The average new car in the U.S. now costs over $51,000, a record high
The average cost for a new vehicle in the U.S. hits a record high: over $51,000
Kelley Blue Book puts the average new-vehicle transaction price at $51,109, about $500 above the previous record set in December 2025. Tariffs, pricier chips and copper, and Americans' taste for big trucks and SUVs all push costs up. The one bright spot: prices rose just 2.1% over the past year, below inflation. Used cars average near $27,000, and buyers are stretching loans to 84 months or longer.
The consumer that I sympathize with the absolute most? The first-time car buyer.
- grumbelbart2
That's the nature of inflation. Most things hit record highs every few years.
> While that $51,109 figure is an all-time high, that's only up 2.1% in the past year.
>
> "A 2.1% year-over-year increase is actually below inflation," said Erin Keating, an executive analyst at Cox Automotive who co-authored the report
- CalRobert
Meanwhile living car-free enables me to splurge on holidays and likely retire several years earlier than if I owned one. And I still drive! Just use hourly rental now and then.
I wish this option were available to all.
- jillesvangurp
For reference, the asp of cars in Germany was 44,560 Euro in 2025. That's about $49,300 USD. That was last year of course and we've had inflation as well. So, the US is about the same as Germany. We do have a growing number of Chinese cars here that are pretty competitive. But those cover the same price segments as other cars and while very attractively priced, they aren't necessarily that cheap. We also have tariffs on those though not as steep as the US ones.
That's just the average price of course. There are a few new models you can buy that are priced below 20K Euro. And you can get decent second hand ones below 10K.
More interesting thing is the shift to EVs and the fact that there are now cheap EVs. The cheapest new car is an EV. Roadside charging is expensive here. But with the high fuel prices still a lot cheaper than petrol.
People apparently feel pressured to buy expensive cars and spend all their money on those. It's a choice. I don't actually own a car. I don't see a good rational reason to spend hundreds of euros per month on having one, keeping it charged/fueled, maintained, parked, etc. All those things cost money. A couple of hundred per month adds up to a nice budget for public transport, taxis, and car rentals. I have a public transport card (Deutschland ticket) that costs me 65 Euro per month that covers most of my needs.
- xvxvx
My 6 year old Toyota has only lost 10% of its resale value. They keep emailing and calling me, trying to convince me to sell it. The used car market is on fire right now, probably due to these inflated prices.
- helsinkiandrew
This isn’t just inflation. There’s an old saying “Our homes reflect who we are and cars who we want to be”. I’d say this is the case with many people in the US compared with other countries and are willing to spend more (80% of US new car purchases are financed compared with 50% of German)