--- title: Car Shoppers Can Expect 'More Discounting and Better Prices' in the Second Half of 2024 description: The experts at Cox Automotive say car shoppers can expect more discounts, lower prices and better deals as dealership inventory improves. authors: - name: Pete Grieve role: Lead News Reporter url: https://money.com/author/pete-grieve/ bio: Pete Grieve is a personal finance reporter at Money who frequently writes about news and trends related to car buying, auto insurance and gas prices. education: University of Chicago, BA Political Science at_money_since: 2022 articles: 600 covers: - Personal Finance - Banking - Business - Career Advice - Credit - Credit Cards - Debt - Economy and Politics - Education - Health and Wellness - Housing - Identity Theft - Insurance - Investing - Lifestyle - Loans - Mortgages - Professional Services - Retirement - Shopping - Taxes social: - https://twitter.com/pete_grieve - https://linkedin.com/in/pete-grieve-b5aa02138 - https://www.facebook.com/petegrieve4 editors: - name: Brad Tuttle role: Senior Editor url: https://money.com/author/brad-tuttle/ bio: Brad Tuttle is a former senior editor at Money with over 10 years’ experience covering a vast number of personal finance topics, including careers, cars, travel, budgeting, investing, insurance, credit cards, consumer psychology, real estate, banking, and shopping and deals. education: Columbia University School of Journalism, MS at_money_since: 2014 articles: 366 covers: - Personal Finance - Banking - Business - Career Advice - Credit - Credit Cards - Economy and Politics - Education - Health and Wellness - Housing - Identity Theft - Insurance - Investing - Lifestyle - Loans - Mortgages - Pets - Professional Services - Retirement - Shopping - Taxes - Technology social: - https://twitter.com/bradrtuttle - https://linkedin.com/in/brad-tuttle-834b225 former_staff: true published: '2024-08-21T18:05:46.000Z' modified: '2024-08-21T18:06:30.000Z' section: Personal Finance tags: - cars - News word_count: 460 canonical: https://money.com/new-car-deals-discounts-end-2024/ type: NewsArticle source: structured-blocks --- > **Disclosure:** We research all brands listed and may earn a fee from our partners. Research and financial considerations may influence how brands are displayed. Not all brands are included. [Learn more](https://money.com/page/disclaimer/). ![Illustration of a car for sale inside a shopping cart](https://img.money.com/2024/06/News-Car-shoppers-expect-better-prices.jpg?crop=0px%2C188px%2C2880px%2C1620px&quality=85) Get ready for good deals to return to the car dealership: The new vehicle market will likely improve for [car shoppers](https://money.com/summer-car-buying-guide-2024/) heading into the fall as rising inventory levels lead to lower prices. Experts at Cox Automotive expect “more discounting and better prices” as the year goes on because automakers will likely need to reduce their margins to avoid building up too much inventory, according to a [forecast released this summer](https://www.prnewswire.com/news-releases/cox-automotive-forecast-us-auto-sales-expected-to-finish-first-half-higher-by-2-9-in-line-with-expectations-for-slow-growth-302182109.html). The supply of new vehicles in the U.S. has been increasing since the fall of 2021, and the total inventory is about 2.8 million units, up more than 40% from a year earlier. For comparison, the average was 3.4 million units over the six months leading up to the pandemic. This shift means that car shopping is becoming "normal" again. In the current market, you may be able to negotiate for a discount off the sticker price, and there's a good chance you'll be able to take advantage of an incentive deal like a cash back rebate or subsidized financing. ## New or used, your car is an investment. Make sure it's protected! ### Get the coverage you need without breaking the bank. Click your state to get a free quote today. [View Rates](https://money.com/pr/gd49efb4d648?ap_referrer=%2Fnew-car-deals-discounts-end-2024%2F) ## Discounts and incentives improve for new car shoppers The average incentive amount is now up to 7% of the transaction price after hitting a low of 2% in 2022. (At that time, it was considered a seller’s market and buyers were usually paying over MSRP, according to Cox Automotive.) Things should only get better for car shoppers. In the second half of this year, incentives could keep climbing closer to the 2019 level, which was just over 10%. “The return of supply has brought the return of incentives and this is providing some relief to consumers, as high vehicle prices are now in retreat,” Charlie Chesbrough, senior economist at Cox Automotive, said on an industry call. The average new car price is about $48,400, which is 3% lower than the peak of nearly $50,000 in December 2022. However, prices are still 20% higher compared to the winter of 2020. High [auto loan rates](https://money.com/best-auto-loan-rates/) are the other major barrier to affordability, but the Federal Reserve is