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6 Year-End Car Buying Tips

December 28, 2019 by admin 1 Comment

2019 Volvo V60


The best opportunities to purchase a new vehicle is during a manufacturer’s transition times, including model changeover, the end of a generational build, and as the calendar moves from December to January. The following six tips can save you money, enabling you to drive off in a new ride with your budget intact.

1. End of Model Year

Car manufacturers used to make the model year transition in October, by updating its full product line across the board. All-new models were timed to release in the fall, putting big pressure on manufacturers to get cars to dealers in time for seasonal advertising campaigns.

These days, new models come out throughout the year, allowing manufacturers to stagger releases. When a new model debuts, manufacturers typically place incentives on previous model year vehicles to help clear dealer inventories. Consumers should learn when the transition is being made and follow the manufacturer’s website to discover what incentives — including rebates and special financing – are in place.

2. Old Design Versus New Design

Car manufacturers usually keep a model for five or six years before a complete redesign is made. In the interim, minor annual refreshes are made along with a mid-product-cycle update that is typically accomplished by the fourth year.

A complete design change signifies a generation shift. Older vehicles are routinely discounted as manufacturers seek to clear out inventory. Discounts may be deeper than with the traditional model year change-over as automakers begin to promote the new model that will cost consumers close to the sticker price.


The all-new Jeep Gladiator (l) and the Jeep Wrangler (r).

3. Black Friday Shopping

There are times during the year when car dealers see a plunge in showroom traffic. One of those days is the Friday after Thanksgiving, the traditional start of the Christmas shopping season. It is called Black Friday, what used to mark the day when merchants began to make a profit for the year, which is represented by going from red ink to black ink on financial statements.

Black Friday has another meaning for car dealers: a dearth of car-buying customers. With fewer customers in dealer showrooms throughout Thanksgiving weekend and with the month about to close, consumers may find dealers are eager to negotiate to meet their quotas. Meeting those quotas means receiving more money from manufacturers for reaching their sales goals, something that would not happen if consumers stayed busy buying Christmas presents, not new cars.

4. From Christmas to the New Year

Just as Black Friday may present a special opportunity to strike a deal, the period between Christmas and the New Year can also be a good time to negotiate a new vehicle purchase. Such deals may last a few days into the new year as dealers and manufacturers will close their books no later than Jan. 4.

Car manufacturers are obsessed with market share and use these sales numbers for marketing promotion. As the year fades, automakers know which models or brands stand the chance of finishing on top and may promote these accordingly. For example, Mercedes-Benz, BMW, and Lexus have an annual battle for luxury vehicle leadership. Year-end discounting usually begins in Nov. and lasts until early Jan. You’ll also find financing and leasing deals.



5. Arranging Your Own Financing

You are in a much better negotiating position when buying a new car if you offer a 100-percent cash (all-cash) transaction. However, most of us cannot afford a heavy cash outlay, instead, we rely on loan financing or a lease to swing our deals. Car dealers offer financing, usually through the manufacturer’s financing arm as well as from banks.

Often, new cars come with incentives allowing buyers to choose between cashback or a low-rate loan. You can also arrange your own financing before you shop for a car. In this case, when you’re ready to buy, give the dealer your loan information and ask to have the rebate applied to your total. Credit unions typically offer the lowest financing rates, making it worth your while to come in with your own loan and take the rebate.

6. Rebates and Dealer Incentives

We already looked at rebates and financing, but there are other rebates available to consumers. Manufacturers like to woo customers with various enticements, but these special offers are generally not publicized. It pays to do your homework by studying the manufacturer’s website.

For example, the Toyota College Graduate Finance Program provides a $500 rebate on select Toyota models and sweetens that offer by writing loans with no money down and deferring the first payment for 90 days. Its program is open to recent college graduates, people that have secured a college degree within the past two years.

Also, the Ford Motor Company awards $500 bonus cash on most Ford and Lincoln products to active duty and recently retired military personnel and their families through its Military Appreciation program. Here, military retirees have up to 24 months after leaving service (separation) to remain eligible for the rebate.

Other manufacturers usually provide similar rebates and may also offer discounts to first responders, credit union members, suppliers, and their employees. These extra incentives are typically on top of other offers and may be applied to the purchase price of the new vehicle.


2019 Chevrolet Silverado LT


Saving Money

It isn’t that difficult to save money on your new vehicle purchase. Study the manufacturer’s website, visit local dealer sites, and keep in mind the special offers listed here when negotiating your price. It is possible to save thousands of dollars, especially on well-equipped models. Don’t allow cash offers to fall to the wayside by not having the dealer apply what’s available to you.


