New-vehicle prices remain steady, as average transaction prices in June were mostly unchanged from May and one year ago. In June, according to data released today by Kelley Blue Book, the average transaction price (ATP) for a new vehicle in the U.S. was $48,644. The June ATP was higher by $266 (0.6%) from the revised May ATP and lower by $307 (0.6%) compared to June 2023. In June, the new-vehicle ATP was lower year over year for the ninth straight month.  

Incentives – measured as a percent of ATP – were lower in June than in May. The average new-vehicle incentive package, which includes discounts and rebates, fell to 6.4% of ATP ($3,102) last month, down from 6.7% in May but higher than one year ago when incentives were 4.2% of ATP ($2,036). Many top sellers pulled back on incentives in June despite higher inventory levels. Land Rover, Tesla and Toyota were among the brands with the lowest incentives in June. At the higher end, Audi, Infiniti, Nissan and VW were among the most generous. 

“As we head into the back half of the year, we are seeing that automakers are showing real discipline on pricing,” said Cox Automotive Executive Analyst Erin Keating. “Even brands holding onto more days’ supply, like many Stellantis brands, are keeping incentive spending in check. In June, Jeep increased to 6.3% – still below industry average – from 5.3%, and Ram actually declined to 5.5% from 6.3%. There appears to be a real effort to hold the line out there.”

While the average transaction price for a new vehicle in the U.S. hovers near $49,000, affordability matters. In June, 40% of vehicles transacted for below $40,000, and 26% transacted or between $30-and-$40,000. According to Kelley Blue Book estimates, among the top ten best-selling vehicles in June, half carried ATPs below $40,000 – the Toyota RAV4, Honda CR-V, Toyota Camry, Honda Civic and Chevrolet Trax. 

The best-selling vehicle in the U.S. continues to be a full-size pickup from Ford, a vehicle with a full-size price. In June, the Ford F-Series ATP was $67,443, up 30% from five years ago. More than 65,000 full-size Fords were sold in June. High-volume, full-size pickup trucks from Chevrolet, GMC and Ram – all among the top ten best-selling products in the U.S. – help drive average prices higher, as the Kelley Blue Book data on average transaction price is sales-weighted.  

The average price paid for a new electric vehicle (EV) was $56,371, an increase of 0.9% compared to May. EV prices in June were lower by 2.5% versus June 2023. 

INDUSTRY AVERAGE TRANSACTION PRICE VERSUS INDUSTRY AVERAGE INCENTIVE SPEND AS % OF ATP