--- title: Owning a Car Costs More Than Ever, and These Brands Are Seeing the Biggest Price Increases description: Car prices and the cost of car ownership hit new record highs. Car brands like Tesla, Honda and BMW have seen the biggest price increases. authors: - name: Sarah Hansen role: Senior Writer url: https://money.com/author/sarah-hansen/ bio: Sarah Hansen is a senior writer at Money covering all things personal finance. Previously, she covered economic policy and capital markets on the breaking news desk at Forbes. education: Northwestern University, New York University at_money_since: 2021 articles: 347 covers: - Economy and Politics - Banking - Business - Career Advice - Credit - Credit Cards - Education - Health and Wellness - Housing - Insurance - Investing - Lifestyle - Loans - Mortgages - Personal Finance - Professional Services - Retirement - Shopping - Taxes social: - https://www.linkedin.com/in/sarah-m-hansen/ former_staff: true editors: - name: Brad Tuttle role: Senior Editor url: https://money.com/author/brad-tuttle/ bio: Brad Tuttle is a former senior editor at Money with over 10 years’ experience covering a vast number of personal finance topics, including careers, cars, travel, budgeting, investing, insurance, credit cards, consumer psychology, real estate, banking, and shopping and deals. education: Columbia University School of Journalism, MS at_money_since: 2014 articles: 366 covers: - Economy and Politics - Banking - Business - Career Advice - Credit - Credit Cards - Education - Health and Wellness - Housing - Identity Theft - Insurance - Investing - Lifestyle - Loans - Mortgages - Personal Finance - Pets - Professional Services - Retirement - Shopping - Taxes - Technology social: - https://twitter.com/bradrtuttle - https://linkedin.com/in/brad-tuttle-834b225 former_staff: true published: '2022-08-11T17:17:31.000Z' modified: '2024-02-29T16:13:45.000Z' section: Economy and Politics tags: - cars - News word_count: 511 canonical: https://money.com/car-prices-ownership-costs-record-highs/ type: NewsArticle source: structured-blocks --- > **Disclosure:** We research all brands listed and may earn a fee from our partners. Research and financial considerations may influence how brands are displayed. Not all brands are included. [Learn more](https://money.com/page/disclaimer/). ![Photo collage of a car and many hundred dollar bills](https://img.money.com/2022/08/News-Biggest-Car-Price-Increases.jpg?crop=0px%2C143px%2C2880px%2C1620px&quality=85) Car prices keep climbing to new records, and thanks to abnormally high gas prices the cost of *owning* a car is skyrocketing as well. The annual cost of owning a new car has hit $10,738, surpassing $10,000 for the first time ever according to auto club AAA. That’s $894 per month — nearly $90 more than the monthly cost of [owning a car in 2021](https://money.com/new-car-cost-insurance-loan-2021/). The 11% bump is also greater than the annual [rate of inflation](https://money.com/grocery-prices-biggest-increase-1979-inflation/?xid=moneyrss), which came in at 8.5% in July. AAA’s [calculations](https://newsroom.aaa.com/2022/08/annual-cost-of-new-car-ownership-crosses-10k-mark/) include 45 models of vehicles across a variety of price ranges and assume a consumer holds onto the car for five years and drives it about 15,000 miles per year. The main culprit for the big increase in car ownership costs is [rising gas prices](https://money.com/gas-prices-painful-facts/), AAA says. The company used fuel prices from the first five months of the year to determine costs for drivers. During that time, gas prices climbed from roughly $3.25 per gallon to more than $4.50. That spike came in the aftermath of what GasBuddy Head of Petroleum Analysis Patrick De Haan [recently called](https://www.gasbuddy.com/go/399-gas) a series of “once-in-a-lifetime events including the ongoing Covid-19 pandemic, which caused myriad imbalances, exacerbated by Russia’s war on Ukraine.” Gas prices peaked [above $5 per gallon](https://money.com/gas-prices-plunge-soon/) in June and have since fallen [back under $4](https://money.com/gas-prices-drop-below-4-fast/), but drivers are still facing higher costs in other areas. A recent [analysis](https://getjerry.com/studies/why-auto-insurance-is-rising-faster-than-car-and-gas-prices-overall) from auto insurance agency Jerry found that [car insurance](https://money.com/best-auto-insurance/) is the fastest-growing vehicle expense over the past 10 years. Car insurance premiums have risen more than 8% already in 2022, according to Jerry, and have spiked more than 50% since 2012. ## Auto brands with big increases in new car prices The prospect of [buying a car in 2022](https://money.com/how-to-buy-a-car-in-2022/) is