The End of End-of-Summer Auto Deals?

Editors Note: We here at The Auto Channel have always believed that the best deal is to buy a car you love, meets your needs and pocketbook. Being switch pitched to a model because of an incentive may bring immediate gratification, but not in the long run, every morning for the next 10 years you will rue the day you were penny wise and pound foolish. So go out and buy a car you will love...go to e-Carmony to match you up!

Washington DC August 31, 2010; The AIADA newsletter reported that for years, Americans shopping for cars were treated to all sorts of deals and incentives, especially at the end of summer. However, MSNBC reports that those days are over.

Deals are becoming scarce because automakers, newly lean and profitable, are holding the line on those profit-eating promotions. In July, they offered $1,000 less in incentives per car than a year earlier, according to Edmunds.com. And with no one expecting the government to offer a repeat of the Cash for Clunkers program, get ready for fewer discounts on your next car.

"This may be as good as it gets, and get used to it," says Jeff Schuster, the executive director of forecasting for J.D. Power and Associates. As a result of decreased incentives, U.S. auto sales are at a standstill, with potential buyers waiting for more deals but automakers resisting.

The industry expects this to be the worst August in 18 years, with sales barely over 1 million cars and trucks.

Schuster says eventually cars will wear out and people will have to buy, regardless of the incentives. But in the meantime, he says, "it takes a while to get off the drug."