How A lot Is The Common Automobile Cost In America? Plus 21 Auto Mortgage Stats!

Do you know that the everyday car mortgage cost in the US is greater than $550 monthly, and that complete auto mortgage debt within the nation has reached greater than $1.1 trillion?

But it surely’s not solely the month-to-month cost that drains our funds; you might be nonetheless going to want the finest automotive insurance coverage coverage you may get and new cars shortly depreciate by 20% or extra after they’re pushed off the lot.

On this publish we’ll take a look at the price of the everyday car cost in the US for each new and used autos in addition to different auto info on this weblog publish.

Prime Auto Mortgage Statistics In America (2024):

• The common month-to-month car cost in the US is $575 for a brand new automotive.
• $430 is the everyday month-to-month car cost in the US for a used automobile.
• Shoppers within the United States borrow $34,635 on common for brand spanking new cars.
• Shoppers borrow an common of $21,500 for used cars.
• $1.18 Trillion is the entire quantity of car financing excellent in the US.
• States with increased auto mortgage funds additionally appear to have increased automotive insurance coverage premiums.
• Louisiana has the highest common month-to-month funds for each new and used automobiles at $596 and $393, and the nation’s highest common automotive insurance coverage charges of $192 monthly.

Common Automobile Funds In America

How A lot Is The Common Automobile Cost In America?

The common month-to-month automobile cost within the United States is $575 for brand spanking new automobiles and $430 for used automobiles as of 2024. 

What Is The Common New Automobile Cost In The U.S.?

The common month-to-month price in the US for brand spanking new cars is $550.

What Is The Common Used Automobile Cost In America? 

The common price of a used car in the US is $393 monthly.

What Share Of Automobiles On The Street Are Paid For? 

In response to current automotive mortgage knowledge, nearly all of new cars on the street proper now have been financed via a lease or a mortgage – 85%, which is analogous to earlier years. Nevertheless, extra used automobiles had been financed: 55.5% in comparison with 54% in 2018.

Common Month-to-month Auto Mortgage Funds By State

The state of Louisiana has the highest common month-to-month auto mortgage cost of $596 monthly for a brand new automotive and New Hampshire has the the lowest month-to-month auto cost for a brand new automotive at $487 monthly. The state of Louisiana additionally has the highest auto cost for used automobiles at $393 monthly and Montana has the bottom auto funds for used automobiles at round $289 monthly.

STATE	New Automobile (Month-to-month Cost)	Used Automobile (Month-to-month Cost)
New Hampshire	$487	$301
Oregon	$491	$305
South Carolina	$495	$309
Alaska	$495	$300
Vermont	$499	$315
Montana	$499	$289
South Dakota	$503	$310
Arkansas	$503	$305
Wyoming	$505	$317
North Dakota	$505	$300
Hawaii	$505	$310
New Mexico	$508	$316
Virginia	$510	$320
North Carolina	$512	$320
Delaware	$513	$320
Nebraska	$519	$322
Maine	$519	$322
Iowa	$519	$322
Kentucky	$522	$324
Wisconsin	$523	$327
Idaho	$524	$327
West Virginia	$525	$320
Pennsylvania	$526	$328
Massachusetts	$526	$328
Maryland	$527	$330
Indiana	$527	$327
Connecticut	$527	$329
New Jersey	$529	$330
Michigan	$529	$332
Minnesota	$530	$322
Florida	$530	$333
Tennessee	$531	$331
Rhode Island	$532	$333
Utah	$533	$334
Ohio	$535	$335
Washington	$539	$336
Colorado	$539	$336
New York	$540	$338
Missouri	$540	$338
Illinois	$546	$343
Kansas	$548	$344
Oklahoma	$556	$365
Alabama	$560	$367
Arizona	$563	$354
Mississippi	$564	$323
California	$567	$358
Texas	$572	$372
Georgia	$573	$374
Nevada	$587	$387
Louisiana	$596	$393
District of Columbia	N/A	N/A

Excessive Auto Mortgage Funds May Imply Excessive Automobile Insurance coverage Charges

Primarily based on our inner knowledge, states with increased auto mortgage funds additionally appear to have higher automotive insurance coverage premiums. As an example, Louisiana and Michigan have each excessive auto mortgage funds and insurance coverage premiums. This may occasionally recommend that states with general increased prices of dwelling and vehicular bills are inclined to have increased prices throughout all facets of automotive possession.

American Auto Debt Statistics (2024)

How A lot Do Individuals Owe In Auto Mortgage Debt?  

At the beginning of 2020, car mortgage debt in the US reached $1.18 trillion.

How A lot Debt Do Individuals Take Out On Auto Loans Per Month?

Each month, greater than 2 million Individuals take out new car loans price round $56 billion.

What Is The Common Mortgage Quantity For New Autos In America?  

On common, customers borrow $34,635 for a brand new car.

What Is The Common Mortgage Size For New Automobiles In America?

The common mortgage time period for brand spanking new cars is 69 months, and in keeping with research, 4.5 p.c of excellent car debt is 90 days late, whereas 7% is 30 days overdue.

What Is The Common Mortgage Quantity For Used Automobiles In America?

Shoppers borrow about $21,500 for used autos.

What Is The Common Mortgage Size For Used Automobiles In America?

Used cars usually have a mortgage length of 35 months.

Automobile Lease Statistics In America

What Is The Common Leased Automobile Cost In America?

The common month-to-month price of a leased automobile in the US is $452.

What Is The Common Mortgage Size For Leased Automobiles In America?

The common mortgage size on a leased automobile is 37 months within the U.S. 

What Share Of Automobiles On The Street Are Leased?

In 2024, the share of all new automobiles bought on lease fell to 27%, down from 31% in 2019. Lease funds have elevated for almost all prospects, apart from these within the prime and super-prime classes, who noticed their lease funds lower in 2020.

Key Statistics:

• When in comparison with month-to-month car mortgage funds, month-to-month leasing charges are about $97 decrease.
• In the US, leasing accounted for 29.1% of all new autos bought

Normal Automobile Mortgage Statistics In America

What Technology Has the Highest Auto Mortgage Debt?  

Technology X has the best likelihood of taking out a automobile mortgage and paying essentially the most in debt, with a median of $19,313.

How A lot Is The Common Automobile Curiosity Price (APR)?

The common annual proportion charge for auto loans in 2019 was 8.06%. On a yearly foundation, this proportion diverse from 5.66% for patrons with glorious credit score to 21.54% for patrons with horrible credit.

Key Statistics:

• In the US, child boomers are the demographic probably to amass a brand new automobile.
• Although solely 9.28 p.c of America’s credit score is dedicated to car loans, 85% of recent non-commercial autos are bought in the US.
• In response to the Federal Reserve Financial institution of New York, it seems that roughly 7 million Individuals are not less than 90 days late in paying their car loans.
• Louisiana and Michigan have each excessive auto mortgage funds and insurance coverage premiums
• The silent era, which has 8.3 p.c of the market share, and Gen Z purchasers, who’ve 2.8 p.c of the market share, are the populations that account for the bottom variety of new automobile yearly registrations.

Concluding Ideas

Taking Motion

Month-to-month automotive funds are on the rise in the US. The common automotive cost in America has gone as much as $575 monthly, with some folks even paying greater than that!

It was additionally surprising to see that in case your state has excessive auto loans it is going to in all probability have excessive insurance coverage premiums. Which means decreasing payments (corresponding to your automotive insurance coverage charges) is crucial if you wish to pay your automobile mortgage off a lot quicker.

And whereas $1.18 Trillion in auto mortgage debt is a giant and scary quantity I believe over time we will sort out this debt.

Sources:

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