See Also — Care Tips for Your New Vehicle

Photos copyright Auto Trends Magazine. All rights reserved.

Filed Under: Ownership Experience, Special Tagged With: Black Friday, car buying tips, CHRISTMAS, college graduate, discounts, FINANCING, INCENTIVES, LEASING, military discounts, NEW YEAR, Thanksgiving, TIPS

How to Buy a Repo Vehicle

January 1, 2018 by admin 2 Comments

Should you consider a repo vehicle as your used vehicle?

The repo man just paid your neighbor a visit, hooking up his late model sport coupe to the tow truck and pulling away. Your neighbor tried to argue with the driver, but the driver ignored his pleas, shoving a document into his chest before driving off. Unless your neighbor resolves the problem his car will stay impounded until it is sold to a new buyer.

Tow Truck
(Public domain photo supplied by Jelson25.)

Repo Shopping

Your neighbor’s loss can become your gain, although you might not want to buy his vehicle back if you value his friendship. Instead, there are hundreds if not thousands of cars that enter the market each week, ranging from basic Kias to high-end BMWs.

There are a number of ways you can buy a repo including from a lender, a dealer or at auction. The downside is that you may not have the vehicle’s entire repair history to review, perhaps leaving you wondering if the owner let the car go because of unresolved maintenance issues or for some other problem. Also, cars that are repossessed generally are neglected as owners that can’t make loan payments usually won’t keep up with repairs.

Lender Repos

The company that financed the repossessed vehicle wants to sell it. And they want to stem their losses before they worsen.Clearly, lenders lose money when a car is repossessed. If the vehicle is new and in excellent condition, there may be several people interested in buying it. Lenders may accept bids for the car or set a fixed price and sell it to the first qualified buyer.

If you are interested in buying a repo vehicle, get your loan together first. Or, the lender may provide financing if your credit is very good. Perform due diligence by reviewing the car’s repair history and finding out from the lender why the car was repossessed.

Repo Dealers

Some car dealers specialize in buying repossessed cars from banks and auctions, making repairs and detailing them for resale. You will want to avoid any car that was salvaged, meaning that the vehicle was declared a total loss by the insurance company.

However, there are different kinds of damages that can give a car a “salvage title” including flood damage, hail damage and theft recovery notes Ronald Montoya writing for Edmunds.com. If you are handy with a car and you don’t mind the risk, then find out as much about the car’s history before moving forward.

Auction Houses

Many repo vehicles end up at public auction and are made available for sale to the highest bidder. However, these are also the cars that lenders and dealers may let pass by, meaning you need to be extra cautious before placing a bid.

First, check the vehicle identification number (VIN) to ensure that you have a match. If the car has been rebuilt, the VIN may not match. Move on if it doesn’t.

Second, look carefully at the car. Inspect the car inside and out, and crawl underneath to look for signs of water damage, frame repair and rust. Pull the dipsticks to verify that all fluids are clear. If something looks or smells odd there could be a larger problem lurking within.

Third, know the vehicles worth. If it is being sold “as is” then you know that there are problems present. Compare the auction house value with the Kelley Blue Book value. Set your top price and never get pulled into offering more for a car than what you’re willing to pay for it.

Your desire to find a repo vehicle bargain should never trump common sense. If you’re not particularly handy with car, this entire process should be left to those that are. Even weekend warriors know that a repo can require much TLC, with their time heavily invested in remaking a loser into a winner.


See Also — Used Car Shopping Caution: Odometer Fraud

Filed Under: Special Tagged With: CONSUMER ADVICE, KELLEY BLUE BOOK, repo car, repo man, TIPS, USED CAR

How to Lease a Demo Car

July 15, 2015 by admin 3 Comments

Buick LaCrosse
Make sure that the demo model you want is free of scratches.

Savvy car shoppers know that if you want to save big bucks on a newer car, then buying a certified pre-owned (CPO) vehicle is a wise strategy. Certainly, the first year of car ownership brings with it the most significant drop in depreciation. Suddenly, that new car bought for $33,000 new, may be worth less than $25,000.

You may not have to wait a model year to enjoy the perks of a used vehicle and the depreciation cost absorbed by someone else. Indeed, cars with just a few thousand miles on the odometer are routinely sold by new car dealers, vehicles that served as demo models for a few months and are now ready for sale.

