Why September Is The Best Month To Buy A Car

We might not like to admit it but September is here already. This not only means that Autumn is just around the corner, but the sun is setting earlier and despite holding on to every last bit of sunshine we can, it is appearing less frequently and not as hot as it has been. Not just that but kids are returning to school and the excitement of the summer holidays are long gone, but all is not lost. You may be surprised to know that September is actually one of the best months of the year to buy a car, and not just because you’re trying to cheer yourself up after the summer.

Read on to find out the reasons why September is potentially the best month to buy your next car:

There Is More Choice

With the first of the month signalling the new number plate change, more people are looking to buy or collect their new car. Due to customers collecting their brand new cars it also means more cars are therefore part exchanged and there are more pre-owned vehicles available on the market. Not only does this mean more of the model you are looking for are available, but crucially more are likely to have just the right specification you are looking for. With more cars available it is also likely that the prices will be more competitive as there are more examples on the market for sale.

Dealerships Are Feeling The Pressure

The end of September is the end of another financial quarter and car dealerships are under pressure to meet targets whether they are main dealers, franchises or independent dealerships. This means that they are looking to register as many new cars as they can before the end of the month and as such often go to greater lengths to ensure they can seal your business. This puts the opportunity for negotiating in the buyer’s court and the dealership is much more likely to offer greater incentives to guarantee a sale, whether this is through a deposit contribution, a saving on the list price or including must have options for no extra cost.

The ZEV Mandate

This year the pressure to sell electric cars is greater than ever thanks to the Government’s ZEV Mandate. As many manufacturers are struggling to meet the strict 22% target for electric car sales there will be even more pressure than usual to try and tempt customers into an electric vehicle. They only have until the end of the year to meet the target, and that’s just this year, the target gets even more strict from now until 2030 and onwards to the 2035 combustion engine ban deadline. Those that don’t meet the target have very hefty fines imposed,  as much as £15,000 per car, so it isn’t exactly something they can ignore.  There are already huge discounts available on electric cars, offers for free charger installation and additional specification offered at no extra cost, so expect the last few months of the year to see even more incentives from manufacturers.

Dealerships Pre-Register Cars So They Can Achieve September Targets

In order to ensure that sales targets are met for the end of the financial quarter, many dealerships will often pre-register their leftover new car stock to appear as if they have sold. This means that any unsold cars are sitting on the forecourt at the risk of depreciating, costing the dealership and potentially the manufacturer money. Not only that, but the existing used stock they already had on the forecourt is also sitting there depreciating causing excess cars in stock, storage problems and a need to offload them as soon as possible in order to balance the books. The pressure to achieve targets and the fear of depreciating cars in stock is enough to ensure that dealerships tend to be open to offers or have ‘events’ to make it look like they are doing the customer a favour with ‘great deals’. September can really be a ‘buyer’s market’.

The End of Summer

Dealerships have spent the summer stocking up on sports cars, supercars and convertibles to tempt people for the summer months. With the fairer summer weather dwindling and before the cooler autumn conditions become too commonplace, they will be keen to sell as many of the cars more suited to the Summer months so they can be replaced with things more Winter friendly like SUV’s. Pricing for these types of cars will be more appealing as the month rolls on and you might be lucky that if we get an Indian Summer, you might be able to enjoy a convertible in the late summer sun.

Beat The Price Rises

For the same reason that sports cars, supercars and convertible prices are falling, it won’t be long until SUV prices begin to rise as the weather gets worse and the nights draw in. The dealership world is very reactive to the seasons changing as demand rises for a particular type of vehicle and they will already be looking to change their stock for more suitable offerings for the winter months. All of this means that you are in a great position to secure an SUV for the winter months before the prices begin to rise by the end of September.

The Current Climate

This is specific to more recent times, but is to do with how much interest rates have risen. Many financial experts feel we have not only reached the peak of the Bank Of England Base Rate, but that the following months may see them gradually start to fall further than the initial drop at the beginning of August. This confidence in the rates reaching their peak means that mortgage rates have fallen, however many car finance lenders, especially main dealer ones, have increased their rates.

As a car finance broker we are in a position where our unique director level relationship with our lenders means that we are constantly assessing and negotiating the best possible rates for our customers. As well as this, we also have ‘locked in’ rates with a number of our panel of lenders and as such can offer bespoke finance packages for you and your circumstances that many dealerships cannot.
Read more about how to Beat The Rate Rises by reading our previous blog post HERE.

Speak To Oracle Finance This September

These are the reasons why September is the best month to buy a car, and whilst the economic climate at the moment might be not a buoyant as it perhaps has been in recent years, your dedicated Oracle Account Manager is here to ensure that your car finance is something you don’t need to worry about. With over 2,400 Trustpilot reviews with an overall rating of 5 out of 5, and as four-time consecutive award winners of the Best Specialist Car Finance Provider award from 2020 onwards, and by passing over £2billion funded for our customers, you too can find out why thousands of people trust us time and time again to find a smarter, tailored funding solution when looking for your next dream car.

Get in touch with us today to discuss your car finance options by clicking HERE.

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