The end of the financial year is looming and if you’re in the market for a new car, the EOFY can be a great time to score a deal. We take a look at what buyers need to know, and what deals there are to be had this end of financial year.
If you’re in the market for a new car, there are plenty of deals to be had this end of financial year (EOFY). Sales are tracking 8% lower than this time last year, which means we’re likely to see some good deals during the EOFY sales from dealers down on their sales targets for the year.
Savvy buyers who have waited until the end of the financial year to purchase a new car could pocket thousands in savings.
In fact, the average discount during the EOFY period is $3,400, or 10% of the original cost of the vehicle. New car sales spike by around 30% each June as buyers swoop in to take advantage of the sales.
With obvious savings to be had, here’s what the experts had to say on what buyers need to know before rolling in to the dealership.
While the car industry is compelled to advertise a final drive-away price with no hidden extra costs, there are some sneaky extras to be aware of.
Metallic paint and automatic transmission can add hundreds, if not thousands to the overall price of the car, Joshua Dowling, National Motoring Editor at Car Advice warns.
“Some drive-away deals are so slim the dealer may not be able to afford to throw in a set of floor mats. Other published prices are in fact the fully marked up cost, so be sure to shop around and compare quotes from at least three dealers,” he said.
Clare Hunter from motoring club RACQ said buyers needed to have their wits about them when buying a new car in the EOFY sales.
“We often see rock bottom prices around June, but make sure you’re not being taken for a ride. In some cases, these are just everyday prices dressed up as EOFY deals to fool unsuspecting buyers,” she said.
“If the price seems too good to be true, there’s every chance new stock is about to come into the showroom and what you’re being offered will soon be outdated. If you want a 2018 model, double check the date of manufacture and specify this in the sale contract.”
Ms Hunter said while it’s easy to fall for a cheap EOFY deal, buyers need to look at how much the car will cost to run once they’ve left the dealership.
“Don’t forget there is registration, insurance, regular services, repayments and of course, fuel. If your new car runs on premium unleaded fuel, you’re looking at paying more every week at the bowser,” she said.
“Buying a car should be a considered, well-thought-out decision. Do your sums, know your budget and make sure you don’t get talked into buying something you’re not going to be able to afford in the long run.”
If you’ve got your eye on an environmentally friendly car in the EOFY sales, our Green Car Loan offers a low rate in return for your eco efforts.
Your car is likely to be on our list of approved green cars if it’s:
· A new or demonstration vehicle
· More fuel efficient than average for a car of its size
· A hybrid vehicle
Certain models of the Volkswagen Golf, Mazda 2, Ford Fiesta, Honda Jazz and many more fit this criteria.
The new generation Kia Cerato (available as sedan or hatch auto) is priced at a steal of $21,990 drive away – a huge $5,400 off the full RRP. Included in that price is autonomous emergency braking, lane keeping assistance, Apple Car Play, Android Auto and a seven-year/unlimited kilometre warranty.
The Hyundai i30 Go is $3,300 below the full list price at $22,990 drive away with a further $500 discount applied until the end of June.
Volkswagen is pushing hard to clear its stock of Golf hatchbacks. The 1.4 litre base Trendline has $2,000 slashed off its original price – the cheapest the Golf has been since the last EOFY.
If you need an SUV that can actually go off the beaten track, the seven-seat Mitsubishi Pajero Sport is pretty hard to go past, with $6,000 slashed off its RRP. Even the five-seat base model Pajero Sports GLX has been priced to sell, with a whopping $7,500 discount.
Ford’s Escape Ambiente auto is $4,800 off the full RRP at $29,940 drive away. This car comes with autonomous emergency braking, embedded satellite navigation, Apple Car Play and Android Auto and push button start.
The best deals in the Ute category are with Mitsubishi. With tons of leftover stock of last year’s runout Triton, they’ve definitely been priced to sell.
The base model 2018 Triton GLX double cab pick-up manual is a steal with about $6,000 off the full price - the cheapest Triton prices have been in half a decade.