Average new vehicle transaction price falls below MSRP after nearly two years

In the UK, Average New Car Price Actually Drops, but It’s Still over £40,000. The cost of a new vehicle has only gone down a little over 1 percent. Car dealership group Lookers has upped profit expectations after its average selling prices for new cars rose by nearly 13 per cent last year.

New vehicles’ average transaction price fell below the manufacturer’s suggested retail price (MSRP) for the first time in 20 months, according to new US data.

Vehicle prices turned hot after a pandemic-driven supply chain snag and an increased demand for private cars.

The average transaction price of a new vehicle in the U.S. declined 1.1% in March to $48,008 from February’s $48,558. However, March prices were up 3.8% when compared to a year earlier.

Top global automakers, except Toyota, reported a rise in first-quarter U.S. sales on improving shipments to dealers as vehicle inventories improve.

“Right now, in-market consumers are finding more inventory, more choice and dealers more willing to deal, at least with some brands,”

In March, the average price for a new non-luxury vehicle, which includes brands such as Chevrolet, Ford, Hyundai and Nissan, was $44,182, a decline of $505 compared with February, but buyers continued to pay above MSRP for luxury vehicles, according to the report.