Chicago, Illinois – Car shoppers in Chicago, Illinois, may have a better chance of finding great deals this Memorial Day weekend compared to last year. According to auto research firm Edmunds, dealerships across the country are currently overstocked with 2023 model vehicles, resulting in higher discounts and lower interest rates than usual.
Edmunds reported that the availability of 2023 models at dealerships has increased to 6.8%, up from 5.4% for 2022 models the previous year. As a result of the surplus inventory, automakers and dealers are offering an average discount of $4,147 on last year’s models, which is more than double the average discount offered on 2022 models a year ago.
The increase in promotions and discounts could provide some relief to consumers who have been facing rising costs of car ownership, including insurance and maintenance expenses. A recent report by AAA revealed that the average cost of owning a new vehicle has risen to $12,182, up from $10,728 in 2022.
Ivan Drury, director of insights at Edmunds, noted that the market has shifted from a seller’s market to a buyer’s market, making it a more favorable time for consumers to consider purchasing a vehicle. Drury emphasized that there are currently more incentives and discounts available than in previous years, allowing buyers to potentially save more on their purchases.
Scott Kunes, COO of Kunes Auto and RV Group, highlighted the significant increase in vehicle inventory at dealerships, with some locations experiencing a surplus of vehicles. As a result, dealers are offering heavy discounts, particularly on Big Three autos and electric vehicles.
For buyers considering purchasing an electric vehicle, Kunes pointed out that there are numerous incentives and discounts available, including generous leasing options. While demand for EVs has slowed, it presents an opportunity for buyers to take advantage of historically low prices on electric vehicles.
As Memorial Day weekend approaches, consumers are encouraged to research discounts and incentives offered by dealerships before making a purchase. Experts advise buyers to consider the long-term implications of their purchase, particularly in terms of depreciation and resale value.
Overall, the current market conditions indicate a shift towards a more buyer-friendly landscape, with dealers and manufacturers alike offering incentives to move vehicles off the lots. With careful consideration and research, car shoppers in Chicago, Illinois, and beyond can take advantage of the favorable Memorial Day deals on offer.