RealCarTips Logo

Honda Incentives Hit Record High,
Toyota May Follow

July 2, 2009

Honda Incentives According to Edmunds.com, Honda spent an average of $1,686 on incentives for every car sold in June.

This was the third month in a row where Honda raised incentives spending with last month being a record high

On the flip-side, domestic manufacturers such as GM and Chrysler may be cutting incentives spending in future months due to a decrease in production.

Toyota, on the other hand, is in a tough situation which may force it to follow Honda's lead and increase incentives.

Toyota spent an average of $1,362 on incentives per vehicle sold in June. We predict this figure will creep up in the coming months.

Toyota built several manufacturing plants in the US over the last few years on the false assumption sales would be healthy. That hasn't turned out to be the case.

Unlike GM and Chrysler, Toyota can't just shut down these plants. They don't want to lay off their workers since that would ruin Toyota's image as a generous US employer.

So it looks like Toyota is going to be producing a lot more cars than it can sell. The only way to move these cars is to raise incentives. Look out for higher rebates and better financing deals from Toyota over the next several months.

See the lowest prices on a vehicle in your area (plus see the actual incentives you qualify for)
Enter Your Zip Code:

My Recommendation for Car Shoppers

TrueCar No-Haggle, Edmunds Price Promise, and 1-800 Car Show are the quickest way to see the lowest car prices in your area. These sites show you no-haggle prices from dealers closest to you - and the deals are usually really good. This should be the first step you take when negotiating your car price. Follow this up with my checklist to make sure you squeeze out every last bit of savings.

California Residents - Important:

There is a new online car buying service called Roadster, available only to California residents, which I highly recommend you try - especially if you hate the stress of haggling with a car salesman. They provide an expert concierge who negotiates the price of the car and delivers it to your home with zero hassle - you never have to interact with a dealership. Here is my in-depth review of Roadster and why I recommend it.

- Gregg Fidan

Gregg Fidan

About: Gregg Fidan


Gregg Fidan + is the founder of RealCarTips. After being ripped off on his first car purchase, he devoted several years to figuring out the best ways to avoid scams and negotiate the best car deals. He has written hundreds of articles on the subject of car buying and taught thousands of car shoppers how to get the best deals.

Latest Weekly Car Buying Tips    RSS Feed

December 1, 2016
November 24, 2016
November 17, 2016
November 10, 2016
November 3, 2016
October 27, 2016
October 20, 2016
October 13, 2016
October 6, 2016
September 29, 2016
September 22, 2016
September 15, 2016
September 8, 2016
September 1, 2016
August 25, 2016
August 18, 2016
August 11, 2016
August 4, 2016
July 28, 2016
July 21, 2016
July 14, 2016
July 7, 2016
June 30, 2016
June 23, 2016
June 16, 2016
I welcome your car buying questions. Email Me and I'll be glad to answer them!

Each week, I'll keep you up-to-date on the latest car deals and news that might affect your purchase. This includes...
Enter Your Email Below

(Absolutely NO SPAM, easy to unsubscribe)
×