Consumer Reports now reports that for the first time ever, the average price of a new car has edged past $47,000, according to a new report from Kelley Blue Book and data from TrueCar. Blame it all on the pandemic and the resulting global semiconductor shortage that has hobbled automakers’ ability to crank out new cars, crimping supply, pushing up prices, and limiting availability.
Over several years, a variety of factors has contributed to pushing up the average new-car price. For one thing, consumer tastes have gravitated toward more expensive truck and SUV models. And the recent scarcity of all models has led to more extreme price increases among traditionally more affordable models. The preference for safety features that are on the high end trim lines has also been a factor. Those safety features require computer chips that are in short supply.
Over two years ago I bought a year old car that had all of those safety features. That was before COVID effected car manufacturing and the new car dealer had a parking lot of used cars to choose from. Not anymore.
Business Insider says the best bet for most consumers is to delay buying a car. As the dealers obtain higher stocks prices will fall.
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