How to Get Deals on Leftover Car Models
Every year, as new model year cars roll into showrooms, dealers suddenly face a problem: how to clear out last year’s inventory. That leftover stock can turn into a burden. But for buyers who know the tricks, those extra cars present opportunities. In this article, we’ll explore the inside strategies that brands like Audi, BMW, Ford, GM, Kia and Honda (and their dealerships) use to push leftover cars, and how you can use that knowledge to lock in favorable deals on leftover car models.
Moving Old Inventory
First, it helps to understand the pressure facing a car dealership:
- Floor-plan financing costs. Dealers typically use “floor planning” (a kind of loan or line of credit) to stock new car inventory. The longer a car sits unsold, the more interest or holding cost erodes the dealer’s margin.
- New model year ambitions. Automakers want to present their freshest models, features and refreshes. You can’t have last year’s cluttering the lot indefinitely.
- Depreciation and perception. A car marketed as “last year’s model” often feels outdated to buyers. The moment a new model year number is official, remaining old ones lose appeal.
- Quota and sales targets. Dealers are often pressured on monthly, quarterly and annual targets. Moving leftover inventory helps them meet volume goals.
Because of this pressure, dealers and manufacturers deploy several “secret” tactics to nudge buyers toward leftover models and sometimes give buyers real leverage.
Common Dealer Strategies to Recognize
Here are some of the insider tactics dealers use to shift leftover models and how recognizing them gives you an edge when making a purchase:
1. Hidden Incentives and Rebates
Dealers often get “carryover incentives” or special rebates from manufacturers to help them sell leftover inventory that’s otherwise losing value. These incentives may not be openly advertised to consumers. Dealers may mask them in “discounts” or “dealer cash.”
2. Very Aggressive Financing or Interest Rate Deals
If price discounts aren’t enough, a dealer may push 0% (or very low) APR financing, extended terms or cash-back offers to make the math work. Bundling in “dealer incentives” into financing is a classic move.
3. “Make Room” Sales Events
Toward the end of the month, quarter or year, dealers may subtly or openly advertise “clearance event,” “model year closeout” or “end of line” sales. In those windows, they may be more willing to budge.
4. Model Shifting or “Hidden Markup” Adjustments
Dealers may push prospective buyers toward the newer model by using older models as trade-in bait or framing prices so the leftover model looks like a deal. Watch for markup or option add-ons that inflate your out-the-door cost.
5. Dealer Trades Between Locations
If a nearby dealership is stuck with a low-demand color or trim, they might swap cars with another dealer in a better market. That means a “local leftover” might appear if you cast your net wide.
6. Using Demos or “Nearly New” Leftovers
Some leftover inventory is driven by demo or display vehicles (these have low miles). Dealers may treat these as leftover stock and price them between “new” and “used.”
Related Search Topics (Ads)
What to Look for With Brands
Here’s how these strategies often show up for major automakers:
- Audi and BMW. Luxury brands are especially sensitive to image and model year perception. Dealers may layer incentives discreetly, or push package add-ons (warranty, maintenance) to mask discounts.
- Ford and GM. With large fleets and broad model lines, Ford and GM dealers are more likely to offer aggressive rebates, zero-interest financing and clearance sales on leftover trucks, SUVs and sedans.
- Kia. Kia (and other high-volume brands) often makes use of “carryover adjustments” when newer models launch. Dealers may also stack manufacturer rebates with dealer cash.
- Honda. Honda tends to move more conservatively, but you may see model year carryover deals (especially as redesigns or refreshes approach). They may also offer loyalty or college grad bonuses to tip the scale.
How to Exploit Dealer Secrets for Better Deals
Knowing the above, here are concrete steps to turn leftover inventory into bargains:
1. Track Inventory
Start your search early (late summer to early fall) when next year’s models begin arriving. Track inventory of the outgoing model year at multiple dealers in your area. Monitor which colors, trims and options remain unsold. Capital One’s guide suggests the “sweet spot” is when leftover inventory is between 10–20% of the incoming model year supply.
2. Use Timing in Your Favor
Focus on end-of-month, end-of-quarter and year-end windows. Go when dealerships are slow (e.g. weekdays, bad weather). That gives you more leverage.
3. Be Flexible on Configuration
The deeper discounts are usually on the least popular colors, options or trim levels. If you’re willing to compromise on features (or color), you’ll find better deals on leftover models.
4. Demand Transparency
Ask for the “dealer invoice,” “manufacturer incentives” and “carryover rebates.” Force the negotiation to be about true cost, not only the sticker price. Break down how the dealer arrives at “your price.”
5. Leverage Competing Offers
Get quotes from multiple dealerships for the same leftover model. Use them to push for better terms (price, financing options). If one dealer flags hidden markup, move to another.
6. Probe for Hidden Add-ons and Fees
Watch for “market adjustment,” “prep fees” or bundled accessories. Leftover deals can vanish when dealers tack on hidden charges. Make sure the discount is real.
7. Consider Demo, Loaner or Off-lease Leftovers
These often come with low mileage and can be discounted more aggressively. Ensure you inspect vehicle condition and warranty coverage.
8. Evaluate Depreciation and Resale Risks
Leftover models are already “one year old” in buyer perception. Their resale value may drop faster initially. If you plan to keep the car for many years, the risk is lower. If you expect to resell soon, make sure your discount is strong enough to offset that.