The latest data from Kelley Blue Book, a Cox Automotive company, shows consumers are paid more for both non-luxury and luxury new vehicles in October.
The data shows that the average price paid for a new vehicle in October was higher than in September and remains above $48,000. The new vehicle average transaction price (ATP) increased to $48,281 during the month, just under the all-time high in August of $48,301. October prices rose 0.2%, the equivalent of $187, month over month from September and 3.8%, or $1,775, year over year from October 2021.
Those numbers mark a record 17 consecutive months where new vehicle ATPs were higher than the average manufacturer’s suggested retail price (MSRP).
“The sales and transaction data from October clearly indicates that there are plenty o flush-with-cash buyers with strong credit still in the market and paying top dollar for new vehicles,” said Rebecca Rydzewski, research manager of economic and industry insights for Cox Automotive. “Automakers and dealers continue to hold back on incentives as well. In all, inventory is improving, but prices remain stubbornly high.”
Sales of luxury vehicles are helping to push the overall industry ATP higher. The luxury vehicle share decreased slightly to 17.8% of total sales in October from 17.9% in September but remains historically high. The average buyer paid $66,645 for a new luxury vehicle in October, up $331 from September.
The average electric vehicle price declined in October by 2.3%, or $2,286, compared to September, but was up 7% compared to a year ago.
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