Edmunds See Higher Incentive Spending Featured
05 February 2018
The average price of a new vehicle is expected to drop in January for the first time in five months, according to the analysts at Edmunds. Edmunds estimates that the average transaction price of a new vehicle will dip to $36,115 in January, down $380 from the record high of $36,495 set in December 2017. Despite this decline, average transaction prices for new vehicles are still expected to be at near-record levels. Edmunds experts estimate the average transaction price of a new vehicle will be three percent higher in January compared to January 2017 and 13 percent higher than the average cost of a vehicle in January 2013. The average down payment on a new car is also estimated to drop slightly to $3,914 in January. However, this figure is up by $302 compared to January 2017 and up $366 from five years ago. Edmunds analysts’ say that higher incentive spending in January may point to ongoing efforts by automakers and dealers to clear out languishing 2017 model-year vehicles. Incentive spending in January was $3,657, which is a five percent increase from January 2017 and a 36 percent increase from five years ago.