Dealerships Desperately Need to Sell Family Cars

As a result of the pandemic and nationwide shelter-in-place orders, sales of new vehicles dropped by about 15 percent in 2020. That’s one of the worst annual declines in decades. Sales recovered later in the year, but many consumers opted for used vehicles over new cars due to concerns about the economy.

And another factor has put pressure on car dealers: Cars take up space. Many of the vehicles that are most popular with families — SUVs, crossovers, minivans, and trucks — tend to take up a lot of room on lots. While vehicle sales are recovering, dealerships still need to showcase their newest models. This unique combination of factors has created an unexpected buyer’s market in 2021.

For shoppers looking for a new family car, there’s rarely been a better time to buy. Many brands are offering incentives including:

• 0% APR Financing for up to 84 months
• Bonus cash and cash-back programs
• Low financing for new leases
• Price match guarantees

These deals vary greatly by state, brand, and model, and some incentives won’t last — as dealerships adjust to the “new normal,” they’ll adjust pricing on new and used vehicles. Fortunately, buyers can easily research their options using online resources to make an informed decision, but you’ll need to act quickly to take advantage.

Comparing Family Cars Online in 2021

In order to find the best prices on SUVs, crossovers, and sedans, buyers need to look at quotes from a variety of dealerships. That’s a much easier task in 2021 than in previous years, as many dealerships have finally opened up e-commerce sites. Buyers can browse vehicles, compare incentives, and find financing online — many dealerships will even deliver vehicles directly to consumers' doors.

Keep these tips in mind when comparing options:

• Compare similar models from different manufacturers. Most brands offer a few family-friendly models, and many of those vehicles have similar features from brand to brand. Unless you’ve got a particularly strong preference for one brand, look at as many as possible. While two SUVs might have nearly identical feature sets, one might be much less expensive simply because it’s from a less popular line.
• Don’t forget about 2020 models. The pandemic drastically changed the market for new cars, and many dealerships still have 2020 models on their lots. They need to move those vehicles quickly, and smart drivers can take advantage by looking at last year’s models.
• Consider all of the costs of the purchase. Read the fine print, particularly if you’re considering a vehicle with 0% APR financing or cash back incentives. Do the math. Find out how much those programs will save you over the course of ownership.
• Keep accurate notes. To find a bargain, you may need to look at half a dozen dealerships — but your hard work will pay off when you’re ready to make your purchase. Keep notes or a spreadsheet as you search, and if you find a great deal, look for a better one.

Shopping for a vehicle has never been easier, and the pandemic has forced many dealerships to offer incredible financing on brand-new cars. However, drivers need to gather as much information as possible to keep their costs low.

For the Best Incentives, Drivers Need to Look Online

Manufacturers prefer to draw customers to their dealerships where salespeople can make their best pitches. However, more drivers are looking online, as internet research can help them compare models, find incentives, and make knowledgeable decisions. That often means a much lower cost over time.

If you’re ready for a new family car, take as much time as possible to look at local dealerships. Compare models from different brands, paying close attention to incentive programs. Use online resources to make your research easier, and remember to keep detailed notes.

That hard work will pay off — a new car is a major purchase, but by looking for at least 3-4 local dealerships and gathering quotes, you can keep your family’s budget in check while landing the vehicle of your dreams.