Analysts are predicting strong April car sales, but consumers can still get a discount on a new car if they shop for cars that are in low demand.
“While April won’t bring too many surprises, sales should continue to grow at a steady pace,” says Alec Gutierrez, senior analyst for Kelley Blue Book. “Retail sales continue to be strong which continues to keep the overall sales outlook healthy. There is restrained incentive spending and steadily rising transaction prices, which are both good signs for the industry.”
The strong sales and increasing transaction prices are good for car companies, but it’s another story for car shoppers. As Gutierrez notes, incentive spending is down, which can make it tough to get a deal on a new car.
Jessica Caldwell, senior analyst for Edmunds.com, says, “Pricing is generally more influenced by vehicle segment demand and product availability rather than seasonality. In Q1 2015, we saw strong prices for large vehicles compared to last year - trucks, large traditional SUVs. Perhaps in those cases it might have been better to wait until a model year sell down or a summer sales event. However, on the other side of the spectrum, there has been negative year-over-year price growth for compact cars so that pricing is inevitably more flexible right now indicating a good time to buy.”
Gas prices are still relatively low, making small, fuel-efficient cars less popular. If you want to get a significant discount, shop for a small car or hybrid. Crossovers and SUVs remain popular segments, so you’ll have less leverage for negotiation if that’s the vehicle you want. While carmakers aren’t offering a lot of discounts on new cars, there are still some good offers available. Low- and no-interest financing offers have become common across many new car brands. The money you save in interest could make up for the lack of a price discount.
Looking for a great deal on a new car? Check out our Best Car Deals page for the latest new car discounts and incentives, or use our U.S. News Best Price Program for guaranteed savings on a new vehicle. Also, be sure to follow us on Twitter and Facebook.