CoPilot’s Car Price Index Report

INTRODUCTION

Car prices are inflated in a structural and long-term way. Due to supply issues and increased production costs during the COVID-19 pandemic, new car prices skyrocketed, which also trickled into the used car market. Currently, new and used car price are as follows:

In the context of this new, elevated normal, CoPilot’s Car Price Index analyzes vehicle affordability by looking at current used car prices compared to the replacement cost of a comparable new car (rather than along a historical depreciation curve).

The Index tracks price movements across top brands, segments, makes/models on a monthly basis, as well as in the context of how a car’s current price compares to its pre-COVID price. It also offers insights on the segments, brands, and make/models that offer the best bargains for car shoppers.

KEY TAKEAWAYS

• New car prices decreased slightly in December, down by $182 (or 0.4%) to an average of $49,194. Overall, they remain 28% (or $10,789) more expensive than they were pre-COVID. 
• Used car prices saw a small increase in December, up by $278 (or 0.9%) to an average of $32,346. Used car prices are 37% (or $8,670) more expensive than they were before March 2020.
• New car prices from luxury brands also increased in December, up by $1,144 (or 2%) to an average of $72,323. Compared to prices at the start of the COVID-19 pandemic, new car prices from luxury brands are 19% (or $11,638) more expensive this month. With the used value of luxury cars worth 60 cents on the dollar to comparable new car, they represent the best used value for consumers. 
• Among all segments, used SUVs represent the best value for consumers, worth 61 cents on the dollar compared to a comparable new car. 
• When compared to new prices during March 2020, new Subarus are the least inflated vehicle brands, up $2,711 (or 8%) to an average of $36,178. On the other hand, new Chryslers are one of the most inflated brands since COVID, up by 24% (or $8,664) to an average of $45,422. 
• Used Mitsubishis represent the best value for consumers, as compared to a comparable new car, as they are worth 50 cents on the dollar.

MAKE TYPE

Key Takeaways:

• Monthly price movements among make types were largely minimal in December.
• Since March 2020 (pre-COVID), new domestic brand cars remain the most inflated, with prices up by 32% to an average of $12,510.
• On the used side, both domestic and foreign brands have seen a relatively comparable increase in inflation since COVID, with prices up by 38% for domestic brands to an average of $33,842 and up by 37% for foreign brands to an average of $25,862. Used luxury brands are slightly ahead, up by 39% to an average of $43,421.
• Used car prices from luxury brands increased since December by 1% (or $532), but they still represent the best used value for consumers in comparison to new, with their value worth 60 cents on the dollar to a comparable new car.

SEGMENTS

Key Takeaways:

• Price movements were largely minimal among segment types, with new minivans seeing a bump this month, up by 0.9% (or $427) in December to an average of $48,186.
• On the used side this month, SUV prices ticked upward by $859 (or 2%) to an average of $41,658 and crossovers increased by $286 (or 1%) to an average of $28,522. 
• On both the new and used side, minivans remain the most inflated segment, with prices up by 34% since pre-COVID for new models and by 40% since March 2020 for used models (down from 41% in November).
• Used SUVs represent the best value for consumers, worth 61 cents on the dollar compared to a comparable new car.

BRANDS

Key Takeaways:

• Since March 2020 (pre-COVID), new car prices from Subaru and Volvo are the least inflated compared to other car brands. New Subaru prices have increased +8% (or $2,711) to an average of $36,178 and new Volvo prices by 12% (or $6,591) to an average of $60,376. 
• On the used side, Chrysler and Mazda have the least inflated used prices since March 2020 compared to other car brands. Used car prices for Chrysler increased by 6% (or $1,414) to an average of $24,792 and for Mazda by 12% (or $3,060) to an average of $24,347.
• Used Mitsubishis provide an excellent value for consumers, worth 50 cents on the dollar compared to a comparable new car.

ABOUT COPILOT

For journalists and publishers, CoPilot’s data has the best real-time view on prices, sales, and inventory in the new and used car market. By monitoring the online inventory of virtually every dealer in the country, every day, CoPilot:

• Provides fresh, comprehensive, and daily data
• Offers insight on the new and used market, broken down by segment, brand, model, and fuel type
• Looks at current retail prices, which (unlike wholesale prices) are a much more accurate reflection of how much consumers are currently paying for cars

For consumers, CoPilot offers the first-ever AI-assisted car shopping app, which:

• Searches virtually every dealer and analyzes millions of vehicles to find the best car for your needs, at the right price
• Helps you avoid add-ons and hidden fees, and negotiate the best price
• Does not take money from dealers, providing customers with truly unbiased recommendations

View the press release on this month’s Index report findings here.

Media Contact:

Kerry Close Guaragno

kclose@groupgordon.com

732-609-2644