car

Since prices have climbed so much in 2022, you may not want to invest in a used car with higher mileage. While you might spend less on a used car than a new car, you could end up wearing it out before paying it off.

If you’re going to buy in this market, you should look at the best cars 2022 has to offer. A new car may scare buyers worried about price, but they do offer some advantages over buying used cars.

A new car will have the latest safety features and technology, so you can trust its reliability. You also don’t have to worry about a new car’s accident history or damage, since it has almost no miles.

New cars usually offer warranties as well, so any problems in the first few years or a predetermined number of miles are covered.

Using Finances to Choose the Best Time to Buy a Car

Another great way to determine when is the best time to buy a car is to figure out when you’ll be in the best financial state. Finding a good deal doesn’t do any good if you can’t afford it.

To know when you have your finances in a good place to buy a car, there are a few different factors you should consider.

Credit Score

Financing a car can become very stressful, especially when it comes to your credit. Dealerships will run your credit to determine what you qualify for, so a good score can help you get a great deal.

However, when a salesman performs a credit check, they aren’t just looking at your score. The factors they consider include your outstanding debt, monthly income, and payment history.

Find out what you qualify for before you negotiate with a dealership by getting pre-qualified through a bank or credit union.

Income

The amount of income you bring in each month will determine how much you can afford to spend on monthly payments. Generally, you want to keep your car payment to around 10% of your income.

You may be able to afford more if your other monthly expenses are low. However, this percentage gives you room for other car expenses like gas and maintenance.

Down Payment

The amount you can put down upfront will help determine your monthly payment and interest rate.

You should save up enough to put down at least 10% of the sticker price. If you can afford it though, a higher down payment will get you better interest and payments.

You Can Still Get a Good Deal in This Market

Whether you’re looking to buy Toyota or another make, knowing the best time to buy a car will help you get the best deal.

Still looking for more information about how to get a good deal on a car? Contact us today to learn more about getting the perfect ride for you!