What happen to cars brand new that aren't all sold within the same year, the surplus? Or is there a surplus?

Answer 1

I work at a car dealership. The brand new cars that aren't sold within the same year can either remain on the lot as a new 2005 or whatever year it is or the dealer can sell it back to the manufacturing company. Typically though we keep them because they do sell eventually and the dealer is given a better price not to give them back. A good dealer won't over order vehicles and will not have a large number leftover at year end.

Answer 2

The answer to your question varies from state to state.
Normally a new car must be sold as new by a dealer within 6 months of being deleivered to the dealership.
If not, then it is required to be registered to the dealership, a license plate will be issued and the car will then be sold as used.

Depending on how many miles are placed on the car during test drives, some states require the car to be registered once the car has a certain number of miles on it. Once its registered, it has to be sold as a used car.

Answer 3

Most manufacturers will keep selling them until they are sold out.
Which is why the new model year begins in mid August.
It allows dealers to get rid of the remaining cars of last years models.

However, these days it's rare to see an old model still on the lot in Novemeber. Most manufacturers are able to sell all the vehicles of the prior year's model by November of that year.

Answer 4

A car is still considered new until it is registered. You can still buy a new car from the previous year even though the next years model has already come out. For example, if a dealer still has 2005 cars available, you can still buy a new 2005 car, even though the 2006 cars have been out a while.

Answer 5

If there are any left over cars of the model year they are usually auctioned off to smaller dealers and sold to the fleet rental companies and private business at a discount price.

Answer 6

some stay at the lot and are sold as back stock. other go to used dealerships or sold at auctions. in my city they have overstock/surplus sales all the time. ask a dealer if they have this. you can save thousands if they do.

Answer 7

First, the company tries to make the quota.
Second, if there are any cars left over, they lower the prices.
If they can't sell it, they send it to a used car place.
Contrary to popular belief, they sell both used and new (but old model) cars at the dealer.

Answer 8

they go to surplus or sold to a rent a car place

Answer 9

good question, I learned something today from the answers you got. Keep em coming

Answer 10

They recycle them and say they're the new year's model.