The Average American Can No Longer Afford a New Car – instamotor.com
The average transaction price of a new vehicle is $32,086. For the last few years Americans have been buying higher-contented vehicles, which are cars and trucks packed with features and accessories.
The one problem here is that the average U.S. household can’t afford that price.
Interest.com, a consumer finance site owned by Bankrate looked at median household incomes across the US and concluded that new cars are out of reach for most Americans. They looked at the median household income in the 25 largest U.S. metropolitan areas and Washington DC was the only area that could actually afford to buy a new car.
Washington had the highest median household and based on their calculations a car buyer would be able to support a $641 monthly payment, which they translate to a purchase price of $32,531 – slightly higher than the average.