It’s been an ongoing trend to see the average price of a new vehicle edge upward. In 2023, that figure was around $47,000 for a light vehicle – about $10,000 above what we saw pre-pandemic.
But recent data suggests that lower priced new vehicles are experiencing a bit of a renaissance. Or, perhaps more accurately, price conscious consumers are snapping them up before they’re gone forever.
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Motor1 recently reviewed auto industry sales data for the third quarter and noted some big increases in auto buys in the sub-$20,000 price bracket – a segment that includes just a handful of vehicles. Of those, the Kia Forte sales rates were up 6%, Nissan Versas 64%, and Mitsubishi Mirage were up a stunning 114%, even as the Mirage is set to be discontinued.
CarGurus data shows that the next bracket – vehicles priced between $20,000 and $30,000 – sustained growth of almost 44%.
Meanwhile, luxury vehicle purchases in the highest price segment have fallen precipitously.
Vehicles priced at $100,000 or more have seen purchases over the last 9 months fall by almost 46% compared to a year earlier.
Kevin Roberts, CarGurus director of economic and market intelligence, said in a statement to Quartz, “After years of post-pandemic revenge spending, consumers are becoming more prudent as they face economic uncertainty, still-high interest rates, and vehicle prices that remain elevated.”
Still, the average cost of a new vehicle in August stayed consistent with 2023 figures – at around $47,000 – suggesting, perhaps, that pricing is at least stable for now.
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It's been an ongoing trend to see the average
price of a new vehicle edge upward in 2023.
00:05.570 --> 00:12.029
That figure was around $47,000 for a light
vehicle about $10,000 above what we saw pre
00:12.100 --> 00:15.380
pandemic.
But recent data suggest that lower priced new
00:15.390 --> 00:19.909
vehicles are experiencing a bit of a
renaissance or perhaps more accurately,
00:19.920 --> 00:23.559
price conscious consumers are snapping them up
before they're gone forever.
00:23.569 --> 00:28.459
Motor One recently reviewed auto industry sales
data for the third quarter and noted some big
00:28.562 --> 00:32.481
increases in auto buys in the sub $20,000 price
bracket.
00:32.652 --> 00:36.161
A segment that includes just a handful of
vehicles of those.
00:36.172 --> 00:41.122
The Kia Forte sales rates were up 6% Nissan
versus 64%.
00:41.152 --> 00:47.462
And Mitsubishi Mirages were up a stunning 114%
even as the mirage is set to be
00:47.472 --> 00:51.071
discontinued.
Car guru's data shows that the next bracket,
00:51.082 --> 00:56.673
vehicles priced between and $30,000 sustained
growth of almost 44%.
00:56.844 --> 01:02.153
Meanwhile, luxury vehicle purchases in the
highest price segment have fallen precipitously.
01:02.164 --> 01:07.583
Vehicles priced at $100,000 or more have seen
purchases over the last nine months fall by
01:07.594 --> 01:11.653
almost 46% compared to a year earlier, Kevin
Roberts.
01:11.664 --> 01:16.304
Car Guru is Director of Economic and Market
Intelligence said in a statement to quartz
01:16.776 --> 01:22.486
after years of post pandemic revenge spending
consumers are becoming more prudent as they
01:22.496 --> 01:26.666
face economic uncertainty.
Still high interest rates and vehicle prices
01:26.676 --> 01:30.166
that remain elevated.
Still the average cost of a new vehicle in
01:30.176 --> 01:35.346
August stayed consistent with 2023 figures at
around $47,000.
01:35.396 --> 01:40.136
Suggesting perhaps that pricing is at least
stable for now.
01:40.886 --> 01:42.916
Amanda Wells and this is manufacturing now.
