Average price of new car tops $50k for first time, report finds

New car buyers tin expect to ammunition retired an mean of much than $50,000 for the archetypal time, according to a study from Kelley Blue Book.

The mean terms customers paid for a caller conveyance successful the US was $50,080 successful September, a reflection successful portion of the steadily rising prices successful the aftermath of automotive tariffs.

But portion tariffs person surely impacted prices, Kelley Blue Book - which tracks prices successful the car manufacture - said the 3.6% year-over-year mean transaction terms summation was fueled by luxury vehicles and costly EVs.

"The $20,000-vehicle is present mostly extinct, and galore price-conscious buyers are sidelined oregon cruising successful the used-vehicle market," Erin Keating, enforcement expert astatine Cox Automotive, said successful a connection connected Monday. "Today's car marketplace is being driven by wealthier households who person entree to capital, bully indebtedness rates and are propping up the higher extremity of the market."

Despite 25% tariffs connected astir imported cars and parts, prices haven't changeable up dramatically yet for cars. Americans rushed to bargain cars successful March up of the tariffs, lowering request aboriginal connected and keeping automakers from raising prices. Experts said prices would apt leap erstwhile 2026 cars deed trader tons but not capable to screen billions successful tariff costs.

CNN's Chris Isidore contributed to this report.