Black Friday is the unofficial start of the holiday spending season, with many Americans stocking up on gifts, gadgets, and electronics. But Black Friday is also an opportune time to go car shopping — many dealers roll out their special holiday offers and discounts right after Thanksgiving.
New and used vehicles are both in high demand, as the worldwide microchip shortage cut into the number of vehicles manufacturers have been able to produce. With demand for cars outpacing supply, each new car model is selling for more than the manufacturer suggested retail price, at an average of 11.4% above MSRP. Yet there are a number of new cars with lower markups than typical due to Black Friday sales. There are also used cars that are discounted by more than 5%.
To determine the best Black Friday car deals, 24/7 Wall St. reviewed an analysis from automotive research firm iSeeCars. For used cars, iSeeCars reviewed over 1.6 million used vehicles for model years 2016-2020 to find the models and listed the ones with the largest discounts. For new cars, iSeeCars reviewed average differences between list price and MSRP for different vehicles and listed the ones with the smallest average.
Though new vehicles are all selling above MSRP, buyers can take advantage of certain offers to offset the high prices. Many of the new vehicles with the best Black Friday deals have cashback offers, incentives, and tax credits that can help make them more affordable than their competitors.
Most of the used cars with the best Black Friday deals are sedans. This segment has become much less popular with American drivers in recent years, as subcompact SUVs take up a larger share of the U.S. auto market. These are the cars Americans do not want to buy.