Worst Deals on New Cars Right Now - Consumer Reports (2024)

FAQs

How overpriced are cars right now? ›

But that's still 29% higher than the average pre-pandemic price of about $38,000 in February 2020. Used car prices averaged $31,556 in March, down from a peak of $32,889 in April 2022 but still 33% more than March 2020's $23,691.

The MSRP can be the starting point for negotiations, but if others are paying higher prices, it might be a time when paying the sticker price is acceptable. However, if the vehicle is in high demand — think of a brand-new or redesigned model — transactions well above MSRP are not uncommon.

Despite that, prices are still higher than they should be, as a new iSeeCars study found that the average new car is priced above MSRP, though they're slightly less painful than they were a year ago.

Last year's least reliable company, Mercedes-Benz (M-B), stayed unreliable and was ranked the second least trustworthy behind Chrysler, which was given a woeful average predicted reliability score of 18 out of 100.

"2024 is probably the best year since the pandemic to buy a new car," Mark Schirmer, director of industry insights at Cox Automotive, told ABC News. "2021 and 2022 were really difficult years. Dealers are talking about discounts again ... this was not happening 18 months ago.

Experts say that 2024 will be the best year to purchase a new car since 2019. As interest rates slowly drop throughout the remainder of the year, payments will become more manageable. Don't overlook manufacturer rate promotions, as they can save you thousands of dollars.

It is considered reasonable to start by asking for 5% off the invoice price of a new car and negotiate from there. Depending on how the negotiation goes, you should end up paying between the invoice price and the sticker price. Used cards. You tend to have more wiggle room with used cars.

Will dealers sell below MSRP? ›

You don't have to pay MSRP.

Dealers often advertise car sales as some amount “below MSRP.” In fact, very few vehicles are sold at MSRP. A price below MSRP isn't necessarily a great deal, though it's a good place to start negotiations.

Point that out, and be clear and direct. This is not the time to beat around the bush. It might even have a declination box where you can sign that you reject the product offered. Remember, you can get most dealer add-ons for hundreds of dollars less elsewhere.

Best seasons to buy a car

Seasonally, the best time to buy a car typically coincides with the ends of sales cycles — the last days of the month, quarter, or fiscal year. Most dealerships and salespeople work on commission and have quotas to meet each cycle (month, quarter, and year) to net big bonuses.

Jaguar. The Jaguar X-type is one of the models known for unreliability for the brand. Few brands have had a fall from their pedestal of reputation like Jaguar has. Founded in 1922, they have gone through quite a few ups and downs.

Lexus, Toyota, and Mini are the three most reliable brands in this year's annual auto reliability brand rankings, with the two Japanese brands swapping spaces from last year. The automaker Honda follows, with its luxury Acura brand coming in fourth and the mainstream Honda brand rounding out the top five.

Why do Kias have a bad reputation? The Kia brand used to be known for cheap, low-quality automobiles. This is largely because when the brand first launched in the U.S., its vehicles experienced a high number of problems. Since then, Kia has improved its fleet, and the brand is now known for its exceptional reliability.