If you’re even thinking about buying a new car, here’s a secret the auto industry won’t exactly scream from the rooftops: the stretch between Black Friday and New Year’s Eve is one of the best times of the year to score a deal.

Yes, really. You might think the Thanksgiving to Christmas season is far too filled with holiday parties, gift buying, and family travel to be a great time to buy a car.

But those factors are a few of the reasons why it is. Carmakers and their dealers are desperate to get your attention before the year ends.

With their annual sales plans often teetering between success and failure as the year comes to a close, automakers become more willing to employ incentives so they can hit their marks. Similarly, dealers, who face annual sales goals of their own, become increasingly willing to “deal” if that’s what it takes to nail their sales targets.

In short, the industry incentives and dealership dynamics at play make this six-week window between Thanksgiving and New Year’s Day one of the most buyer-friendly times of the year.

Why Black Friday starts it all

Once the calendar flips past Halloween, everything shifts in the car market. October, which typically marks the start of the new “model year,” used to be the month when hype and hoopla over the brand-new cars created excitement. But those days are over.

Now often called the “February of fall” in auto circles, October is typically a dead month. Consumers don’t want to buy cars, and automakers aren’t pushing hard. But that changes in a big way starting on Black Friday.

Black Friday now kicks off the auto industry’s winter sales cycle. This is when the first meaningful discounts on new model-year vehicles start to appear. The incessant drumbeat around Black Friday puts consumers in a buying mood. While you might think people are too stuffed with turkey to car shop, you’d be surprised. In recent years Black Friday has become one of the four “Mount Rushmore” auto sales events of the year, right alongside Memorial Day, Labor Day, and the final week of December.

There’s a reason you see so many auto ads in those key weeks. While consumers are ready to buy, automakers and dealers are ready to deal. One aspect builds off the other and suddenly you have a self-fulfilling prophesy coming to life before your eyes.

The Red Bow Effect

As I said, it wasn’t always this way. But believe it or not, you can credit a lot of this holiday momentum to Lexus and their iconic Red-Bow December-to-Remember ads. Those commercials didn’t just sell cars; they reshaped consumer behavior. They turned December from a slow sales month into a hotbed of luxury-vehicle purchases.

That “Christmas creep” now extends all the way back to Black Friday, meaning shoppers who hear about deal after deal after deal in the Black Friday run-up start getting serious about car buying around the Thanksgiving weekend. The auto industry jumped on that bandwagon with incentives and ad campaigns that capitalized on that new seasonal rhythm.

Why December is right time

December is no longer a time when buyers stay home and save their cash for holiday gifts. In fact, it’s a prime time for some of the best deals on vehicles, especially if you’re looking for larger or luxury models.

In addition to the media blitz promoting shopping during the Thanksgiving to Christmas  timeframe, there’s another big reason for vehicle sales to spike in December: tax benefits. For businesses, which now include the growing number of workers who are self-employed, buying vehicles in December can offer significant tax write-offs thanks to accelerated depreciation rules.

This stimulates demand, particularly among commercial buyers who want to get their purchases in before the calendar year ends. Add to that the natural push from dealerships to hit end-of-month and end-of-year sales targets, and you’ve got a market that’s practically begging to make a deal.

End-of-year pressure = buyer leverage

The idea that dealers are more motivated to cut deals at the end of December isn’t a myth. With our unprecedented ability to look inside dealerships on a virtually real-time basis, we see it quite clearly. Every month, dealerships have volume targets to meet. And at the end of the year, those stakes are even higher. Dealers want to end strong. Automakers want to boost their annual numbers. That pressure flows straight to the sales floor.

When you look at domestic brands — think Ford, Chevrolet, Ram — you’re likely to find the most generous end-of-month and end-of-year incentives. While import brands like Toyota or Honda often start strong early in each month, it’s the domestic brands that come out swinging in the final days with extra discounts and cash offers.

The Magic Week: Christmas to New Year’s

If you are seeking to time your purchase just right, aim for the final week of the year. The stretch from Dec. 26 through New Year’s Eve is arguably the single best time to buy a car all year for many brands and models.

It’s the time when all parties are motivated. Dealers are racing to close deals. Automakers are throwing extra incentives into the mix. And consumers and businesses are eager to reap incentives and tax breaks. Often luxury brands see a significant uptick in sales during this period, and sometimes, this week ranks as the top-selling week of the year.

Pro tips for shoppers

Research ahead of time. Know which models you want and what the going price is. That way, when you see a deal, you’ll know whether it’s a good one.

Be flexible. Dealers may have great offers on models that weren’t necessarily on your radar. Keep an open mind on the model you’d like to see in your driveway. If you have a particular model in mind, shop early to get the best choice of color and trim.

Consider a 2025 model versus a 2026. In most instances, the factory incentives on the outgoing 2025 model-year vehicles will be richer than on the 2026s.

Time your visit. Late in the month and later in the day are times when deals tend to get better. Salespeople are more likely to negotiate when they’re trying to hit their numbers.

Negotiate with purpose. Don’t expect that just because you walk in the door at the right time that you’re going to get a great deal. You still must negotiate with the dealer to reap the benefits of good timing.

If you want the best shot at serious savings, there’s no better time to be in the market than from Black Friday through New Year’s Eve. It isn’t just the holiday shopping season. It’s a strategic opportunity to get the right car at the right price with all the industry tailwinds working in your favor.

 

Tyson Jominy is senior vice president of data & analytics at J.D. Power.