Buyers fret as the average cost of a new car nears $50K
apnews.com
Vehicle ownership has long been a big part of the American dream. But it is getting harder for some buyers as automakers pare back cheaper models to chase well-heeled customers who can afford big, loaded pickups and SUVs.

Car ownership has long been integral to the American dream. But as automakers slash the production of inexpensive models to cater to customers who can afford oversized pickups and sport utility vehicles, buyers find themselves facing sticker shock at the same time they are already frustrated by the lingering effects of high inflation.

Consumer prices rose 3.3% in March, the biggest yearly increase since May 2024, while new car prices were up 12.6% from a year ago, the Labor Department reported Friday.

New vehicles now sell for an average of nearly $50,000, up 30% in six years, and average monthly payments — based on 10% down and a 6-year note — recently hit $775. Looking for something on the cheap end? The share of vehicles listing for less than $30,000 is about 13% — down from 40% five years ago, per the car review site CarGurus.

  • rynn@piefed.socialEnglish
    39·
    2 days ago

    Car prices will rise until all cars are self driving and nobody can afford to own them so you will rent driving time when you need transportation. This rental time will be even more expensive than ownership but it will be all you can afford.

    You will get deals from driving subscriptions, but the ownership model will go away almost completely someday and big companies will continue to reap the rewards.

      • zbyte64@awful.systems
        72·
        1 day ago

        Not necessarily. Same number of people are doing the same amount of travel by car, but now instead of the car sitting at parking lot it is driving off to do another errand. More efficient in terms of fewer cars needed, but overall it’s more vehicle miles and more congestion.

        • village604@adultswim.fanEnglish
          14·
          1 day ago

          They’re going to be EVs, so it’s still a net positive for the environment. Fewer EVs means less lithium mining.

          Less cars on the road also means increased safety, especially when self driving technology is more mature. Humanity is absolutely horrible at driving safely.

          Plus, when you factor in all of the costs of owning and properly maintaining a car, a subscription service probably saves you money.

          • zbyte64@awful.systems
            81·
            1 day ago

            Fewer cars does not mean fewer cars on the road. Autonomous cars means more cars driving on the road at any given time as now you have empty cars going from person to person. It’s less safe from a total VMT perspective. And they sure as hell will use this as an excuse to not give us mass transit.