KBB: Average Transaction Price for New Up $757 in February
With sales skewed toward utility vehicles, the average transaction price for light vehicles rose by $757, or 2.3%, from a year ago to $34,352 in February, the firm reported today.
IRVINE, Calif. – With sales skewed toward utility vehicles, the average transaction price for light vehicles rose by $757, or 2.3%, from a year ago to $34,352 in February, according to Kelley Blue estimates. Compared to the month prior, however, the average was down $328, or 0.9%, from January.
“New-car transaction prices continued to rise in February, climbing more than 2% year over year,” said Tim Fleming, analyst for Kelley Blue Book. “Once again, prices are up due to the mix of sales skewing more toward SUVs and away from cars, as keeping the sales mix of SUVs-to-cars steady from last February would have resulted in flat transaction prices. Even though sales now appear to be slowing down in the industry, the boom in utility vehicles is managing to boost profits for many automakers.”
Registering the greatest year-over-year gains was Ford Motor Co., with the automaker’s average transaction price up nearly 6% on strong F-Series sales. The refreshed Fusion had the best month for Ford, up 6% year over year. The Lincoln brand was up 1%, once again benefitting from the new Continental sedan, which is transacting at around $55,000.
Hyundai-Kia transaction prices were flat for February 2017, as the Hyundai brand fell 6%, offset by the Kia brand rising 2%. The drop at Hyundai comes from the spinoff of the Genesis brand, in addition to the Sonata falling 3%. The gains at Kia are the result of the redesigned Sportage, which was up 11% year over year.
More Auto Finance

Dealerships Are Paying the Price for Extended Car Loans
Growing negative-equity scenarios mean such lengthy terms should be addressed in a forward-looking way to make them work for the dealer and the consumer down the road.
Read More →
Trade-Ins in Negative Equity Reach New Heights
As such trade-ins rise in frequency, so do monthly loan payment amounts and interest rates, according to second-quarter data compiled by Edmunds.
Read More →
Auto Credit Plentiful
June numbers show lenders are readily granting access, including to risky borrowers, as consumers leverage themselves to take on high prices.
Read More →
Automotive Consumers Sink Further in Debt
Most financing metrics hit records in the second quarter as more buyers locked themselves into long terms and high monthly payments.
Read More →
Porsche Financial Services Shifts Structure
After 36 years with Porsche, the Financial Services Chief Financial Officer Konrad Riedl is retiring, and the department is realigning its management structure.
Read More →
Tariffs Could Raise Insurance Premiums
As U.S. import tariffs affect repair costs, consumers might find it more affordable to replace a damaged vehicle, according to recent Insurify tariff analysis.
Read More →
Smaller Loans, Longer Terms
The youngest generation of car buyers is more likely to finance less expensive vehicles, more than half of generation Z consumers borrowing less than $25,000.
Read More →
New Cars a Tad More Affordable
May averages show that combined circumstances gave auto consumers slightly better buying power for the month, though average prices were up year-over-year.
Read More →
First-Quarter Sees Long Auto Loan Growth
Experian data show more consumers are tapping the method, along with refinancings, to afford buying. Meanwhile, subprime borrowers are getting more access.
Read More →
Mastering Credit Friction
In this video, Josh Krach explains how to turn credit friction into an advantage.
Read More →