What’s the Best New-Car Deal for January 2023?

A new year brings the promise of new beginnings and opportunities. While fitness or career goals are often prioritized, the ultimate goal for 2023 may be getting that new-car smell at an affordable price. Luckily, the inventory shortage is showing signs of abating, with vehicles spending more time on dealer lots and new-car markups on the decline. That bodes well for anyone prepping to take the plunge.

Related: Inventory Shortage Leaves Little Room for Haggling; Here Are 5 Other Ways to Save on Your Car Purchase

According to J.D. Power’s latest sales forecast, a new vehicle spent an average of 23 days at a dealership in December — up from 18 days the same time in 2021. Meanwhile, 37{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157} of new vehicles are being sold above MSRP, down from 50{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157} in July.

Even as inventory improves, however, average incentives have yet to rebound: J.D. Power estimates that the average incentive per vehicle was $1,187 in December — a 21{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157} drop from 12 months before. That equates to 2.5{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157} of the average vehicle MSRP — down 0.8 percentage points from December 2021. As a result, average new-car prices continue their ascent, the firm projecting they set another record high of $46,382 to close 2022 out.

It may be tempting to leave 2022 behind, but shoppers willing to forgo the latest 2023 models in favor of a 2022 variant will score the best deals among three of the four vehicles this month. A trio of SUVs and a pickup truck bring the most fruitful savings in January, making the new-car smell even sweeter. Read on for details.

2022 Chevrolet Equinox

2022 Chevrolet Equinox | Manufacturer image

• Factory discount: $1,500
• Approximate price after savings: $26,000-$43,500
• Approximate factory savings: 3{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157}-5{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157}
• Offer ends: Jan. 31

The 2022 Chevrolet Equinox has many compact SUV rivals, but its updated styling, new driver-assist features and family-friendly cabin help it to hold its own in the class. For budget-minded shoppers, the Equinox beats out the competition when it comes to potential savings this month: Cash savings of $1,500 on a 2022 Equinox were seen in all areas we surveyed, and qualified shoppers who finance with Chevy parent automaker GM can get a special financing rate of 2.99{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157} for 60 months in lieu of the cash offer. And while a healthy dose of ‘22 models is still available among Cars.com dealers, ‘23 examples make up the bulk of all new models at 82{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157}; if you choose to go with the newer model, you can get $1,000 off. In either case, deals run through Jan. 31.

2022 Dodge Durango

2021 Dodge Durango SRT 392 | Cars.com photo by Christian Lantry

• Factory discount: $500-$6,000
• Approximate price after savings: $34,000-$88,000
• Approximate factory savings: 1{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157}-15{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157}
• Offer ends: Jan. 31

Shoppers in the market for a larger (or sportier) SUV will find a wide range of deals on the Dodge Durango. The three-row Durango offers a plethora of trims, rear- or all-wheel drive, and a trio of powertrains to choose from. Depending on region and trim, shoppers will find potential savings of up to $6,000; those that finance with Dodge parent Stellantis can swap the cash-only deal for 7.26{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157} financing for 60 months and up to $3,250 in bonus cash. The 2023 Durango is not yet available and the 2022 variant comprises 93{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157} of all new models among Cars.com dealers, so you shouldn’t have trouble finding one near you. All aforementioned cash and financing deals run through the end of January.

2022 Jeep Gladiator

2022 Jeep Gladiator | Manufacturer image

• Factory discount: $1,500-$4,500
• Approximate price after savings: $34,500-$67,000
• Approximate factory savings: 2{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157}-12{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157}
• Offer ends: Jan. 31

The Jeep Gladiator brings the promise of new adventures in the new year by blending the utility of a pickup with the off-road spirit of the Wrangler SUV. J.D. Power estimates the average incentive on SUVs and pickup trucks was $1,211 in December, but the 2022 Gladiator goes above and beyond with cash deals of up to $4,500 in the regions we surveyed. In place of the cash-only deal, shoppers who finance with Stellantis can score 7.26{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157} financing for 60 months with up to $5,000 in bonus cash. Fear of missing out on the newest model year shouldn’t stop you from taking advantage of these offers: The 2023 Gladiator sees only minor changes from the 2022 model, which makes up 43{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157} of all new Gladiators among Cars.com dealers. All cash and financing deals are valid through Jan. 31.

Editor’s Choice: 2023 Jeep Grand Cherokee

2022 Jeep Grand Cherokee | Cars.com photo by Christian Lantry

• Factory discount: $1,000-$4,000
• Approximate price after savings: $40,000-$75,500
• Approximate factory savings: 1{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157}-8{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157}
• Offer ends: Jan. 31

The Jeep Grand Cherokee is the only 2023 model to make the best deals roundup this month, but that’s not why it earns the Editor’s Choice designation. Thanks to a redesign in 2022, the Grand Cherokee now offers a more aerodynamic exterior, increased passenger and cargo space, and tech upgrades like a faster multimedia system and new driver-assist features. Cash savings of up to $4,000 also helped it land the top spot, and shoppers who finance with Stellantis can get a 7.26{09e594db938380acbda72fd0ffbcd1ef1c99380160786adb3aba3c50c4545157} rate for 60 months with up to $4,000 in bonus cash instead of the cash-only deal. Deals vary by trim and region, but like our other picks, all are available through Jan. 31.

How We Look for Deals

To help car shoppers find the best deals for January, we lead with cash offers available to shoppers at large, not those that require financing with the automaker or having certain qualifications (e.g., military or college-graduate discounts, loyalty or conquest bonuses, etc.). In calculating the overall percentage discount and pricing after incentives, we focus on the vehicle’s price range from the cheapest incentives-eligible trim level with no factory options to the priciest eligible trim with all factory options. We include the destination charge in such pricing, but we exclude a few other items: taxes and fees, which vary considerably by region, and dealer accessories, which vary considerably by automaker.

Because these are factory discounts, they should be available to all participating dealers. As such, use them as the starting point for negotiations, not a reason to skip haggling altogether.

Incentives data come from automakers’ websites. Remember, our numbers are current as of publication for the markets we survey (generally Atlanta, Chicago, Denver, Houston, Los Angeles and New York). They reflect advertised customer discounts, not unadvertised factory-to-dealer cash. Discount financing typically requires qualifying credit, too, and incentives may vary by region and trim level; automakers may also change them later in the month. In sum: Your discounts may vary, so check with your local dealer for specifics.

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Cars.com’s Editorial department is your source for automotive news and reviews. In line with Cars.com’s long-standing ethics policy, editors and reviewers don’t accept gifts or free trips from automakers. The Editorial department is independent of Cars.com’s advertising, sales and sponsored content departments.