Only six major car brands averaged sale prices below $40,000 in the United States in October 2026, as the average price of a new vehicle remained over $50,000.
The average price of new cars in the United States was $52,3699 in October 2026, according to market data compiled by Cloud Theory's MotoMiner platform and USA TODAY Co.'s LocaliQ Automotive. The average new-car price in October rose from $52,326 in September and $49,861 in October 2025.
LocaliQ and MotoMiner also said automakers' average manufacturer's suggested retail price (also known as the sticker price) was $54,283 in October, which was down slightly from than the average sticker price of $54,300 in September 2026. The average sticker price in October 2025 was $51,592.
The figures
from LocaliQ don't include Tesla because the Austin, Texas-based electric carmaker does not have franchised dealerships. Instead, Tesla uses a direct-to-consumer sales model.
Cox Automotive says Tesla's average price for September was $54,345. Cox hasn't reported Tesla figures for October 2026 yet.
Chris Wood, vice president of automotive client strategy for LocaliQ Automotive, said the data shows "new-vehicle prices have essentially stopped climbing month over month, but that doesn't mean affordability has improved."
"We're still seeing average advertised prices running 5% higher than a year ago, and the number of major automotive brands averaging below $40,000 has fallen from eight to six in just one month," Wood said. "What's particularly interesting is that the last advertised prices of vehicles leaving dealer inventory are rising at less than half the rate of prices on the active inventory shelf. That reinforces why we need to look beyond a single national average to understand what's really happening in the market."
The USA TODAY's Cars team examined why cars are getting more expensive and the six auto brands with average sale prices below $40,000 in October.
Why are cars getting more expensive, and why are people still buying them?
Car prices have been rising in recent years because of a variety of factors, including more technology that is now expected to be standard in modern vehicles and manufacturing disruptions stemming from the COVID-19 pandemic. Tariffs imposed on imported cars, auto parts, steel and aluminum have also contributed to higher prices.
Consumer Reports said in a 2023 analysis that carmakers also won changes to the way the federal government measures fuel economy that made it easier for them sell SUVs and pickups rather than cheaper small cars without damaging their fleetwide mpg averages.
"Automakers lobbied heavily and won changes to the rules that made it much easier to sell bigger and heavier vehicles in exchange for stronger overall standards," said Chris Harto, manager of sustainability advocacy for Consumer Reports, in the report. "The end result is that while all vehicles have become a lot more efficient, there has been a rapid shift away from producing sedans and wagons to producing more SUVs and pickups."
Erin Keating, an executive analyst for Cox Automotive, also said in a statement that car buyers gravitating toward larger, more expensive models that have premium features have driven up average car prices. But she said some car buyers are starting to opt for cheaper, small vehicles as average prices top $50,000.
"Consumers don't buy the industry average. They buy a vehicle, and prices for many of the vehicles they're shopping are continuing to move higher," she said. "What's keeping the overall average transaction price increase relatively modest is mix. Affordability pressures are pushing more buyers toward lower-priced vehicles and segments, which tempers the industrywide number even as prices for individual vehicles rise."
Charlie Chesbrough, senior economist at Cox Automotive, said modern car buyers, in general, are wealthier than previous generations might have been. "Although there has been a lot of economic volatility in 2026, the new vehicle market has held surprisingly steady," he said in a recent sales briefing. "A wealthier customer base, and more business buying, is insulating the vehicle market from more negative forces. And as long as the stock market remains strong, this trend seems likely to continue."
What are the cheapest brands right now?
1. Mitsubishi
Average October 2026 transaction price: $33,957
Average October 2025 transaction price: $34,207
Best-selling U.S. car: Mitsubishi Outlander
2. Nissan
Average October 2026 transaction price: $35,382
Average October 2025 transaction price: $33,470
Best-selling U.S. car: Nissan Rogue
3. Mazda
Average October 2026 transaction price: $38,081
Average October 2025 transaction price: $36,092
Best-selling U.S. car: Mazda CX-5
4. Hyundai
Average October 2026 transaction price: $38,492
Average October 2025 transaction price: $38,666
Best-selling U.S. car: Hyundai Tucson
5. Kia
Average October 2026 transaction price: $38,697
Average October 2025 transaction price: $36,998
Best-selling U.S. car: Kia Sportage
6. Honda
Average October 2026 transaction price: $39,168
Average October 2025 transaction price: $38,031
Best-selling U.S. car: Honda CR-V
Keith Laing is an automotive reporter on the National Trending Desk at USA TODAY. Contact Keith at klaing@usatodayco.com.
This article originally appeared on USA TODAY: Why new cars cost over $50K, plus the 6 cheapest brands
