| Consumers in the market for a new car are in for a good time during the next two months, as most car manufacturers beef up their customer incentives during the holidays. Navigating the incentives would take a bit of time investment, and the only thing certain is that manufacturers will be competing with each during the next two months to offer the best buys.
“Rebates are designed to move inventory that's on the ground,” said Kevin Grey, part-owner of Grey Chevrolet in Port Orchard. “The incentives drive people into the dealerships.” That means lots of incentives potentially at the end of the year, as dealers try to clear their lots of 2005 inventory and move some new 2006 models out.
Cash-back rebates and low interest rates are some of the most common incentives currently offered. Usually car dealerships don't get the choice of which rebates to offer, because the programs are set by the manufacturers.
Local car dealers said the most popular program by far this year was the employee discount prices (which had different names depending on the dealership).
“The GM employee discount was phenomenal,” Grey said.
The bad news is those rebates are gone. The programs usually change every month, though some dealerships have brought back popular programs like zero percent financing —though it's pretty common to see the same program brought back only for certain car models.
“Ford has an enormous number of rebates (currently) on their product line,” said Wes Prewitt, general manager at Courtesy Ford-Mitsubishi-Suzuki in Poulsbo. “They decided to do a big number of rebates after the Family Plan (ended).” The Family Plan was Ford's version of the employee discount pricing, which was also the most popular incentive this year at the dealership.
Rebates in October included up to $6,000 cash back and low interest rates from zero to under 3 percent. Although those rates were slated to end in November at many dealers, local sales managers say they expect incentives to be enhanced during the last two months of the year. Part of the reason is to lure in customers who are busy making holiday purchases instead, part is to cater to those who may be doing some end of year or big-ticket item spending. A $2,000 to $6,000 discount on a vehicle looks quite attractive to buyers out on holiday spending sprees.
“The Christmas season is one of the biggest during the year,” said Tom Difendorf, general sales manager with Heartland Toyota in Bremerton. “They (the manufacturers) will come up with something extraordinary during those times.”
The cash back rebates at some dealers, such as at Courtesy Ford-Mitsubishi-Suzuki, can be used either toward the car purchase price or be mailed back to the buyer in the form of a check. Some dealers offer a combination of rebate and low interest rates. But the catch with the low interest rate offers is the buyers' credit scores. Some people would not qualify for the special financing offers, but can still snatch up the cash back rebates.
As the interest rates are increasing, dealers noted that the leasing programs are becoming more popular. “Vehicle leasing is making a comeback,” Prewitt said. “We are seeing the lowest vehicle leasing rates in a while. The car market itself is in good shape on the Peninsula and Seattle area.”. | 
