Should You Buy a Leftover Model?

Dealerships are now well stocked with 2011 models, though there are some leftover 2010 models still available.

Many car buyers are wondering whether they should buy the new model year or go with a leftover 2010.

Here are some points to consider:

• In a given year, only about 20% of models are redesigned. That leaves the majority being sold as carry-overs.
• Data shows that most vehicles' reliability improves over the model lifespan, due to running changes to address bugs.
• Consider waiting until redesigned cars have demonstrated a proven reliability record.
• A leftover new car is considered a year old the moment it is driven off the lot. That means when you sell or trade it in, it will be valued similarly to other vehicles of that model year even though it's been on the road for fewer months.
• If you are a high-mileage driver, near-term depreciation shouldn't be much of a factor. In fact, long-distance drivers buying a 2010 at year's end will get one more model year to spread miles over.

To sum up, a leftover model makes sense if you intend to keep the car for many years and saving money is a main concern. Buying a brand new, redesigned model at the very beginning of its life cycle usually doesn't make sense. It's best to wait a few months and let the manufacturer get the kinks out while at the same time supply catches up to demand.