Average New Vehicle Prices Hit Record High – Remarketing
The estimated average transaction price (ATP) for a light vehicle in the United States was $ 42,258 in June 2021, according to analysts at Kelley Blue Book. New vehicle prices increased $ 2,527 (up 6.4%) from June 2020, while increasing $ 928 (up 2.2%) from May 2021.
“Despite incentives and record inventories in June, the past month featured historically higher average transaction prices, hitting a whole new record,” said Kayla Reynolds, industrial intelligence analyst at Cox Automotive. “The affordability of new vehicles continues to decline as the income required to purchase an average new vehicle continues to increase. In June, for the first time in a decade, vehicle buyers were essentially paying the sticker price – the manufacturer’s suggested retail price (MSRP) – for new vehicles.
The record ATP of $ 42,258 in June was 99.9% of the average MSRP of $ 42,290. By comparison, in January of this year ATP was 95.9% of MSRP; a year ago it was 95.4%, according to Kelley Blue Book.
All automakers except Tesla1 posted year-over-year growth in average transaction prices in June, with Stellantis recording the second-largest increase (up 15.8%), just behind Mitsubishi, which climbed 18.3%. Most models in the Stellantis lineup have seen increases over the same period last year. The Jeep Wrangler and RAM Pickup, two of the automaker’s best-selling models, saw double-digit increases from June 2020. Despite inventory issues, the RAM Pickup outperformed many of its counterparts in the month last with a price increase of 13.8% compared to last year.
Originally posted on Vehicle Remarketing