also daunting, with prices rising steeply for [new and used cars](https://money.com/new-used-car-prices-december-2021/) alike. A combination of lingering supply chain issues (especially for microchips) and supply and demand imbalances have pushed up car prices across the board. The average price of a new car reached an all-time high of $48,182 in July, according to [Kelley Blue Book](https://mediaroom.kbb.com/2022-08-10-New-Vehicle-Prices-Set-Record-in-July-2022,-According-to-Kelley-Blue-Book,-as-Inventory-Improves-Year-Over-Year-and-Luxury-Share-Remains-Elevated). That’s a 11.9% increase over the same month last year, and it too is significantly higher than the most recent overall [inflation rate](https://money.com/grocery-prices-biggest-increase-1979-inflation/). Some kinds of cars have seen much larger increases, and it's not simply because auto manufacturers are raising prices. Due to heightened demand and limited supply, car dealerships have been in a position to routinely [charge over the sticker price](https://money.com/new-car-sales-above-sticker-price/) for vehicles on their lots. Here are the 10 car brands with the biggest price hikes over the last year, according to Kelley Blue Book: 1. Tesla: 20.5% 2. Porsche: 18.9% 3. Honda: 18.4% 4. Jeep: 16.6% 5. Mitsubishi: 16.3% 6. Acura: 15.6% 7. Kia: 14.4% 8. Infiniti: 13.7% 9. Chrysler: 13.3% 10. BMW: 13.1% Buying a used car is traditionally a smart move that saves you money compared to purchasing new. But that strategy might not hold up in 2022. A recent report showed that nearly all of the most popular 2021 models are selling for [more than their new prices](https://money.com/used-cars-cost-more-than-new/) on the used car market. ## **More on Car Insurance** | | | --- | | **Money’s Top Picks** [8 Best Car Insurance Companies of 2024](https://money.com/best-auto-insurance/) [6 Best Commercial Auto Insurance Companies](https://money.com/best-commercial-auto-insurance-companies/) [7 Best Car Insurance Companies in Florida](https://money.com/best-car-insurance-florida/) **Car Insurance Reviews** [CURE Auto Insurance Review](https://money.com/cure-auto-insurance-review/) [AAA Auto Insurance Review](https://money.com/aaa-auto-insurance-review/) [Lemonade Car Insurance Review](https://money.com/lemonade-car-insurance-review/) **Learn More** [How to Lower Car Insurance Premiums](https://money.com/how-to-lower-car-insurance-premiums/) [Tips for First-Time Car Insurance Buyers](https://money.com/tips-for-first-time-car-insurance-buyers/) [How Does Car Insurance Work?](https://money.com/how-does-car-insurance-work/) | ```json { "@context": "https://schema.org", "@graph": [ { "@type": "BreadcrumbList", "@id": "https://money.com/car-prices-ownership-costs-record-highs/#breadcrumb", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://money.com" }, { "@type": "ListItem", "position": 2, "name": "Economy and Politics", "item": "https://money.com/economy-and-politics/" }, { "@type": "ListItem", "position": 3, "name": "Auto Industry", "item": "https://money.com/auto-industry/" }, { "@type": "ListItem", "position": 4, "name": "Owning a Car Costs More Than Ever, and These Brands Are Seeing the Biggest Price Increases" } ] }, { "@type": "WebSite", "@id": "https://money.com/#website", "url": "https://money.com", "name": "Money", "publisher": { "@id": "https://money.com/#organization" } }, { "@type": "WebPage", "@id": "https://money.com/car-prices-ownership-costs-record-highs/#webpage", "url": "https://money.com/car-prices-ownership-costs-record-highs/", "name": "Owning a Car Costs More Than Ever, and These Brands Are Seeing the Biggest Price Increases", "isPartOf": { "@id": "https://money.com/#website" }, "datePublished": "2022-08-11T17:17:31.000Z", "mainEntity": { "@id": "https://money.com/car-prices-ownership-costs-record-highs/" }, "inLanguage": "en-US", "breadcrumb": { "@id": "https://money.com/car-prices-ownership-costs-record-highs/#breadcrumb" }, "dateModified": "2024-02-29T16:13:45.000Z" }, { "@type": "NewsArticle", "headline": "Owning a Car Costs More Than Ever, and These Brands Are Seeing the Biggest Price Increases", "articleSection": "Economy and Politics", "image": [ { "@type": "ImageObject", "url": "https://img.money.com/2022/08/News-Biggest-Car-Price-Increases.jpg?crop=0px%2C143px%2C2880px%2C1620px&quality=85", "width": 1012, "height": 569, "caption": "News-Biggest-Car-Price-Increases" } ], "author": [ { "@type": "Person", "name": "Sarah Hansen", "url": "https://money.com/author/sarah-hansen/", "@id": "https://money.com/author/sarah-hansen/#author", "description": "Sarah Hansen is a senior writer at Money covering all things personal finance. 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