If you’re looking to buy a new car, you might want to start doing your research now because the best time to buy is quickly approaching. Although May’s sales and incentives have been flat compared to April’s, auto manufacturers are likely saving their best discounts for the upcoming holiday weekend.

According to TrueCar.com’s TrueTrends™ report, Memorial Day weekend is the best weekend so far in 2010 to buy a car, with car buyers expected to receive an average 6.9 percent discount on May 31. The report also mentions the models with the biggest projected discounts, including the 2010 Chevy Cobalt at 25 percent below the MSRP, 2010 Hyundai Sonata, Jeep Grand Cherokee and GMC Sierra 1500, all with an 18 percent discount, and the 2010 Toyota Avalon reduced 17 percent from the MSRP. See more of TrueCar.com’s May 2010 TrueTrends™.

Consumer Reports also created a report of their own: the Best New Car Deals. The list includes 40 cars that have met Consumer Reports' requirements—performing well in all tests, having average or better reliability, providing good overall safety, and ranking high in customer rebates and dealer incentives. The list includes the 2010 Nissan Frontier, Ford Mustang, Honda Odyssey, and Volkswagen CC, all of which have offers that expire after Memorial Day. To see the entire Best New Car Deals list, visit consumerreports.org.

With all these great offers, you may want to consider making a trip to your local dealership this Memorial Day. Before you do, here are a few things to help prepare you to make a purchase:

• Do your homework. Think carefully about what features you want and, more importantly, need in your new car. Then you can start looking to find the best deal possible.
• What are you going to do with your old car? Use car-pricing websites and other resources, such as your local newspaper, to get a realistic idea of the value of your current car and to determine whether you should trade it in or sell it.
• Set your budget and decide—New or Used? Buy or Lease? CarLocate.com allows you to search local dealerships for the car you want, giving you an idea of what they have in stock and what it will cost, without setting foot on the lot. Often times, buying a quality used car makes a lot of sense, but a great discount or incentive (like the ones you will probably see this Memorial Day weekend) may make it worthwhile to buy new. In terms of buying or leasing—do your research and determine what fits you and your budget best.
• Determine a payment plan. If you plan to buy with a loan, get quotes from area banks to find the lowest rate. This will give you a better idea of what you can afford and can give you more confidence in negotiating.

Start searching for your new car on CarLocate.com now!