Usually places have end of the year sales to get rid of their inventory. After all, the government taxes them on the value of the car at the end of the year, whether it was sold or not. They prefer to have money to pay the taxes, and the government can only charge them taxes on how much they sold the cars for. As I understand it (someone correct me if I'm wrong), if the cars are still on the lot after the new year, they get taxed on the sticker price as the value of those assets, whether or not anyone would ever pay that price for the car. Fewer cars sold means they keep a smaller portion of the revenue. Sometimes, at the end of the year, they'll drop the price some to get rid of the car. Occasionally, you can get a deal, especially when the car is about to drop in value for becoming last year's model.
Cash for clunkers is over. I don't think the government is going to subsidize car sales for people who can't afford the payments again. I think your best bet is to buy a slightly used car now or in the near future. Many of the Cash for Clunkers takers could barely afford the payments after the government helped. You can probably get a good deal on one of these slightly used cars that someone couldn't afford to pay for.
When buying new cars, shop around. Check for real deals in ads and on the internet. Often, a company will put an ad out for a new car at a good discount to draw people in. If you can get one of these cars before they're sold out, go for it. However, most of the time, those cars will be gone within the first day, and the dealer will try to sell you something else. If you can't get what you came for, at the price you wanted, leave the lot. If you do manage to get one of the few bargain cars, ask questions about the car, and make sure the car is everything advertised. I once tried to get one of these deals on a car with cruise control. When I got to the lot, they claimed that that was a mistake on their ad, the car didn't have cruise, the dealer wasn't willing to ad cruise to the car for free to honor the ad (wanted over $400 to add cruise), and claimed they were going to print a retraction in next week's ad correcting the mistake, when all the car's would have been sold out that day. Don't assume the ad is right. Often, it's false advertising. Do your homework and don't be afraid to back out. Also, don't take anyone to the dealership that will get attached to a car and show genuine interest. Those people get you stuck paying top dollar for the car. Also, don't let anyone drop you off while you go car shopping. This puts pressure on you to buy a car now whether the deal is at that lot or not. That is how I got stuck with my first used car.
When buying used cars, don't assume the words "sale" or "auction" mean you can get a car at a discount. "Half off sale" doesn't mean all the cars are half off. It means that one single car has been placed in the "sale" or "auction" that is half off (and sold out, by the way) to draw people in to paying three times what the used car they want is worth after being hustled by a used car salesman that follows them around the lot the entire time. This is known as the bait and switch. When you make a claim saying they are doing false advertising, they'll point to a sign that says under "half off car sale", Example: (followed by the name of the one lousy car that is half off). This has happened to me. Just wanted to give you fair warning. Often, it is best to buy from a private seller. This is mainly because most people, other than used car salesmen, don't spend each day trying to persuade others into buying cars that they may not want at a price they can barely afford. However, the main advantage of buying from a private seller, is you can often check out the car without much pressure or time constraints, and often get the VIN number to investigate about the car on Carfax (well worth signing up for a month while used car shopping). Be careful of cars that only have a salvage title. Sometimes, these are stolen or pieced together cars. Never buy a hybrid car with a salvage title. No warranty, might not pass smog, might not work, will be a money pit if it does work.
