I learned the hard way that it pays to plan large appliance purchases ahead of time.
My wife and I used to live in a modestly sized older home without central air conditioning. Come summer, we kept the place tolerably cool with a strategically placed window air conditioner on each floor. One year, during the season’s first oppressive heat spell, I broke our units out of storage and checked to make sure they’d held up over the winter. The upstairs unit cranked on right away, but the downstairs unit wasn’t as cooperative. I mashed every possible combination of buttons, toggled the safety switches, and dusted as deep into the innards as I could reach. Nothing.
Eventually, I gave up, got into my car, and hightailed it to the closest home improvement superstore, which was thick with neighbors in similar straits. The small satisfaction I derived from knowing I wasn’t alone didn’t come close to making up for the sting of paying full price for a 10,000-Btu machine. And, to make matters worse, I managed to get the downstairs unit working later that night.
File that one under “total humiliation.” If only I’d had the foresight to purchase a new air-conditioning unit during the offseason — say, in October, when retailers in my area are eager to clear out cooling systems people won’t need until the following May or June. I could have at least saved a significant chunk of change.
And it turns out knowing when to buy other large appliances can save you even more.
How to Save on Large Appliance Purchases
No matter how well you treat your home appliances, they’re all destined for the scrap heap sooner or later. You can avoid emergency purchases and reduce your final cost by aligning your appliance-buying plans with the natural rhythms of the model-year sales cycle and your fellow consumers’ shopping patterns.
The best time to buy a new large appliance is typically around model-year-turnover time, when manufacturers discount the previous year’s iteration to make room for the latest, greatest version. Model years generally don’t follow the calendar year, so buying in January isn’t always your best bet to find the best price.
If you can’t or don’t want to wait for model-year-turnover time, you can still reduce your final cost by purchasing at particular times of the year or month — or even the week or day. Shop through an affiliate-powered website or browser plug-in like Rakuten or Capital One Shopping and you can save even more.
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When to Buy Last Year’s Appliances
Large appliance manufacturers roll out new models of each appliance around the same time each year, preemptively lowering prices on the previous year’s offerings to make way for the new batch.
Discounts vary by manufacturer, retailer, appliance type, and season but typically start at 20% to 25% off the sticker price. When they coincide with seasonal sales or liquidation events, discounts may approach or exceed 50%. Rebates from state, federal, and utility energy-efficiency programs can further boost savings, as can federal and state tax credits on certain efficient appliances. See the federal Energy Star portal for more information.
There are general guidelines for when you can expect to see deep discounts on last year’s versions, which usually aren’t radically different from their replacements. But the time of year varies based on appliance type.
1. Refrigerators & Freezers
Home refrigeration equipment turns over around the start of the summer shopping season. Retailers begin slashing prices on the prior model year in May to make room in warehouses and showroom floors. These discounts often coincide with — and may be indistinguishable from — special sales for Mother’s Day, Memorial Day, and Father’s Day.
2. Ovens & Stoves
Oven and stove (range) models turn over in early fall, ahead of the holiday cooking season. Expect to see discounts on last year’s models beginning in September and continuing through October.
If prior-year inventory remains, holiday season discounts may be even deeper than the standard turnover discounts. But as early-bird holiday shoppers emerge and sales volumes increase, these discounts may temporarily disappear due to higher demand. Check with your favorite retailers and search online for late-year discounts.
No matter what happens around the holidays, retailers need to clear out any remaining prior-year inventory first thing after the holidays end. Expect deep discounts in January followed by a return to regular pricing on then-current models.
Tax Credits for Electric Ranges
Certain types of ovens and stoves — specifically, induction electric models — may qualify for federal tax credits under the Inflation Reduction Act. According to Consumer Reports, you may be eligible to claim a federal tax credit up to $840 on the stove itself, plus up to $500 against the cost of converting from gas or propane to electric service.
If your new electric appliance requires an electric panel upgrade (which is more likely if you’re getting multiple new electric appliances or an electric vehicle), you may be eligible for a federal credit up to $4,000 on said upgrade. Some stacks offer state income tax credits that stack on these federal credits.
Dishwasher models also turn over in early fall. September and October are the best months for discounts. If prior-year inventory remains after the holidays, discounts will return — and perhaps deepen — in January for a final clearance push.
Dishwashers don’t qualify for big-ticket efficiency tax credits, but many utilities offer rebates when you replace an older, water- and electricity-hogging model with a newer, more efficient version.
4. Washers & Dryers
Washing machines and dryers turn over in early fall too. Time your purchase for September or October. Even if you only need a washer or dryer, buying both in the same transaction could save you money in the long run, as many retailers offer combination discounts year-round. If you have adequate storage space, you can hold on to your current washer or dryer until it gives out.
Like dishwashers, washers and dryers don’t qualify for generous federal tax credits. But many utilities offer rebates (often several hundred dollars) for qualifying Energy Star-rated models.
5. Air Conditioners
In colder climates, model-year turnover isn’t the most crucial pricing consideration for air-conditioner buyers. Seasonality is. The optimal time to buy is in January, when retailers lower prices to clear excess inventory after the holidays and the warm season is still months away. October is a good second choice, as it’s between summer’s heat and the holiday season’s unpredictability.
If you’re in the market for a new air conditioner, consider upgrading to a heat pump rather than a conventional “resistance” air conditioner. Heat pumps — known as mini-splits when they provide both heating and cooling — are several times more efficient than conventional air conditioners, meaning they use a lot less electricity to achieve the same level of comfort.
