Earlier this year, TowerLine reported on the transformation of the car buying-marketplace. We identified the ongoing challenges for manufacturers, dealers and consumers alike, including a current inventory shortage. NBC News reports that car dealerships have barely 1 million vehicles in inventory right now, down from the 3 million they would normally expect to have at this time of year.
Before you go car buying, apply online for a low-rate pre-approved loan to see how much you have to spend.
Shop and Research The Tower Car Buying Service, powered by TRUECar®, is a great place to find what you want.
Guaranteed Savings Choose your price from multiple offers—save your upfront price offer to your mobile device before you go to the dealership.
Redeem Savings Use your upfront price offer along with a Tower Express Loan Check at the dealership for a hassle-free car buying experience.
Receive a Loan Discount Your upfront price offer includes a special Tower member discount when you buy through the Tower Car Buying Service, and an additional 0.25% rate discount if you finance with Tower.
Protect Your Investment Drive away with peace of mind with Tower's GAP Advantage with PowerBuy™, Extended Warranty and Loan Payment Protection.
Save with peace of mind
With short and long-term solutions, dollar by dollar you can begin building a brighter future.
What you can do
With cars selling for higher prices consumers need to use new strategies in order to strike a deal. Two methods that could save you money are to 1) opt for a model that's currently sitting on dealer lots the longest, and 2) look for discounted prices on certain models and trims.
1) Consider Slow Sellers
A car dealership's profitability is linked to their inventory. When left with cars that has been sitting on the lot for a long time, they'll be much more likely to haggle with you and give you a good deal just to get it moved.
To get a better deal, ask about any older inventory a dealership may have before you start looking at newer vehicles. For a list of slower selling models, see the chart below.
In a low inventory environment, new car discounts, rebates and incentives offered by sellers are shrinking: The average incentive was estimated at $1,034 in April—down 66% from 2021.
However, there are a handful of vehicles that still offer generous deals. It all depends on your target vehicle's model and trim—which is why you should really consider more than one vehicle when shopping for a deal. The chart below shows some of the most recently discounted cars.
|Model (2022 model year)
|Alfa Romeo Giulia
|Alfa Romeo Stelvia
|Chevrolet Bolt EUV
|Chevrolet Silverado 4500HD
|Ram 1500 Classic
* As reported by Car & Driver Magazine/Black Book as of 6/2/22
** As reported by to Consumer Reports as of 7/13/22. Discounts and incentives data come from automakers' websites are always subject to change. Offers may vary by region and trim level; so see what's available in your area before heading to the dealer.
Resources: Hearst Autos, Inc., Consumer Reports, Cars.com, Autolist, NBC Universal Media, LLC.