A Shopping Plan for Holiday Car Deals

Long holiday weekends motivate new- and used-car buyers looking for favorable deals, with the added bonus of having more free time to devote to car shopping. Buyers have plenty of choices because these three-day weekend incentives occur throughout the year, including Memorial Day, July Fourth, Labor Day, Black Friday and around New Year's Eve. This potential for savings, however, comes with busier-than-usual dealerships, less selection and longer wait times. This is where our plan comes in. Here's our guide to buying a car during a holiday weekend.

Jump to:
Which holiday has the best car deals?
Timing is key
Get a head start at home
Schedule a test drive before the weekend
Getting a price
Close the deal and take delivery

Which holiday has the best car deals?

We have a pair of articles that discuss in detail the best time to buy a new or a used car, as each has its own circumstances that affect prices. In general, however, Edmunds' transaction data has shown that historically, October, November and December are the months with the biggest car buying discounts of the year. This means that Halloween, Veterans Day, Black Friday, and up to Christmas are the best times to get a holiday car deal. The exceptions occurred from 2021 to 2022, when the auto industry was in the midst of pandemic-related supply chain shortages. There are other factors that can come into play, however. Everything from federal interest rates and recent pricing volatility caused by tariffs has made it harder to predict when or where the best deals are available. By and large, year-end discounts are among the best because car dealers use this timeframe to clear out excess inventory — especially to make way for the switch from one model year to the next, or perhaps to try to meet an annual sales quota. There are discounts to be had, although Edmunds' data reveals there are fewer of them than in years past. 

Timing is key

An important thing to remember is that many holiday advertisements might seem to focus on a specific three-day weekend. Yet the timing of these manufacturer- or dealer-sponsored incentives could be in effect for many extra days or even weeks. There could also be an overlap with multiple incentives or rebates, which could provide a wider selection of vehicles and added savings. As a result, you don't have to feel pressured to fit all the steps of car buying into a day or two. Having more choices and managing your car shopping time wisely are vital whether you're looking to buy or lease a vehicle. Then you can enjoy all those upcoming extra days off with a new car to show off to your friends and family.

Get a head start at home

Your goal should be to do most of the car-buying work earlier in the week or month. Then, by the time the weekend rolls around, you should already know what car you can afford and whether you are leasing or buying, and you should have narrowed your car list to about three models at most. Here's how the plan works.

Choose your purchase method: Consider whether you want to lease or buy a new car. Or would you prefer to buy a used car? In either case, it is a good idea to get a copy of your credit report. If you plan to finance, we recommend getting preapproved for a car loan.

Set your budget: A good rule of thumb is that your monthly payment, whether buying or leasing, should not exceed 10%-15% of your monthly take-home pay. Keep in mind that you also need to pay for fuel and insurance. 

Read reviews: You don't want to rely on a busy salesperson to teach you about which car to buy or which features a car might have. If you already have a car in mind, read Edmunds' expert reviews of the vehicle. Also, check consumer reviews of the car you are considering. Then take a moment to see what other cars compete with the one you have selected. If you're unsure about what you want to buy, create a list of three "target cars" to test drive.

Locate your car and verify that it is still available: Use the Edmunds site or app to search for inventory near you. Alternatively, you can check dealership websites to see what cars they have in stock. Be cautious of ads and incentives that list a specific vehicle identification number (VIN). This can often mean the seemingly too-good-to-be-true deal is limited to exactly one vehicle on the lot. When you arrive, the car is likely to have already been sold, and the common move is to steer you toward a different and likely more expensive car.  

You'll want to test-drive a car that's configured the way you want it, and ideally in the color you like. That means you'll need to locate that car near you. Once you've found the car you want to test-drive, either call the internet manager or enter your information on the Edmunds site to receive a dealer price quote. This will not only get you an upfront price on the car, but it will also put you in contact with a dealer representative to schedule a test drive appointment.

