End of the year, quite a great time to pamper yourself and your dear ones. And oopps. It’s also a time for the hottest deals from automakers.
Watch out - great cars come in affordable prices. With this being year-end, auto dealers are willing to wheel and deal to move every new and pre-owned vehicle they can off their lots by midnight Jan. 2. General Motors, Chrysler, and Hyundai Motor America were a few of the automakers that decreased production during the fourth quarter, avoiding healthy incentives and an oversupply of vehicles on their dealers’ lots. This puts dealers in a less desperate situation than they faced last year. Yet, there are still many great deals to be found.
Overall, the mid-luxury car category - Acura RL, Acura TL, Audi A6, BMW 5 Series, Cadillac STS, Lexus GS, Mercedes E-Class, Saab 9-5, Volvo S80 - has the greatest incentives this year, topping out close to an average of $5,000 per vehicles sold, according to Power Information Network, an auto industry, reported the Black Enterprise.
For instance, BMW Financial Services is offering 3.9% to 4.9% on many of its cars for 60 months, whereas the average interest rate being offered by many financial institutions is 6.86% for the same term, according to Bankrate.com. Purchasing a $59,000 BMW 550i through its finance company will lead to a monthly car payment of $1,083.91, using its special rate and term, saving approximately $4,857 in financing from the same rate being offered by lenders on Bankrate.com. Ironically, opting for BMW’s three-year subsidized lease at $739 a month on the 550i will save consumers close to $300 a month from the conventional 60-month car note.
In addition to BMW, other automakers are offering year-end deals. Chrysler LLC and Chrysler Financial are deferring payments until June 2008 on most 2006, 2007, and 2008 models; General Motors and GMAC are offering 0% financing for 60 months on many 2007 vehicles along with a $1,000 holiday bonus on several 2008 models; and Ford and Mercury are offering a $1,000 holiday bonus on several 2007 and 2008 models.
The maker of Acura CSX distributor caps and other plush automakers could have been overwhelmed by the coming sales.