Save Money on New and Used Cars

At the end of the year, dealers tend to offer the best savings and discounts on new vehicles, and shoppers can find good deals on used cars as well. The reason for this is partially because demand tends to be lower around the holidays, according to CarGurus.com, an automotive research site.

Dealers need to clear out their inventories to make room for new model year vehicles, so they tend to have better deals as the year comes to a close.

"In these challenging economic times, adding 'car' to the holiday shopping list might seem crazy, but now is actually the optimal time of year to find a great deal on a used model," said Langley Steinert, founder and CEO of CarGurus. "Demand is low during the holiday season, and that translates to lower prices on used vehicles and higher leverage with dealers eager to lock in sales. However, demand will come roaring back in the New Year, and dealers will be quick to adjust their prices. If you are planning to buy a car in the next six months, look for a used model and buy it before the New Year."

Used cars typically will not have manufacturer warranties anymore, as they tend to expire after three years or 36,000 miles. Drivers can consider purchasing extended warranties for their vehicles to ensure they are covered if repairs are needed. A car warranty is the gift that keeps giving. It can cover the cost of repairs and maintenance to save the driver money down the line and keep their car running well so they are safe on the road. 

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