Schedule a test drive before the weekend

Try to schedule a test drive before the actual holiday if possible. Because there are so many shoppers during the holidays, you cannot expect to get the same level of assistance from a salesperson, who might be juggling multiple customers at once. Additionally, making an appointment for a test drive can save you time, as the salesperson will sometimes pull the car up to have it ready when you arrive.

Parents might also want to consider finding someone to babysit. Car buying can be a time-consuming process, one you don't want to rush because a little one is bored, tired or hungry. 

Another thing to consider is a home test drive. These days, home-delivery test drives are becoming increasingly common, so if you'd like to skip a trip to the dealership, simply call and ask. You should ideally test-drive the vehicle on your own. In this case, the dealership may require a copy of your driver's license, which is a common practice.

Weekend test drives: If the holiday weekend is your only option for the test drive, please be aware that the dealership may be overwhelmed with requests. Beat the rush and set your test-drive appointment for the early morning at the beginning of the weekend. Arrange to drive your chosen models back-to-back so differences will become apparent and you can make an informed decision.

Explain that you'll be making a purchase decision later in the weekend. It sets expectations and should reduce some of the pressure.

If you are absolutely sure you've found the right car, you can proceed to the deal-making process on the spot. But many people will want to sleep on a big decision. If you're satisfied with the way you've been treated, let the salesperson know that you'll be back if you decide to buy the car. That said, during these times of tight inventory, you may not want to think about it too long because there's a good chance the vehicle might be sold to someone else.

Getting a price

By this point — which may be the first or second day of the holiday weekend — you should already know the car you want, and it is time to settle on a price. Here are a few things that will help:

Check for incentives: Check to see if manufacturer financing or customer rebates are available for the cars you're considering. Please note that some holiday-related manufacturer incentives may be in effect before the weekend and may continue beyond it. You can find these offers on Edmunds, in dealer advertisements, and on manufacturers' websites.

Get additional offers: Try to get two or three price quotes. You can find numerous dealers and dealer inventory on Edmunds. When you find a dealer offer on the car of your choice, make sure to have the text or email handy when heading to the dealership to conclude the deal. It's a good idea to call ahead and make sure the car is still available.

If there's no special offer on a car you want, shopping through a dealership's internet department will save you time and money. You can easily communicate with the internet manager by phone or email. However, on the holiday weekend, it may take longer due to the high volume of inquiries.

If you want to get an even lower price, call competing dealers and ask them to beat the deal you have in hand. But this tactic might only cut the price by a few hundred dollars.

Pick the offer that feels right: Pay attention to all aspects of the deal, including the interest rate, finance terms, any added fees, and the "out-the-door price." Pay attention to how you are treated and what feels best. Better treatment at one dealership can sometimes matter more than a lower price at another.

It can also be the precursor to a more favorable dealer relationship in the future, whether you return there for routine maintenance or encounter an unexpected mechanical issue that the dealer makes less stressful to deal with.

Close the deal and take delivery

To save time, call ahead and ask the dealer to prepare the purchase or lease paperwork ahead of your arrival. Be sure to bring the essential documents you'll need to conclude the sale. That will make the process go more smoothly. You can also request that the vehicle be delivered to your home, although delivery might not occur until after the holiday.

Review the contract: In the finance and insurance office, make sure the dealer includes all your agreed-upon prices and terms in the contract. Be prepared for the sales pitch on aftermarket items and extended warranties.

Inspect the car: Make sure there are no scratches or dents from the shipping process. If you were promised any accessories, make sure they have been installed.

Consider a post-weekend pickup: You are probably dying to get your new car home. But if you don't absolutely need the car, arrange for pickup the day after the weekend sale. Here's why: When business is booming, car dealerships' detail departments often have less time to spend making cars perfect, especially if there is a long line of cars to be delivered. That could mean getting a new car that is clean but doesn't sparkle. You'll also get a more relaxed walk-through of the vehicle's key features if you take delivery after the weekend. A little patience can really pay off.