New Car Buyers' Income Threshold Soars: Share of Those Earning Under $100K Plummets

The latest data shows that new car buyers in the U.S. are becoming increasingly affluent. According to a Cox Automotive report, the average transaction price for new vehicles surpassed $50,000 in December 2024, with average monthly auto loan payments nearing $750, and 20% of buyers paying over $1,000 per month. Consumers earning less than $100,000 annually accounted for only 37% of new vehicle buyers—significantly lower than 50% in 2020—while buyers with annual incomes exceeding $200,000 rose from 18% to 29%. Experts note that automakers are shifting their focus toward serving high-income customers and gradually discontinuing affordable models. Even turning to the used-car market offers little relief for average consumers: in December 2024, the average price of a used vehicle exceeded $26,000, with monthly payments surpassing $500, and the share of models priced below $20,000 dropped from nearly 50% in 2019 to less than 12%.