{"id":40142,"date":"2023-01-12T00:03:42","date_gmt":"2023-01-12T05:03:42","guid":{"rendered":"https:\/\/autosector.com\/?p=40142"},"modified":"2023-01-12T00:03:42","modified_gmt":"2023-01-12T05:03:42","slug":"average-new-vehicle-transaction-price-record-kbb","status":"publish","type":"post","link":"http:\/\/autosector.com\/?p=40142","title":{"rendered":"Average new-vehicle transaction price hits a whopping new peak in December – Autoblog"},"content":{"rendered":"

Elevated prices for products and higher borrowing rates led to record high transaction prices for new vehicles<\/a> in December, with the average cost in the U.S. rising to a record $49,507, according to data<\/a> from Kelley Blue Book released today.<\/p>\n

The report notes that ATPs \u2014 average transaction prices \u2014 have climbed above suggested retail prices \u2014 MSRPs \u2014 for more than a year. Sales volumes were up in December on a year-over-year basis by more than 5%, a situation Kelley attributed to improved supply. Overall sales for 2022<\/a>, however, were off 8% year over year.<\/p>\n

\u201cThe transaction data from December clearly indicates overall prices showed no signs of coming down as we headed into year-end,\u201d said Rebecca Rydzewski, research manager of economic and industry insights for Cox Automotive. \u201cLuxury prices fell slightly in December, but non-luxury transaction prices were up. Truck sales were particularly strong last month, and with many trucks<\/a> selling for more than $60,000, a new record was all but inevitable.\u201d<\/p>\n

Industry analysts claim the most obvious headwinds in the new car<\/a> market are generated by higher interest rates,<\/a> forced by the Federal Reserve’s rate hikes intended to tame inflation, and by generally limited inventory<\/a>. A recent report from J.D. Power<\/a> showed that the average monthly payment for a new vehicle<\/a> loan in December was $718, up $47 from a year ago. But 16% of consumers in December took out loans with monthly payments of over $1,000<\/a>.<\/p>\n

Consumers think vehicles, and electric vehicles<\/a> especially, are way too expensive<\/a>. Fortunately, manufacturers\u2019 incentives, all but extinct in the past two years, are returning, especially in the electric-vehicle and luxury market, the Kelley data suggest. Plus, “With the new tax credits on the way, electric vehicle ATPs will drop lower for qualifying vehicles,\u201d Rydzewski said.<\/p>\n

Non-luxury brands, such as Honda and Kia<\/a>, showed particularly strong performance in December, with the average price paid at $45,578 \u2014 a record high and an increase of $994 month over month.<\/p>\n

Meanwhile, the average luxury buyer paid $66,660 for a new vehicle last month. Mercedes-Benz<\/a> and Land Rover<\/a> showed the most price strength in the luxury market, transacting between 2.6% to 6.5% over sticker price. But luxury brands Audi<\/a>, BMW<\/a>, Infiniti<\/a>, Lexus<\/a>, Lincoln<\/a>, and Volvo<\/a> showed the least price strength with some discounting in effect, selling 1% or more below<\/em> MSRP in December, according to the survey.<\/p>\n","protected":false},"excerpt":{"rendered":"

Elevated prices for products and higher borrowing rates led to record high transaction prices for new vehicles in December, with the average cost in the U.S. rising to a record $49,507, according to data from Kelley Blue Book released today. The report notes that ATPs \u2014 average transaction prices \u2014 have climbed above suggested retail […]<\/p>\n","protected":false},"author":1,"featured_media":40143,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[2],"tags":[],"class_list":["post-40142","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-industry"],"_links":{"self":[{"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/posts\/40142","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=40142"}],"version-history":[{"count":0,"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/posts\/40142\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/media\/40143"}],"wp:attachment":[{"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=40142"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=40142"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=40142"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}