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

Do you know that the standard vehicle mortgage fee in the US is greater than $550 per thirty days, and that complete auto mortgage debt within the nation has reached greater than $1.1 trillion?

However it’s not solely the month-to-month fee that drains our funds; you’re nonetheless going to want the greatest 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 have a look at the price of the standard vehicle fee in the US for each new and used automobiles in addition to different auto information on this weblog publish.

Prime Auto Mortgage Statistics In The US (2024):

• The typical month-to-month vehicle fee in the US is $575 for a brand new automotive.
• $430 is the standard month-to-month vehicle fee in the US for a used car.
• Shoppers within the United States borrow $34,635 on common for brand new cars.
• Shoppers borrow an common of $21,500 for used cars.
• $1.18 Trillion is the whole quantity of vehicle 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 per thirty days.

Common Automotive Funds In The US

How A lot Is The Common Automotive Cost In America?

The typical month-to-month car fee within the United States is $575 for brand new automobiles and $430 for used automobiles as of 2024. 

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

The typical month-to-month value in the US for brand new cars is $550.

What Is The Common Used Automotive Cost In America? 

The common value of a used vehicle in the US is $393 per thirty days.

What Share Of Vehicles On The Street Are Paid For? 

In line with latest automotive mortgage information, nearly all of new cars on the street proper now have been financed by a lease or a mortgage – 85%, which has similarities to earlier years. Nonetheless, 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 fee of $596 per thirty days for a brand new automotive and New Hampshire has the the lowest month-to-month auto fee for a brand new automotive at $487 per thirty days. The state of Louisiana additionally has the highest auto fee for used automobiles at $393 per thirty days and Montana has the bottom auto funds for used automobiles at round $289 per thirty days.

Excessive Auto Mortgage Funds Might Imply Excessive Automotive Insurance coverage Charges

Primarily based on our inside information, states with increased auto mortgage funds additionally appear to have higher automotive insurance coverage premiums. As an illustration, Louisiana and Michigan have each excessive auto mortgage funds and insurance coverage premiums. This may increasingly recommend that states with total increased prices of residing 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?  

Firstly of 2020, vehicle 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 vehicle loans price round $56 billion.

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

On common, shoppers borrow $34,635 for a brand new vehicle.

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

The typical mortgage time period for brand new cars is 69 months, and in response to research, 4.5 p.c of excellent vehicle debt is 90 days late, whereas 7% is 30 days overdue.

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

Shoppers borrow about $21,500 for used automobiles.

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

Used cars typically have a mortgage length of 35 months.

Automotive Lease Statistics In America

What Is The Common Leased Automobile Cost In The US?

The common month-to-month value of a leased car in the US is $452.

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

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

What Share Of Vehicles On The Street Are Leased?

In 2024, the proportion of all new automobiles bought on lease fell to 27%, down from 31% in 2019. Lease funds have elevated for almost all prospects, aside 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 vehicle mortgage funds, month-to-month leasing charges are about $97 decrease.
• In the US, leasing accounted for 29.1% of all new automobiles bought

Common Automotive Mortgage Statistics In America

What Era Has the Highest Auto Mortgage Debt?  

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

How A lot Is The Common Automotive Curiosity Fee (APR)?

The typical annual proportion fee for auto loans in 2019 was 8.06%. On a yearly foundation, this proportion assorted from 5.66% for purchasers with glorious credit score to 21.54% for purchasers with a bad credit score.

Key Statistics:

• In the US, child boomers are the demographic almost certainly to amass a brand new car.
• Even if solely 9.28 p.c of America’s credit score is dedicated to vehicle loans, 85% of recent non-commercial automobiles are bought in the US.
• In line with the Federal Reserve Financial institution of New York, it seems that roughly 7 million Individuals are at the very least 90 days late in paying their vehicle loans.
• Louisiana and Michigan have each excessive auto mortgage funds and insurance coverage premiums
• The silent technology, 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 car yearly registrations.

Concluding Ideas

Taking Motion

Month-to-month automotive funds are on the rise in the US. The typical automotive fee in America has gone as much as $575 per thirty days, with some individuals even paying greater than that!

It was additionally surprising to see that in case your state has excessive auto loans it would most likely have excessive insurance coverage premiums. Which means decreasing payments (similar to your automotive insurance coverage charges) is crucial if you wish to pay your car mortgage off a lot sooner.

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

Sources:

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