Tax Credits for New Air Conditioners & Heat Pumps
It’s not only the lifetime operating cost that makes a heat pump more appealing than a conventional air conditioner. It’s also the fact that they qualify for massive federal tax credits under the Inflation Reduction Act, up to 30% of the total project cost (or $2,000). Some states offer credits up to $8,000, for total potential savings up to $10,000. In a medium-sized house with existing ductwork, that’s likely to exceed 50% of the cost of a mini-split system capable of heating and cooling the house year-round.
6. Water Heaters
Water heaters turn over in early fall. Time your purchase for September or October, if possible, or wait until the new year (January) for postholiday clearance sales. Don’t buy through a heating, ventilation, and air-conditioning (HVAC) service company without doing careful due diligence, as hardware-and-installation packages are particularly prone to markups.
Some HVAC service companies run their own model-year-end specials. But they’re not guaranteed to save you anything compared with buying directly from a retailer and either installing the heater yourself or having a handy friend do it for you.
Tax Credits for New Water Heaters
Certain new water heaters qualify for the same generous federal tax credit as new heat pump air conditioning and heating systems. To get the maximum credit (up to 30% of the project cost or $2,000), invest in a heat pump water heater. They cost more upfront, but you may still come out ahead after the credit, and your lifetime operating costs will be lower.
Just note that you can’t get more than $2,000 in total heat pump credits in any tax year. For best results, get your heat pump climate control system one year and your heat pump water heater the next.
7. Home Heating Equipment
Home heating equipment also turns over in early fall. September and October are ideal, with January as the best alternative. Again, crunch the numbers on any HVAC service company deals. A popular HVAC company in my area offers a buy-one, get-one deal on the simultaneous purchase of a furnace and water heater. But it’s still significantly more expensive than buying both from a major appliance retailer.
These days, it makes a lot more sense to buy a heat pump (ideally a mini-split) than to replace an existing gas or resistance electric furnace. In colder climates, you can use backup resistance heat built into your electric air handler, or supplemental wall-mounted resistance heating, to maintain overall performance on really cold days. But top-of-the-line heat pumps are more efficient than resistance until the mercury dips well below zero, so you won’t need those backups often.
Tax Credits for New Home Heating Equipment (Heat Pumps)
If you opt for a new heat pump heating system, you may qualify for that 30% federal tax credit (max $2,000 per project). High-efficiency gas and resistance electric furnaces may qualify for federal tax credits as well, but at a lower cap: $1,200 per year across a wider range of project types, including wall and attic insulation.
When to Buy This Year’s New Appliances
Model-year-turnover time isn’t the only time to find discounted appliances. Although every appliance type is different, opportunities generally abound throughout the year. These are among the most reliable discount periods for current-year models.
1. Holiday Weekend Sales
Holiday weekend sales are as predictable as they come. According to a Consumer Reports and Gap Intelligence analysis, certain holiday weekends — especially the Fourth of July — are even better than end-of-year retail holidays like Black Friday, at least for certain appliance types. Visit your favorite retailers’ websites for details on sales coinciding with:
- Martin Luther King Jr. Day
- Presidents Day
- Mother’s Day
- Memorial Day
- Father’s Day
- Fourth of July
- Labor Day
- Columbus Day (Indigenous Peoples’ Day)
- Veterans’ Day
Discounts vary widely by retailer, appliance type, and time of year, but I’ve seen holiday weekend blowouts featuring inventory-wide discounts as high as 50%. Generally, discounts are deepest when they coincide with model-year-end sales or other promotions.
2. End-of-Year Retail Holidays
The holiday shopping season is an excellent time to snap up discounted large appliances.
Some days are better than others, notably Black Friday and Cyber Monday. Lately, these twin holidays have expanded, and many retailers now run Cyber Week or 12 Days of Black Friday sales. Such multiday events often devote single days or certain windows of time to specific product types, such as TVs, laptops and desktops, and kitchen appliances. Check retailers’ websites for details.
3. The Last Day of the Month
Many brick-and-mortar retailers hold commissioned salespeople to monthly sales quotas. They also give these hardworking folks some leeway to close deals below sticker price. Use that to your advantage toward the end of the month, when a salesperson is less likely to push back on aggressive haggling.
4. Online Retail Holidays
If you’re buying your appliance online, look for online-only retail holidays or sitewide sales that promise across-the-board discounts for little effort. To most Americans, the best-known online retail holiday is probably Amazon Prime Day, but other retailers run sitewide sales too. And e-commerce sites aren’t immune to the “every holiday weekend is a sale” trend, especially sites operated by brick-and-mortar retailers such as Walmart, Lowe’s, and Home Depot.
5. Seasonal Clearance Events
Seasonal clearance events are great opportunities for discounts on certain appliance types. For instance, home improvement stores tend to put home heating equipment on clearance during the warm season to make room for more seasonally appropriate appliances. Cooling equipment tends to go on sale in the fall at the beginning of the slow season.
6. Ahead of Weekly Restocking
During periods of normal demand, brick-and-mortar retailers might restock appliances every week or two, typically ahead of the weekend. Short-term — and sometimes unadvertised — sales help clear space for the next shipment of inventory. Thursday is the most reliable day to snag these cyclical discounts, but timing may vary by retailer, so it pays to get in with an employee who knows what’s up.
It’s always better to plan large appliance purchases well in advance, especially now that you can get generous tax credits and utility rebates for big-ticket appliances like new water heaters and mini-split heat pumps.
Then again, as my air conditioner debacle makes abundantly clear, these purchases sometimes can’t wait.
Fortunately, if you need a new large appliance today, you have options. You can find a great deal on your next large appliance purchase if you know where to look, shop around, and are willing to spend some time researching the best discounts.