If You Make Less Than $100,000, You’re Probably Not Buying A New Car

• The percentage of new-car buyers earning less than $100,000 has shrunk to 37 percent.
• Buyers earning more than $200,000 increased from 18 to 29 percent.
• Automakers are focusing more on serving high-income customers.

New-car prices are higher than ever. The average transaction price just recently hit over $50,000 in December, and now the number of consumers who earn less than $100,000 is plummeting. 

According to new data from Cox Automotive, consumers who earn less than $100,000 a year account for just 37 percent of new-car buyers. That number was 50 percent in 2020.  

“We have a different vehicle buyer today than we had just a few years ago,” said Cox Automotive senior economist Charlie Chesbrough during an event last week, according to CNBC. “The key takeaway here is that we’re seeing the average buyer here is much more affluent.”

Mercedes-Maybach S-Class V12 Edition

Photo by: Mercedes-Benz

While the number of consumers making less than $100,000 a year has shrunk, the share of buyers earning more than $200,000 has increased from 18 to 29 percent.  In addition to the high transaction prices, monthly new-car payments have also reached exorbitant levels. The average new payment in the United States is nearly $750 a month, while 20 percent of new-car buyers pay $1,000 or more.  

“We’re now relying on the extremely wealthy to generate the sales,” said Mark Barrott, a partner at consulting firm Plante Moran, at the same event.  

Used Car Prices Are Also Up

Photo by: Lexus

For most Americans, buying new is out of the question. But even the used market remains out of reach for many. According to Cox Automotive, the average used car was listed for just over $26,000 in December 2025, up three percent from December 2024.  

Average monthly used-car payments exceeded $500 last year, and the share of cheap used cars is dwindling. Last year, used-car prices under $20,000 accounted for just under 12 percent of total listings, compared with nearly 50 percent in 2019. Nearly 70 percent of used cars fell in the $20,000 to $40,000 range.  

Used car prices increased after the pandemic due to a shortage of available vehicles. When Covid-19 hit, auto production declined, leading to a dwindling supply of new cars and increased consumer demand.

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Motor1’s Take: This latest data is more proof that automakers are abandoning everyday consumers to focus on high-income earners. New car prices are higher than ever, with automakers continuing to end production for affordable models, pushing cost-conscious consumers to the still-expensive used market. It’s not easy out there for shoppers. 

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