What is the best deal on a new car in August 2022?

In recent months, new-car buyers have faced a number of obstacles, including a lack of inventory, record-high costs, and increasing loan rates. While it is said that time heals all wounds, the inventory shortage has now extended into the second half of the year, and it is evident that the auto industry needs even more time to recover; however, timing can be advantageous this month for consumers who select a vehicle with above-average incentives and take advantage of increased used-car trade-in values.

Predictions that the inventory shortfall would improve in the first half of 2022 have not come to pass. According to the most recent sales report from J.D. Power, many new automobiles are scooped off dealer lots as soon as they arrive, with 55 percent of cars sold within 10 days and the average vehicle being on the lot for just 19 days, compared to 29 days a year earlier. This desire exists despite the growing cost of new automobiles: The average price of a car purchase was anticipated to reach $45,869, a 12 percent increase from July 2021. Meanwhile, meaningful incentives from automakers remain scarce. The projected average reward for July was $894, representing a decrease of approximately 55 percent compared to the same month last year.

SUVs and pickup trucks accounted for roughly 80 percent of all newly sales cars in July, despite rising gas costs. While the incentives for the first two cars averaged $900, the incentives for the four vehicles mentioned below exceed this amount, earning them a position in our list of the best offers.

Chevrolet Equinox 2022

$1,200 factory discount
After-savings pricing range: $27,500-$43,500
Factory savings are estimated to be between 3% and 4%.
Offer expires on August 31.

The Chevrolet Equinox is one of the best-selling small SUVs, and the 2022 Equinox gets new looks, additional electronics, and a new RS variant with darker accents to help it compete with competitors like the Ford Escape, Honda CR-V, and Toyota RAV4. Despite the fact that the most cheap basic L has been canceled for 2022, customers in the locations we examined will save $1,200 on all other Equinox trims this month. Qualified buyers who finance through Chevrolet parent GM may forego the cash incentive in exchange for a 0% interest rate for 60 months. Both discounts are valid until August 31.

Chevrolet Traverse 2022

$1,000 off at the factory
After-savings pricing range: $34,000-$60,500
Factory savings are estimated to be between 2% and 3%.
Offer expires on August 31.

Families in need of more room than the Equinox may save money on the SUV’s bigger stablemate, the three-row Traverse. The 2022 Traverse is available with a $1,000 savings on all trims in the places we studied. The Traverse, like the Equinox, received a 2022 makeover that included modest cosmetic modifications like as a new grille, front and back bumpers, revamped LED headlights and taillights, and new wheel designs. To compete, the family hauler gained extra safety technology, including a front collision system with automated emergency braking and pedestrian recognition, lane keep assist, and a following distance monitor. In place of the cash savings, approved buyers who finance with GM may take advantage of a special financing rate of 2.89 percent for 60 months. All deals are available until August 31.

Jeep Compass 2022

$1,000-$2,000 factory discount
After-savings pricing range: $27,500-$41,500
Factory savings are estimated to be between 2% and 6%.
Offer expires on September 6th.

Despite its dismal fuel efficiency (an EPA-rated 25 mpg combined), the revised 2022 Compass has a lot of redeeming aspects, including upgraded interior materials and storage, a more rapid Uconnect 5 system, and new standard safety systems. This month, it also provides between $1,000 and $2,000 in cash discounts, depending on the location. Customers who finance with Jeep parent Stellantis may exchange the cash-only offer for one of two financing options: 0% for 36 months or 2.9 percent for 60 months with $1,000 in extra cash. All cash and loan deals are valid until September 6.

Ram 1500 Big Horn/Lone Star 2022

$2,250-$6,500 factory discount
After-savings pricing range: $38,500-$73,500
Factory savings range from 3 to 14 percent.
Offer expires on September 6th.

The 2022 Ram 1500, a consistent Editor’s Choice selection, also recently topped the list of most available American-made cars, having the largest inventory among rivals such as the Ford F-150 and Chevy Silverado 1500. Furthermore, the pickup bucks the trend of declining incentives: Big Horn and Texas-exclusive Lone Star trims come with cash savings ranging from 3% to 14%, depending on area. These trims will also get substantial improvements for 2022, including a new off-road-focused BackCountry Package and the most recent Uconnect 5 system. In most places examined, shoppers who finance with Stellantis may swap the existing cash-only deals for a special financing rate of 0% for 48 months or 1.9 percent for 60 months with up to $4,000 in bonus cash. All of the above discounts expire on September 6.

How We Find Deals

To assist vehicle consumers in finding the best August bargains, we begin with cash offers that are open to all customers, rather than ones that need financing from the carmaker or meeting particular conditions (e.g., military or college-graduate discounts, loyalty or conquest bonuses, etc.). We concentrate on the vehicle’s price range from the least incentives-qualified trim level with no factory options to the most expensive eligible trim level with all factory options when computing the total % reduction and pricing after incentives. The destination price is included in such pricing, but we omit a few additional items: taxes and fees, which vary greatly by location, and dealer accessories, which vary greatly by carmaker.

Because these are manufacturer savings, all participating dealers should be able to take advantage of them. As such, use them as a starting point for talks rather than an excuse to avoid negotiating entirely.

Data about incentives is obtained from the websites of automobile manufacturers. Remember that our data for the markets we cover is current at the time of publishing (generally Atlanta, Chicago, Denver, Houston, Los Angeles and New York). They are based on announced client discounts rather than unadvertised factory-to-dealer cash. Discount financing usually requires qualifying credit as well, and incentives may differ by area and trim level; manufacturers may even adjust them later in the month. To summarize: Your savings may differ, so check with your local dealer for details.