KBB: New-Car Transaction Prices Climb Nearly 2% in April
The vehicle information site pinned the year-over-year increase on high demand for SUVs, noting that most manufacturers registered higher average transaction prices despite softening sales.

IRVINE, Calif. — The estimated average transaction price (ATP) for light vehicles in the United States was $34,552 in April 2017, a $579 (up 1.7 percent) increase from April 2016 but a $48 $48 (down 0.1 percent) decrease from March, Kelley Blue Book reported this week.
The vehicle information site pinned the year-over-year increase on high demand for SUVs, noting that most manufacturers realized higher transaction prices despite softening retail sales.
“These increases appear to be primarily driven by the shift in demand toward SUVs, even with growing segments, such as subcompact SUVs and luxury compact SUVs, seeing year-over-year price declines,” said KBB analyst Tim Fleming. “Kelley Blue Book anticipates average transaction prices will likely begin to decrease when the sales mix of SUVs eventually levels off.”
The average transaction price for Fiat Chrysler was up more than 3% year over year in April. The Chrysler brand registered an 11% increase, due to the new Pacifica minivan and lower sales of the 200 sedan, KBB noted. Meanwhile, Jeep increased 5% thanks to a stronger mix of the Grand Cherokee, as the smaller Compass SUV changes to a new generation. The average for the RAM brand, however, was down 3%, as full-size pickup truck prices continue to dip.
Conversely, General Motors’ average transaction prices fell nearly 1%, with only the Buick brand posting a year-over-year increase. The redesigned LaCrosse sedan, which was up 9%, and the all-new Envision SUV helped boost Buick’s transaction price increase. The Chevrolet brand registered a 2% decline in its average transaction price, with the Silverado down 4% from last year.
More Auto Finance

July Was Hot for Auto Borrowers
Credit proved readily available for many, but most loans left buyers in negative territory, Cox Automotive said.
Read More →
Dealer Lender Preferences Revealed
When lenders provide consistent, fast service, their overall satisfaction scores with dealers greatly improve, according to JD Power research.
Read More →
Auto Refi Savings Surge
Consumers with 84-month auto loan terms who refinanced saved the most on monthly payments, according to a new report by auto refinancing provider Caribou.
Read More →
Subaru Enters Lending Business
The automaker follows other brands in adding captive financing in the U.S., and says the move will strengthen its position here.
Read More →
Positive Equity Reaches Record High
Mainstream vehicle owners who bought a car seven years ago are likely to have positive equity when trading in for a new vehicle, according to second-quarter Edmunds data.
Read More →
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 →