Japanese Car Incentives May be Discontinued Next Month
The recent tragedies in Japan has destroyed thousands of new cars waiting for shipment and have slowed down and in some cases stopped shipments of vehicles from that country.
Dealers are already raising prices on popular models such as the Toyota Prius in anticipation of shortages.
Analyts are reporting price hikes of $2,000 for the Prius and $800 for the Honda Fit.
A memo was recently sent to Honda and Acura dealers letting them know that there will be limited inventory available until May, and even GM had to stop production on the Chevrolet Colorado and GMC Canyon pickups due to a shortage of parts from Japan.
For the next few months, availability of some Japanese models will be limited and prices on many models will rise while incentive programs may be halted.
If a significant number of customers switch from Japanese to American-made models, we could see price increases there as well.
Japanese car companies currently offering rebates, low-interest loans, factory-to-dealer cash, and special lease deals may not extend those deals in the coming months due to the limited inventory.
Therefore, if you're considering buying or leasing a new car, NOW might be the best time to pull the trigger.
Many car companies have already committed to incentive programs for March but may not extend them in April and the following months.
My Recommendation for Car ShoppersTrueCar and Edmunds 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.
- Gregg Fidan
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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.
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