A recent iSeeCars study indicated new vehicle MSRPs are continuing to drop. A dip in new vehicle pricing is mirrored in the latest research shared by Kelley Blue Book (KBB).
U.S. New Vehicle Prices Continue to Fall
Here are some key takeaways from KBB's latest research:
- KBB reports that New-Vehicle Transaction Prices continue to fall, down 3.5% year over year in January. They were also lower 2.6% month over month. KBB also says price declines in January accelerated compared to December.
- In more good news for car shoppers, incentives were up in January for a third straight month as the sale pace slowed. In the past year, KBB says incentive packages have risen from 2.8% of the average transaction price to 5.7%.
- Electric vehicle pricing has been a hot topic in recent months with automakers reducing prices on EVs due to slowing demand. KBB's data shows that EV prices were down 10.8% year over year, led by strong incentive packages in January. Prices were down 21.4% for the Tesla Model Y - the EV volume leader - from January 2023.
Read full details in the KBB press release.
Source: Kelly Blue Book media release.
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