Buying a demo (demonstration) car is easy, but can you lease one? Yes, you can. In fact, just as most any new or late-model vehicle can be leased, so can a demo car. But before you sign on the dotted line you must perform due diligence. So, then do the following:

Inspect With Care

Just as you would do with any used vehicle, examine the demo car very carefully. Likely, it is as shiny and appealing as any new car on the lot, but it could possess a few flaws that might be revealed through careful inspection. Keep this in mind: scores, if not hundreds of potential buyers may have tested the vehicle.

Look for nicks or scratches that may have been touched up. Look closely at the seats, the dashboard, and the carpeting for signs of wear and tear or discoloration. Lift the hood and verify that the oil, transmission fluid and coolant is clean, the connections are secure and that the battery is in top condition. Examine the trunk for signs of water intrusion by lifting the floor cover. Having your own mechanic examine the vehicle can be a wise decision too.

2015 Volvo S60

Obtain a Vehicle Report

The dealer’s maintenance records may be detailed, but you should also be supplied with a vehicle history report even if the car was only used for two or three months. This report should be automatically supplied by the car dealer and at no cost to you.

Most dealers will supply a CARFAX report outlining information about the vehicle’s title, ownership and mileage history. It should also include service information and if there was an accident that was reported, that detail will be included. A minor fender bender may not be much, but anything greater could be a deal breaker.

Warranty and Related Information

What sort of warranty coverage is the dealer offering with the demo model? It should come with the balance of the new car warranty as well as powertrain and rust protection. For manufacturers offering new car maintenance for the first two or three years of ownership, the demo vehicle should assume same. (Here is an excellent article that details the limits and sometimes the pitfalls with vehicle history reports — Limitations and Problems with Carfax or any Vehicle History Report).

If you’re interested in purchasing an extended warranty, your demo vehicle should be eligible for a plan. You can purchase a plan through the dealer our buy one independently. Shop around and compare offers and prices.

Chrysler 300

Find a Demo

New car dealers may have demos in use, but that doesn’t mean that one is available for sale. Here, you will want to call several local dealers and ask if they have demos available. Those cars may be included in the dealer’s online inventory too.

Take your time shopping for a demo and you may come up with a like-new car at a bargain price. Once you find a car that meets your criteria, then discuss your leasing options with the dealer. You should bargain the best price for the car and ensure that the warranties run as long as the lease.


See Also — Where Can I Find My Car Paint Code?

Filed Under: Ownership Experience Tagged With: CAR PRICES, CARFAX, DEMO, DEMONSTRATION CAR, LEASE, LEASING, MAINTENANCE, REPAIRS, TIPS, WARRANTY

How to Transfer the Car Title of a Deceased Person

June 22, 2015 by admin 1 Comment

Your Aunt Mabel has shuffled off the mortal coil and has gone on to her eternal reward. At the reading of her will you learn that she bequeathed a few of her prized temporal possessions to you, her favorite niece. Standing out amongst the assorted paraphernalia was no ordinary conveyance, rather it is her rapturous late-model sports car. Certainly, Mabel was a Denise McCluggage acolyte, and took to the speed track every chance she had.

Transferring title of Mabel’s Porsche Cayman S will take a bit of work on your part. The Department of Motor Vehicles in the state where the decedent resided is the first place to start. In general, you will need to do the following to transfer the car title of a deceased person to you:

Procure the Proper Documents

Porsche Cayman SThe state’s DMV will require certain documentation concerning all matters of a deceased person. For starters, you need to gain possession of Mabel’s driver’s license. If she was no longer driving at the time of her passing, but had a valid government-issued photo identification card, then that may suffice.

Bring with you a photocopy of the decedent’s death certificate. Please note that if you bring an original, it may be surrendered to the DMV. The DMV will also want you to return the decedent’s disabled person parking placard if one was issued. Any special license plates will need to be surrendered too.

The next group of documents and forms may be exclusive to your state. This is where logging in to your state’s DMV website, searching for “transfer the car title of a deceased person” and carefully reading the results will save you time and help you avoid a paperwork-induced headache.

Specifically, the state may require you to download a few forms. These may include:
a certificate of car title application, an affidavit for transfer without probate, a vehicle transfer and reassignment form, a statement of facts or any other form related to enabling you to complete the title transfer.

Car Title Notary and Fees

Porsche Cayman SAs you download and review the required forms, carefully follow the instructions to successfully complete each one. Avoid signing any form immediately as you may be required to have your signature witnessed and notarized. The court appointed executor will need to sign certain forms too. Find a notary public to help you accomplish this step with both you and the executor present.

