The financial gurus at Kiplinger.com are suggesting that the current economic condition of the United States makes it a great time to buy a new car. Why? Because even though insurance rates and gas prices are both on the rise, automakers are trying to purge their inventories, and to do so, they’re offering some amazing incentives.
Of course, there are specific points to consider when shopping for a new car, like how much you want to spend, and how much a new insurance policy will cost. To that end, Kiplinger offers three tips for getting a good deal:
- Set a target price, one for each model you’re considering, that is somewhere between the sticker price and the dealer’s actual cost. You’ll pay more for cars in great demand, of course, but if you check out Consumer Reports and Edmunds, you’ll get some help in picking your personal price-point.
- Choose your discount wisely. If you’re given a choice between a lower interest rate on financing or a cash rebate, and the car you’re buying is under $15,000, choose the rebate. $1,000 will go farther in cash than in any rate concession.
- Join the club. Or join many. Sam’s Club, Costco, and even the AAA offer discounted car-buying programs, all of which will give you a discount off the dealer’s sticker price, but be aware that each club is usually only affiliated with one dealer or car line, and that it still may not be better than a price you can get by acting on your own behalf.