Knowing the best time to sell cars can give you a significant advantage, and after decades in the car business, I've seen patterns emerge that can make or break your selling experience.
Two periods consistently stood out for the dealerships I worked at: tax refund season and year-end biz blowouts. Understand these windows, and you'll maximize your return while minimizing time on the market.
This article reviews key points about those seasons and what you can do to boost your sales.
February through April isn't just tax season - it's prime selling season and arguably the best time to sell cars. Why? Simple economics. When buyers suddenly have $2,000+ in refund money, they're ready to make moves. In recent years, where child credits could give families up to $6K back on their taxes, they’d come in and buy some seriously expensive metal with that amount serving as their 10% down.
During my GM days, we'd prepare specifically for this season. Buyers come in with down payment money in hand, ready to pull the trigger.
Think about it - when buyers have that refund burning a hole in their pocket, they're less likely to haggle you down to the last dollar. That extra negotiating leverage can mean hundreds or even thousands in your favor.
But the thing of it is, you've got to be ready because if you wanna shoot these fish in the barrel, they will swim right on by to the next lot if they don't stop at yours.
December creates another perfect storm for dealers. Businesses are looking to utilize tax advantages before year-end, and dealerships are looking to hit annual targets.
Now, let's be on the consumer's side. You've got leverage here, too, with trade values. I've personally authorized thousands in additional trade-in amounts just to hit year-end quotas. That's why many dealers consider December the best time to sell cars. You've just gotta get it done, and it's a win-win around the table.
The Section 179 deduction is a powerful motivator for business buyers. They need to purchase and put vehicles into service before December 31st to qualify, creating a sense of urgency that works in your favor as a seller - but let's not forget the buyer benefits/motives either. When I worked at Land Rover, a business buyer could deduct 100% of the depreciation because, technically, many of those vehicles qualified as a truck (due to weight).
Whether you're selling new or used vehicles, visibility is everything. One trick we used at the dealership - and that you can use too - was creating visual excitement around cars we needed to move quickly.
Our DuraBalloon® displays positioned strategically near high-value inventory consistently drew more attention and test drives. For private retailers and smaller buy-here-pay-here lots, consider investing in some eye-catching signage or displays when showing your vehicles. It might seem small, but presentation matters. Your lot is not too small to take advantage of eager buyers.
During tax season, we'd create special FestiBall® displays highlighting "Tax Refund Ready" vehicles in our showroom. The visual excitement genuinely increased customer engagement with those specific models. When you understand the best time to sell cars, combining it with effective displays creates an unbeatable advantage.
Understanding the best time to sell cars is just the beginning. Today's successful sellers also leverage online platforms strategically during these peak periods. During my dealership days, we would ramp up our online presence during tax season and year-end with enhanced listings, virtual tours, and special financing options.
Get your CRM working for you and send out tax season incentives and deals. Get your paid ads wizard workin' and make sure to create PPC and Paid Social Campaigns with ads and adverts jumping in on "tax refund" keyword variants. Even if a potential buyer isn't considering a purchase, seeing your ad at just the right time could be a motivator.
As for your online presence, make it as professional as possible with detailed descriptions, maintenance history, and high-quality photos. Remember, during peak seasons like tax refund time, more buyers are actively searching online. Is your digital sales environment ready?
If you have digital retail tools or in-house finance options, make sure buttons are strategically placed. Make it easy to buy from you!
While timing matters, don't overlook these critical elements:
Seasonal Demand: Convertibles and sports cars command premium prices in spring, while 4WD trucks and SUVs perform better in fall and winter. I've seen identical trucks sell for thousands more in November than in July.
Vehicle Condition: This seems obvious, but I can't stress it enough - presentation matters. A detailed vehicle with minor issues addressed will always command more money. At the dealership, we saw a 3:1 return on reconditioning investments.
it from someone who's appraised thousands of vehicles - these steps make a difference:
At my dealership - we collected all of these documents and data and called it our "Worry Free Folder." We'd have em right on the passenger seat or the dash and buyers could answer their own questions before they'd even ask. Again... just make it easy.
After years in the business, I've found that timing really is everything. Tax refund season (February-April) and year-end (especially December) consistently deliver better results for sellers. Add effective visibility through professional displays and proper preparation, and you'll maximize your return.
Remember, buyers make emotional decisions backed by financial justification. Give them both by presenting your vehicle properly during these high-demand periods, and you'll walk away with more money in your pocket. Leverage the best time to sell cars with strategic marketing, and you'll outperform other dealers every time.
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