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Small Car On Top Of Oversized Daily Calendar
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A monthly car payment that looks like a mortgage bill? It's more common than you might think.

With prices for both new and used cars elevated — and with interest rates on the rise — the number of car buyers dropping four figures on a monthly car payment has jumped to a record high, according to car-shopping website

It all traces back to a combination of factors that have hamstrung car manufacturers since the start of the pandemic. A shortage of computer chips, factory shutdowns, port backlogs and other bottlenecks created a domino effect of stressors on supply chains. The resulting scarcity of everything from sensors to seat foam sent prices of both new and used cars skyrocketing.

Consumers are doing what they can to keep up. In June, Edmunds found that roughly 13% of new car buyers had monthly payments of $1,000 or more. That’s nearly double the approximately 7% who paid that much in June 2021.