Love it or hate it, shopping for a new car is something most of us have to do at least a few times in our lives, and it can be pretty daunting with all of the options out there. How do you choose between luxury vehicles, pick-up trucks, EVs, SUVs, and your typical sedan? Better yet, you have a budget and you have to make sure you’re not in over your head.

But, here’s a tip: you don’t have to buy a brand new car. You could save thousands opting for nearly-new vehicles instead.

If you’re hemming and hawing over whether to buy new or slightly used, you’re not alone. I’ve often considered the benefits of both when shopping for a new, or new-to-me, vehicle. But you should know there are a lot of ways to save money on nearly new cars, such as those with low mileage and wear and tear. It’s all in the art of negotiation, knowing what you want, and preparing ahead of time before you ever set foot on a lot. The more knowledge you have, the more bargaining power, and that means more money in your wallet.

How We Found These Tips

To find the best ways to score those massive discounts, we consulted the top reputable sites in the industry, including Motor Trend, Kelley Blue Book, Edmunds, and Car and Driver for applicable tips. We also pulled from personal experience when necessary, because nothing beats real-world scenarios.

Research is Key

We don’t just mean looking at the prices at your local dealerships. Arm yourself with the knowledge you’ll need to seal the deal. For example, Consumer Reports has a Build & Buy Car Buying Service that allows you to look up what price cars are selling for in your area. Use this to help create your jumping-off point for negotiations later on.

Don’t be afraid to pit dealerships against each other. They all want the sale; it’s up to you to make them make you an offer you can’t refuse.

Buy Used or Older Models

One of the most significant ways to save money is to buy a used vehicle or an older model year that hasn’t yet been sold. Dealers are always trying to make room for newer inventory and will likely offer more deals or be open to negotiation on older cars on the lot.

These often include service loaners, certified pre-owned, and older model-year vehicles.

Service Loaners

Many dealerships designate cars as “service loaners,” vehicles that existing customers can drive while theirs is being serviced. According to Ewing Subaru of Plano, these loaners are more like a “rental vehicle,” and put through its paces with full acceleration and brakes, but that shouldn’t be a basis for not buying one. The dealerships usually keep them in great condition because they’re also used to showcase new features and entice customers to buy.

That’s good for the buyer because they can buy a nearly new car at a decent discount. They’re still backed by the manufacturer’s warranty in case anything goes wrong.

Certified Pre-Owned

Certified pre-owned (CPO) cars are vehicles that others have owned and returned to the dealer, whether because a lease was up or someone traded it in for a newer model. The good thing about these cars is the original owner ate up the depreciation, which means you get more bang for your buck.

Car & Driver notes that CPO vehicles tend to be just a few years old, most with fewer than 50,000 miles, and often have time left on the original warranty to safeguard you. Some dealers also offer incentives — like complimentary maintenance or roadside assistance — for clearing these cars off their lots.

Last Year’s Models

At the turn of the year, dealerships need to make way for new inventory, which means getting rid of last year’s models. To do that, they might discount the older cars. Consumer Reports analyzed TrueCar data, revealing that 2024 models were discounted last summer when new inventory arrived. The savings sometimes exceeded $2,000.

But guess what? These vehicles are still almost new, with negligible mileage, meaning you can save a couple of grand just by waiting a few months. And often, the differences between last year’s and this year’s model are minimal unless there’s been a major technological overhaul.

The Art of Negotiation

Negotiating is one way to drive down the sticker price of a nearly-new car, but you have to know what you’re doing and arrive at the dealership prepared. Research any vehicles you’re considering through reputable sources like Kelley Blue Book and familiarize yourself with the dealer’s bottom line — the absolute lowest amount they’ll take for the car.

You should let the salesperson be the one to start negotiations for the vehicle and counteroffer without arguing. Finally, don’t get caught in the trap of negotiating for the payment price. Negotiate the final vehicle price. Before you walk out of the dealership, have them write down all the details of the price, so there are no surprises later.

Get Pre-Financed

Before you start shopping, you should get a pre-approval from the bank of your choice, rather than apply for financing at the dealership. The reason is, if they know you already have the financing in hand, they’re more likely to work with you.

You can also express interest in dealer financing, too, if they have incentives that make it worth it.

Avoid Add-ons

Salespeople can be tricky. You might get the sales price you want, then be asked to upgrade or add-on feature packages. Just say no.

Having worked in the financial department of a dealership for years, this is one of their last-ditch attempts to jack up that sticker price and make more money for the dealer. Be firm, because they can be pushy about trying to upsell.

Before We Go…

Just remember that nearly every vehicle is negotiable, if you know how to speak the language and what to look for. Don’t be afraid to walk away if a salesperson or dealer is unwilling to budge. There’s a lot of competition out there and you’re likely to find a good deal at another dealer.