Unsold SUVs Create Opportunities for Drivers in 2021

When the COVID-19 lockdowns began, many dealerships scrambled to cut staff and move their sales operations online1. Even so, many were left with a surplus of vehicles. That’s a problem, since dealerships need to clear inventory in order to keep their lots stocked with the latest vehicles. In order to find a great price on a new SUV, you’ll need to act quickly — and read carefully, using online resources to find bargains near you.

Understanding the Market for SUVs in 2021

If you’re looking for a new vehicle, it’s important to understand that the surplus has not affected all models. Some small SUVs have seen improved sales figures during the last year,2 and used vehicle sales actually rose throughout the pandemic3. Buyers are looking for deals — and most assumed that budget vehicles and used vehicles offer the best overall value.

However, for many drivers, bargains on newer vehicles are especially enticing. Remember, dealerships need to keep their stock moving, and when larger vehicles don’t sell, some companies go to extraordinary lengths.

In 2021, SUV shoppers can benefit from once-in-a-lifetime incentives including:

• 0.0% APR Financing - Brands like Jeep4, Kia5, and Nissan6 are offering 0.0% APR financing for periods of up to 72 months on certain models. That means that drivers pay no interest on their loans for up to six years.
• Cashback Offers - Cashback offers reduce the total price of the vehicle (despite the name, most drivers won’t walk away with cash in their pockets7). In some cases, cashback offers are combined with low- or no-interest APR periods, greatly reducing the total cost of the SUV.
• Excellent Leasing Terms - Some brands are waving security deposits and offering extremely low rates on leases for new vehicles. If you’re not ready to buy, 2021 presents incredible opportunities for leasing.

Best of all, many newer SUVs have similar features and drivetrains, regardless of their manufacturer. That makes them easy to compare; by researching online, you can compare models easily, find incentives, and purchase a brand-new SUV for much less than you’d pay by visiting a physical dealership.

How Online Resources Help Drivers Find Bargains

For decades, dealerships insisted on in-person sales. That allowed them to make aggressive sales pitches to interested customers (and drive up the cost of new vehicles in the process). The COVID-19 lockdowns forced many dealerships to offer their stock online, which empowers drivers to shop more effectively.

By looking online, you’ll be able to compare dealerships effortlessly, browsing through top SUV models and reviewing features, incentives, financing options, and other important info with a few clicks. However, you’ll need to use the right process. Some tips:

• Look at multiple local dealerships. If you find an excellent deal from one seller, look for a better deal. A new vehicle is a major purchase, and visiting a few dealership websites will give you a better idea of the local market.
• Don’t commit to a certain model or brand. Find pricing information for a variety of SUVs. Even if you’re not interested in a certain model, the information you collect could be useful when negotiating with the dealership.
• Consider 2020 SUVs. Most major car manufacturers don’t change their models significantly from year-to-year. If a certain SUV hasn’t undergone a redesign, consider the 2020 model; you can often save a significant amount off of the MSRP, and you’ll still get a brand-new vehicle.
• Keep detailed notes. Write down information about vehicle features, financing terms, and dealership-specific offers. A little extra work will allow you to make your purchase with peace of mind.

In 2021, many dealerships will allow buyers to schedule test drives, find financing, and negotiate through the internet. If you’re ready to move quickly on overstocked SUVs, you can use the internet to your advantage — and complete your purchase without stepping into a dealership.

What to Know When Searching for SUVs Online

The market for new vehicles changed drastically in 20208, but current overstocks won’t last. Dealerships are changing their tactics to attract new drivers and move last year’s models off of their lots.

If you’re considering a new vehicle, you’ll need to move quickly to take advantage of the current conditions. Collect quotes for multiple vehicles, using as many resources as possible to find the best incentives and deals. Look for at least 3-4 dealerships and compare SUV models carefully; remember, many modern SUVs have nearly identical features, and most 2021 models are largely unchanged from 2020.

Researching your purchase will help you find an excellent deal. With the right approach, you can enjoy the thrill of driving a brand-new SUV — while still locking down excellent financing or leasing terms.