Average New-Car Prices Set Monthly Record in U.S.

The average retail transaction price of a new car in the U.S. grew 3% to a $32,200 in February, a record high for the month, according to J.D. Power and LMC Automotive.

The two market researchers say the $900 price rise comes as the average amount of manufacturers’ sales incentives per car slips slightly to $3,840. Incentives had been rising consistently since 2013 and remain above 10% of the suggested list price.

Power and LMC note that spending on incentives for hot-selling trucks and SUV/crossovers climbed by $482 for foreign brands but fell by $450 for domestic makes last month. Incentives on all cars advanced by an average $80.

The analysts estimate that the overall sales pace in February for passenger vehicles in the U.S. fell to an annualized 13.3 million units from 13.7 million a year ago. Actual retail sales are projected to decline 3% to 997,300 units, but sales to fleets gained 1% to 306,500.