Each form may require a specific fee to be paid. Or a general fee may be due when the car title transfer is complete. Again, this requirement will vary from state to state.

You should also know that when the car title transfer has been approved, there may be additional fees to handle including: car registration, income taxes and license plates. Concurrently, contact your insurance company and explain that you have acquired a vehicle and want it insured. Be prepared to pony up some serious cash for a high-end vehicle such as Mabel’s Porsche Cayman S. You may need to shop around for new car insurance if the rate is too high.

Transfer Matters

Porsche Cayman SConsider yourself lucky if you are able to bring your documents to your local DMV and have them processed on the same day. In some states you must mail these forms to a particular address, therefore send those documents via certified mail, return receipt requested.

Please note that it may take several weeks before the actual title is in your hands. Notwithstanding the delay, title possession should not keep you from enjoying a car that is now registered in your name, insured and ready to take to the track. Thanks, Aunt Mabel!

See Also — Car Title and Personal Loan Collateral

Photos copyright Auto Trends Magazine. All rights reserved.

Filed Under: Special Tagged With: CAR REGISTRATION, CAR TITLE, DECEASED PERSON, DECEDENT, DMV, DOCUMENTS, EXECUTOR, FEES, NOTARY PUBLIC, PROPERTY TAXES, TIPS

How to Buy New Tires for Your Car

October 7, 2012 by admin 4 Comments

Save money by shopping carefully for new tires.

You have been driving your car for three or four years and have noticed that your tires are showing signs of wear. Regular rotations and the occasional realignment have kept your tires in fairly good shape, but the miles have piled up and tire age is another consideration. If you plan to keep your car, then you need to get new tires. You may be able to get away with just two tires, but with retailers offering deals on a set of four, an all-around replacement may be your best choice.

Keep in mind the following considerations when shopping for new tires:

1. How long you plan to keep your car. If you plan to keep your car for another year or two, then opt for tires with a 40,000-mile tread wear. You’ll save money over tires with a tread life of 60,000 to 90,000 miles, and will offer the next buyer or dealer good tires that won’t negatively impact your cars resale value.

tires2. The kind of driving you do. The best bet for tire shoppers is to choose all-season radials, regardless of whether you live in Florida or in Minnesota. Such tires provide superior grip and can handle light winter driving weather conditions. Some tires are also better for performance cars. For instance, summer tires enhance handling, but are not very good with traction. Other tires offer a more comfortable ride, but aren’t great for cornering. Your tire service professional can show you a variety of tires, each with benefits for the type of ride you want.

3. Exchange size for size. Your car came off of the assembly line outfitted with certain tires that are best for your vehicle. Although you may have room to get a different sized tire (and wheels as well), you would do best to stick with the tire size you already have. Check your tire’s sidewall and take note of the code that is printed on it. For instance, you will see something like this: P185/60R14 82H. The P tells you that it is a passenger car tire. The first three numbers (185) gives you tire width in millimeters, the 60 represents its aspect ratio and the R is for radial. The 14 is the wheel’s diameter and the 82H represents its load index and speed symbol. You will find other information printed on your tire too, but the code is of greatest importance.

4. Shop for new tires. Shopping around can save you a bundle on new tires, but please know this: manufacturers really would like for you to replace all four tires and will usually offer incentives when you buy a full set. Those incentives typically include a rebate that you can apply immediately to your purchase price and may range from $50 to $70, sometimes more. Essentially, you’re buying four tires, but are paying for three. Prices vary from retailer to retailer so check newspaper ads, look online and call around for quotes.

5. Consider a service plan. New tires come with a warranty and that means if your tire wears out early or is destroyed, the manufacturer or retailer will offer a pro-rated price on the old tire to apply to the purchase price of a new tire. Consider a service or protection plan if it delivers benefits you determine are worthwhile including free tire replacement, free rotations, one or more free front-end alignments and safety checks. You’ll pay for the plan, but it might prove worthwhile to you.

Tire Considerations

Follow manufacturer guidelines on choosing the right tires for your cars. Rotate your tires on a regular basis and always keep your tires properly inflated. Proper inflation numbers can be found on the inside door jamb of the driver’s door or in your glove box. Use these numbers and not the numbers found on the tires. And don’t forget the spare — one of your older tires could be an ideal replacement for an aged or worn out spare.

See Also — Not All Truck Tires Are Created Equal

Filed Under: Ownership Experience Tagged With: RADIAL TIRES, SUMMER TIRES, TIPS, TIRE CODE, TIRE MAINTENANCE, TIRE ROTATION

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