Average New Car Prices Reach Record High Of $51,974, Yet Sales Remain Strong

The average marketed price of a new car has hit a record high of $51,974, according to data from Automotive News and Catalyst IQ. This represents a $2,421 or 4.9% increase from the same day last year, and $314 higher than it was a month ago.

The previous record was set three years ago on July 7, 2023. The compact sedan segment has seen the most significant price increase, with prices rising 12% year-over-year, making them $2,869 more expensive on average.

Other segments, such as convertibles, minivans, full-size SUVs, extra-large SUVs, and luxury vans, have experienced price decreases, with convertibles falling the most at 9.8%. Certain models, including the Kia Telluride, Toyota RAV4, and Subaru Outback, have seen significant price increases, with the Kia Telluride experiencing a 16.4% price increase, the Toyota RAV4 a 15.7% increase, and the Subaru Outback an 11.6% increase.

Despite these price increases, data shows that vehicles are selling faster than before, with days-to-move down. For those looking for an affordable car, the used market may be a better option, but used car prices are also higher than ever.