When is the best time to buy a car?

By | February 20, 2017

The short answer is right now. The slightly longer answer is that car prices are cyclical. The folks over at CarGurus have compiled a great historical dataset on car list prices. What becomes quite obvious when looking at the prior six years?  (courtesy: CarGurus)

That’s right, prices tend to bottom out around the end of winter before climbing back up in the spring (some sources stipulate that tax-refunds are to blame). I’m not a fan of the clunky interface on CarGurus, so I’ve created a similar index and ran the last 6 months of data through a cumulative line chart. We can already notice the initial uptick in prices following the winter dip, so if you were looking to start shopping for some used cars, right now would be a great time!