With an average U.S. new-vehicle selling price of just over $45,000 last month, many can’t afford to buy new — even though prices are down more than $2,000 from the peak in December of 2022, according to J.D. Power.
It’s not just price gouging. Cars are more reliable. you can reliably get to 150k+ miles without major repairs, and get 200+ with some repairs, just replacing wear items. That wasn’t the case in the 80s and 90s.
Average car price before the pandemic was about $38k. By 2023, it was $49k.
The trend has been ongoing for a long time due to general inflation and a growing preference for SUVs, but it went fucking bananas during the pandemic, and auto manufacturers have taken advantage.
It’s not just price gouging. Cars are more reliable. you can reliably get to 150k+ miles without major repairs, and get 200+ with some repairs, just replacing wear items. That wasn’t the case in the 80s and 90s.
That’s been the case for at least the past couple of decades. The massive price increases have been over the past 4 years.
Cars have been going up a long time before the last 4 years. 72 and 84 month auto loans being a thing at all is proof of that.
Average car price before the pandemic was about $38k. By 2023, it was $49k.
The trend has been ongoing for a long time due to general inflation and a growing preference for SUVs, but it went fucking bananas during the pandemic, and auto manufacturers have taken advantage.