expected to [cut interest rates](https://money.com/fed-interest-rate-cut-size-predictions/) at its next meeting in September. In the past year, lower prices and strong incentives have helped some car buyers overcome higher rates. Cox reports that the average monthly payment was $753 in July, down from $795 in December 2022. If prices and interest rates drop further, monthly payments will go even lower. “With uncertainty around the economy and interest rate policies and the upcoming election, it seems very possible that vehicle buyers may pause on big purchases,” Chesbrough said. “With vehicle prices now weakening, waiting may be a wise strategy.” ## One of the best ways to pay less for Car Insurance is by comparing rates ### Click below to begin finding your rate today. [View Rates](https://money.com/pr/i86244fe9d5c?ap_referrer=%2Fnew-car-deals-discounts-end-2024%2F) ![](https://s3.consumersadvocate.org/prd/image/image/29780/medium_e439fd1c-3ee2-41b2-bccf-5dfe3c4d8add.png) Protect your vehicle with affordable Car Insurance. [View Rates](https://money.com/pr/b046d48341c1?ap_referrer=%2Fnew-car-deals-discounts-end-2024%2F) ```json { "@context": "https://schema.org", "@graph": [ { "@type": "BreadcrumbList", "@id": "https://money.com/new-car-deals-discounts-end-2024/#breadcrumb", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://money.com" }, { "@type": "ListItem", "position": 2, "name": "Personal Finance", "item": "https://money.com/personal-finance/" }, { "@type": "ListItem", "position": 3, "name": "Car Shoppers Can Expect 'More Discounting and Better Prices' in the Second Half of 2024" } ] }, { "@type": "WebSite", "@id": "https://money.com/#website", "url": "https://money.com", "name": "Money", "publisher": { "@id": "https://money.com/#organization" } }, { "@type": "WebPage", "@id": "https://money.com/new-car-deals-discounts-end-2024/#webpage", "url": "https://money.com/new-car-deals-discounts-end-2024/", "name": "Car Shoppers Can Expect 'More Discounting and Better Prices' in the Second Half of 2024", "isPartOf": { "@id": "https://money.com/#website" }, "datePublished": "2024-08-21T18:05:46.000Z", "mainEntity": { "@id": "https://money.com/new-car-deals-discounts-end-2024/" }, "inLanguage": "en-US", "breadcrumb": { "@id": "https://money.com/new-car-deals-discounts-end-2024/#breadcrumb" }, "dateModified": "2024-08-21T18:06:30.000Z" }, { "@type": "NewsArticle", "headline": "Car Shoppers Can Expect 'More Discounting and Better Prices' in the Second Half of 2024", "articleSection": "Personal Finance", "image": [ { "@type": "ImageObject", "url": "https://img.money.com/2024/06/News-Car-shoppers-expect-better-prices.jpg?crop=0px%2C188px%2C2880px%2C1620px&quality=85", "width": 1012, "height": 569, "caption": "News-Car-shoppers-expect-better-prices" } ], "author": [ { "@type": "Person", "name": "Pete Grieve", "url": "https://money.com/author/pete-grieve/", "@id": "https://money.com/author/pete-grieve/#author", "description": "Pete Grieve is a personal finance reporter at Money who frequently writes about news and trends related to car buying, auto insurance and gas prices.", "image": "https://img.money.com/2023/02/peter.png?w=350&h=430&crop=1", "email": "peter.grieve@money.com", "jobTitle": "Lead News Reporter", "alumniOf": "University of Chicago, BA Political Science", "sameAs": [ "https://twitter.com/pete_grieve", "https://linkedin.com/in/pete-grieve-b5aa02138", "https://www.facebook.com/petegrieve4" ], "worksFor": { "@id": "https://money.com/#organization" } } ], "publisher": "https://money.com/#organization", "datePublished": "2024-08-21T18:05:46.000Z", "description": "The experts at Cox Automotive say car shoppers can expect more discounts, lower prices and better deals as dealership inventory improves.", "abstract": "The experts at Cox Automotive say car shoppers can expect more discounts, lower prices and better deals as dealership inventory improves.", "@id": "https://money.com/new-car-deals-discounts-end-2024/", "inLanguage": "en-US", "dateModified": "2024-08-21T18:06:30.000Z", "editor": [ { "@type": "Person", "name": "Brad Tuttle", "url": "https://money.com/author/brad-tuttle/", "@id": "https://money.com/author/brad-tuttle/#author", "description": "Brad Tuttle is a former senior editor at Money with over 10 years’ experience covering a vast number of personal finance topics, including careers, cars, travel, budgeting, investing, insurance, credit cards, consumer psychology, real estate, banking, and shopping and deals.\r\n\r\n", "image": "https://img.money.com/2014/01/Brad-Tuttle.png?w=226&h=247&crop=1", "alumniOf": "Columbia University School of Journalism, MS", "sameAs": [ "https://twitter.com/bradrtuttle", "https://linkedin.com/in/brad-tuttle-834b225" ] } ], "wordCount": 460, "keywords": [ "cars", "News" ], "about": [ { "@type": "Thing", "name": "Personal finance", "sameAs": [ "https://en.wikipedia.org/wiki/Personal_finance" ] }, { "@type": "Thing", "name": "Vehicle", "sameAs": [ "https://en.wikipedia.org/wiki/Vehicle" ] } ] } ] } ```