Auto shoppers love luxury
Long before the Covid-19 pandemic, consumer tastes began a steady shift away from sedans to more expensive SUVs and trucks. Then, car buyers are offered a plethora of options, such as high-tech touchscreens, ambient lighting, 360-degree cameras, and heated and cooled seats.
“It’s a battle of features,” said Ivan Drury, director of insights at Edmonds.
In response to rising demand, dealers began stocking more cars with bells and whistles, and automakers upgraded their lineups with higher-end packages or trim levels and scaled back production of less expensive cars, he said.
“It only makes sense to keep raising the price to provide more features and increase the size of the vehicle with each redesign,” Drewry said.
Car prices near record highs
The average transaction price for a new vehicle in May was $47,892, near a record high, Edmunds said. Ten percent of all vehicles sold now cost more than $70,000, up from 3 percent five years ago.
On the other hand, there are fewer options at lower prices. Edmunds found that only 0.3 percent of new car sales were under $20,000, compared with 8 percent five years ago.
That’s leading to more car buyers being priced out of the new car market, Ryan said.
How to get the best used car for the least money
Buyers on a budget are moving away from new cars to older vehicles with more miles, meaning their cost of ownership will go up, Ryan said.
“Those least able to pay are buying the most expensive cars.”
one iSeeCars Research Analyzed over 2 million vehicles to see which used cars have the lowest price and the longest remaining life.
Here are the top 10 models.
Svlook
