New-vehicle prices remain steady, as average transaction prices in June were mostly unchanged from May and one year ago. In June, according to data released today by Kelley Blue Book, the average transaction price (ATP) for a new vehicle in the U.S. was $48,644. The June ATP was higher by $266 (0.6%) from the revised May ATP and lower by $307 (0.6%) compared to June 2023. In June, the new-vehicle ATP was lower year over year for the ninth straight month.
Incentives – measured as a percent of ATP – were lower in June than in May. The average new-vehicle incentive package, which includes discounts and rebates, fell to 6.4% of ATP ($3,102) last month, down from 6.7% in May but higher than one year ago when incentives were 4.2% of ATP ($2,036). Many top sellers pulled back on incentives in June despite higher inventory levels. Land Rover, Porsche and Toyota were among the brands with the lowest incentives in June. At the higher end, Audi, Infiniti, Nissan and VW were among the most generous.
EV Prices Trend Higher After Hitting Bottom in March
In June, the average price paid for a new electric vehicle (EV) was $56,371, an increase of 0.9% compared to May. EV prices in June were lower by 2.5% versus June 2023.
New EV prices have been trending higher since the spring, when transaction prices fell to $53,235 in March. In large part, the higher prices for EVs are being driven by market leader Tesla, which has seen prices increase 13% since January. While prices for the popular Model Y and Model 3 held relatively steady month over month in June – although both have increased significantly since January – the new Cybertruck is likely one reason Tesla ATPs have increased. In June, the Cybertruck was the best-selling vehicle priced over $100,000 – average transaction price: $112,696 – with more than 3,200 units sold.
Despite prices trending higher, EV sales in Q2 improved versus Q1 and were higher year over year by more than 11%. In fact, 330,000 EVs were sold in Q2 in the U.S., a record quarter for electric-vehicle volume.
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