What you should know about Labor Weekend Car Deals

The end of every summer brings an opportunity to buy a new car at a good deal. Things are quite positive as care sales have gone down meaning that the car dealers and makers are eager to offload some models at a fair price. According to a consumer advice editor known as Ronald Montoya, September and August have been known as the discount months in the automobile industry. This is attributed to the fact that dealers are interested in dealing with new car models. Looking at statistics, the auto industry has stagnated in the last two years meaning that they need to sell cars is quite high. On 1st September, major automakers in the United States had conflicting results about their sales in August. This might have been affected by Hurricane Harvey considering that Houston is a major market for new cars. People who had leased cars are also returning their cars to the dealers leading to a pile up of used cars. This is also creating a market for new cars. The average number of days that a car sits on the yard today in 74 days. The longest period is 80 days that was recorded back in July 2009. WalletHub analyst Jill Gonzalez says that consumers can use these statistics to their advantage.

With new cars becoming expensive with each passing day, the new status of affairs offers consumers an opportunity to acquire cars. A study conducted by Experian Automotive revealed that the average amount of a car loan is $30,535. According to the same study, the average monthly payment that a client with a loan can pay is $509. These large numbers have forced car owners to extend loan deals by six to nine years. This has led to an increase in interests costs. For many years, Labor Day weekend has been a busy weekend for car shoppers and dealers. This makes it easy to find a cash-back incentive as well as a low-interest rate financing. However, there is the need for caution during this weekend. For example, Mr. Montoya says that zero-percent discount can only apply to people who have established an excellent credit history. As there will be more people in the car lots, expect to wait for long before you can take a test drive. At the same time, some offers could go beyond the weekend. This offers you the opportunity to research about the best deal and go back to the car lots when people have already left.