Average New-Car Selling Price in U.S. Tops $34,000

The average price paid by U.S. consumers for a new car in 2016 climbed nearly 3% to a record $34,077, according to Edmunds.com. Prices have risen 12% over the past five years.

This year’s increase was fueled primarily by the continuing market shift from cars to pricier trucks and SUV/crossovers, the car-buying service says. It predicts the average selling price in 2017 will reach $35,000.

Edmunds adds that rising new-car prices are helping to keep the used-car market strong too. The trend also is driving longer-term financing options and a surge in leasing, both of which reduce the monthly payments purchasers make.