Average new-car prices nearly flat year-over-year, Kelley finds

(November 1, 2017) IRVINE, Calif. — The analysts at Kelley Blue Book today reported the estimated average transaction price (ATP) for light vehicles in the United States was $35,263 in October. New-car prices have increased by $101 (up 0.3 percent) from October 2016, while climbing $128 (up 0.4 percent) from last month.

"Transaction prices continue to rise at a slower pace than we've seen recently, expected to be just $100 higher than this time last year," said Tim Fleming, analyst for Kelley Blue Book.

"Prices in the third quarter were up just 1 percent after averaging 3 percent gains in the first half of the year. While Kelley Blue Book expects solid sales in October at 17.9 million SAAR, flat transaction prices combined with ever-growing incentive spending signal headwinds for the new-vehicle market as 2017 nears its end."

Fiat Chrysler's average transaction prices rose 4 percent in October, as the Jeep brand increased 3 percent. The redesigned Jeep Compass jumped 6 percent, while the wind down of the Jeep Patriot also is helping drive average prices up. Dodge climbed by 10 percent on the strength of the Durango SUV and its new SRT performance trim.

Volkswagen Group's average transaction prices were among the best performers year-over-year, up 2 percent for the month. The Volkswagen brand was up 4 percent, in large part to the recently introduced Atlas SUV and redesigned Tiguan, which rose 6 percent. Audi was up 4 percent, as the redesigned A5 climbed 4 percent on the strength of its new Sportback body style.