YOUNGSTOWN, Ohio (WKBN) — The average sale price of a new car has fallen for three months in a row.
According to Kelly Bluebook, the average hit $48,763 in February for a new car and $26,068 for used. Dealers are also beginning to offer more incentives.
Chrysler, Dodge, Ford, GMC, Hyundai, Mazda, Subaru and Volkswagen all saw price declines between 0.2% to 3.9% in February. Some Kia and Honda models could still be selling over MSRP.
Supply chain issues are still impacting sales and interest rates are stalling some deals.
According to the trade journal Auto Dealer Today, while prices are still higher than before the pandemic, prices have dropped consistently over the past year and even more so over the past six months.
Interest rate hikes could impact spring auto sales and dealers will have to make adjustments. Shorter terms for loans could be a result.
In addition, Auto Dealer Today reports loans that were delinquent for 60 days or more increased last month for the tenth consecutive month.
Some industry experts believe new car inventory may not return to post-pandemic levels. Manufacturers and dealers have learned that keeping the supply low allows them to charge more.