Average Price Hits 2026 High in July as New Models Arrive and Incentives Retreat
U.S. new-vehicle transaction prices climbed to their highest level of 2026 in July. Kelley Blue Book (div. Cox Automotive)’s latest report finds the average transaction price increased to $49,855 as freshly arriving 2027 models pushed prices higher and incentive spending declined for a second consecutive month.
KBB analysts note the increase follows a typical seasonal pattern as newer, better-equipped models begin arriving on dealer lots. Full-size pickups like the Ram 1500 remained the most expensive segment at $66,980, up 2.8% year over year, while each of the five top-selling segments — accounting for 64% of all sales — posted year-over-year gains ranging from 1.1% to 2.7%.
EV transaction prices reversed six months of declines, rising 1.6% year over year to $56,126.
“Consumers continue to gravitate toward more affordable segments, which is helping keep overall transaction price growth in check, but the steady flow of newer vehicles is providing some upward pressure on both ATPs and MSRPs,” writes Erin Keating, executive analyst at Cox Automotive.
KBB’s June ATP report found that buyers migrated to “mid” segments, keeping new-vehicle prices in check even as the SAAR hit its highest point of 2026.
