Average New Car Prices Just Hit Another Record: $51,000

Bigger vehicles, rising MSRPs, and fewer incentives are making new cars harder to afford.

By: Jeff Perez

Nov 10, at 3:11pm ET

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Cars are expensive. That's not exactly news. What is news, though, is that the average price of a new vehicle in the United States has officially topped $51,000 for the first time, setting an all-time record.

According to the latest data from Kelley Blue Book, the average transaction price (ATP) for a new vehicle reached $51,109 in October 2026. That's $649 more than September, a 1.3 percent increase month over month and 2.1 percent higher than the same time last year.

While that annual increase is relatively modest by historical standards, the growing popularity of larger, more expensive SUVs and pickup trucks helped push the industry average to a new high.

The average manufacturer's suggested retail price (MSRP) also climbed in October, reaching $52,933. That's 1.4 percent higher than September and 2.4 percent above October 2025.

2027 Toyota RAV4 PHEV

Photo by: Toyota

SUVs And Pickup Trucks Are Pushing Prices Higher

A big part of the reason for the record-high average comes down to what Americans are buying. Shoppers continue to gravitate toward larger, more expensive vehicles, particularly mid-size SUVs and full-size pickup trucks.

Mid-size SUVs took the top spot among the industry's highest-volume vehicle segments in October, overtaking compact SUVs, which held the position in September. Sales volume for the segment also jumped nearly 10 percent year over year.

According to Kelley Blue Book, the average transaction price for a mid-size SUV reached $50,570 in October, up 1.9 percent from a year earlier. Full-size pickup trucks were considerably more expensive, averaging $67,912, a 1.4 percent annual increase.

Compact SUVs averaged $37,895, up 4.3 percent year over year, while subcompact SUVs came in at $31,333, an increase of 1.9 percent. Compact cars remained among the most affordable options, with an average transaction price of $28,030. Even that figure was 3.4 percent higher than October 2025.

Together, these five segments accounted for 64.4 percent of all new-vehicle sales in October. Here's how their average transaction prices stack up:

Mid-Size SUVs: $50,570, up 1.9 percent year over year
Compact SUVs: $37,895, up 4.3 percent year over year
Full-Size Pickups: $67,912, up 1.4 percent year over year
Subcompact SUVs: $31,333, up 1.9 percent year over year
Compact Cars: $28,030, up 3.4 percent year over year

2027 Chevrolet Silverado 1500 Trail Boss

Photo by: Chevrolet

EV Prices Are Still Falling Year Over Year

Electric vehicles followed a slightly different trend in October, although they weren't immune to the industry's month-over-month price increase. The average transaction price for a new EV reached $56,220 in October, up 1 percent from September. That's still 2.7 percent lower than the average EV transaction price in October 2025.

EV buyers are also getting considerably better incentives than shoppers buying conventional vehicles. Discounts and other incentives averaged 11.3 percent of EV transaction prices in October, compared with 6.8 percent for the industry overall.

Tesla's average transaction price was $54,194 in October. That's down from September but still 1.2 percent higher than a year ago. Stronger sales of the now-discontinued Cybertruck pushed that figure upward, with Kelley Blue Book estimating that Tesla sold 1,914 examples of the electric pickup in October. That's the Cybertruck's strongest monthly sales performance in more than a year.

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The Cybertruck also commanded an estimated average transaction price of $92,380.

With new-vehicle transaction prices now above $51,000, affordability remains a major challenge for the automotive industry. And with incentives still relatively restrained, shoppers shouldn't expect discounts to bring prices down anytime soon.