Many companies featured on Money advertise with us. Opinions are our own, but compensation and
in-depth research may determine where and how companies appear. Learn more about how we make money.

Published: Jan 14, 2022 5 min read
Cars for sale in a certified used car dealership

Car buyers just can’t seem to catch a break. Average prices for new and used vehicles continue to skyrocket. Meanwhile, the auto industry is raking in record revenues despite selling fewer vehicles.

The average used car sold for a whopping $29,969 in December 2021, according to data from the auto research and buying site Edmunds shared with Money. That's up from an average of $23,185 one year prior, for an increase of nearly 30%.

According to data released this week by Kelley Blue Book (KBB), the price of the average used car — which has more than 69,000 miles — was slightly lower in December 2021 than the figure from Edmunds. But it's still very expensive in the grand scheme of things, with the average used car running $28,105.

As for new vehicle car prices, they're soaring to new highs as well. The average price for a new vehicle in December 2021 was $47,077 according to KBB. That marks the ninth consecutive month of price increases and the highest price ever recorded by the auto research company.

By all accounts, 2022 will be another very challenging year for car buyers. Prices are likely to keep rising, with the average costs for used and new cars creeping closer to $30,000 and $50,000, respectively.