If you’re thinking about buying a car, January is one of the best times of the year to get a great deal. Whether you’re shopping for a used car or considering Buy Here Pay Here (BHPH) financing, the beginning of the year brings lower prices, dealership incentives, and a better selection of vehicles.
In this guide, we’ll explain why January is the perfect time to buy a car, how to maximize your savings, and what to look for when shopping for a reliable vehicle.
Why January is a Great Time to Buy a Car
January offers unique advantages for car buyers that aren’t available at other times of the year.
1. Dealerships Need to Clear Last Year’s Inventory
- Many dealerships have leftover models from the previous year that they need to sell quickly.
- Prices are often discounted to make room for new inventory arriving in spring.
- Buyers can find better financing options as dealerships push to move cars.
2. Less Competition from Other Buyers
- December is a busy car-buying month due to holiday promotions, but January sees a major slowdown.
- Fewer buyers mean dealerships are more willing to negotiate.
- With lower demand, you’ll have a better selection of vehicles to choose from.
3. Better Trade-In Value for Your Current Car
- Car values tend to dip in the spring and summer when demand rises.
- Trading in your car in January can get you a better deal before values decline.
- Many dealerships are still looking for used car inventory after the holiday sales rush.
4. Tax Refund Season is Coming
- Many buyers wait for their tax refund to use as a down payment, but acting early can give you a head start on savings.
- Some dealerships offer low down payment options or financing incentives before tax season.
How to Get the Best Car Deal in January
If you’re shopping for a car this month, follow these strategies to maximize your savings and get the best financing options.
1. Look for Year-End Model Discounts
- Previous-year models are often priced lower than the latest models.
- Even if the new version has minor updates, the older model is usually nearly identical but cheaper.
2. Consider Buy Here Pay Here (BHPH) Financing
- If you have bad credit or no credit, Buy Here Pay Here dealerships can provide flexible financing.
- BHPH loans often require low down payments and have fast approval.
- Many dealerships offer special promotions in January to attract early-year buyers.
3. Be Ready to Negotiate
- Since demand is lower, dealerships may be more willing to lower the price or offer better financing terms.
- If you’re buying from a private seller, January is also a good time to find motivated sellers looking to start fresh in the new year.
4. Shop Multiple Dealerships
- Compare prices, financing terms, and available inventory at several locations.
- Even if you’re financing through BHPH, you can still compare offers to find the best deal.
5. Don’t Wait Too Long
- While January has great deals, inventory can move quickly.
- If you find a reliable, budget-friendly car, act fast before it’s gone.
Best Used Cars to Buy in January
If you’re looking for reliable, budget-friendly cars under $15,000, these models are great options:
✔ 2016-2019 Toyota Corolla – Known for long-term reliability and great gas mileage.
✔ 2014-2018 Honda Civic – Affordable, fun to drive, and fuel-efficient.
✔ 2013-2017 Toyota Camry – One of the most dependable midsize sedans.
✔ 2014-2017 Subaru Outback – Great for winter driving and all-weather conditions.
✔ 2015-2018 Hyundai Elantra – A low-maintenance and budget-friendly sedan.
Why Now is the Best Time to Get a Car Loan
January is also a great time to secure financing—especially if you’re working on improving your credit.
1. Loan Approval is Often Easier in Early Year Months
- Lenders and dealerships reset their sales quotas in January, meaning they may be more flexible with approvals.
- BHPH dealerships can approve buyers regardless of credit history, making it a great time for first-time buyers or those rebuilding credit.
2. Lower Monthly Payments with Buy Here Pay Here
- Many BHPH dealerships offer short-term financing with affordable payments.
- Payments are reported to credit bureaus, helping buyers improve their credit score over time.
Final Thoughts: Take Advantage of January Car Deals
Buying a car in January offers great savings, better trade-in values, and flexible financing options. Whether you’re looking for a dependable used car or financing that fits your budget, now is the time to shop.
If you’re ready to drive away in a reliable, affordable car, check out our Buy Here Pay Here dealership options today!
