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New-Vehicle Prices Rise

With April sales down, higher prices on in-demand large vehicles helped inflate the overall ATP, though increases were under long-term averages, Cox Automotive reported.

May 12, 2026
Photo of the rear of a new BMW iX SUV

Many midsize SUVs saw large price increases in April, along with compact SUVs and full-size trucks, inflating the month's average transaction price.

Credit:

BMW

2 min to read


Americans’ taste for big and expensive vehicles pumped up April new-vehicle prices, though overall price increase trends continued to normalize toward prepandemic levels, according to Cox Automotive sales data.

The Kelley Blue Book numbers show the average transaction price rose nearly a percentage point over March to $49,461. That may seem like a small gain but exceeded long-term averages, Cox said. The ATP was up nearly 2% year-over-year but under the 3.6% long-term average.

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Part of the increase resulted from significant price bumps in the top-selling compact and midsize SUV and full-size pickup segments, Cox said.

Meanwhile, asking prices climbed to a 2026 high point of $51,607, up 2% year-over-year and 0.6% from March.

In the midst of the price increases, overall incentives fell month-over-month, as did sales, both from March and a year earlier, according to the report. Transactions in many luxury segments in particular declined, though incentives were up on that end of the price scale as they were for pickups and SUVs, Cox said.

“What we’re seeing in April is a mix-driven pricing story, not reaccelerating inflation,” said Cox Executive Analyst Erin Keating. “Strength in high-volume segments like SUVs and pickups is lifting the average, but overall price growth remains below long-term norms, signaling that the pricing environment is continuing to normalize.”

Keating explained further that manufacturers and dealers are juggling today’s inflated environment on the back end.

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“What’s more interesting is that while year-over-year price growth may be returning to pre-pandemic norms, the market itself hasn’t,” she said. “Today’s pricing is being supported more by supply discipline and mix than demand strength, which is why volume is absorbing more of the pressure.”

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