New-car transaction prices peak according to study

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A recent study suggests that the prices of new cars are at some of their highest levels in recent memory.

According to car pricing website TrueCar.com*, the average transaction price for light vehicles in the United States in March was nearly $30,750. That's 7 percent ahead of the average in March 2011, or what translates to roughly $1,944. On a monthly basis, transaction prices rose 0.5 percent or $143.

Jesse Toprak, industry and insights vice president at TrueCar.com, said this bodes well for automakers, suggesting that they've hit the right balance between supply and demand.

"The auto manufacturers have finally found their sweet spot, with the production of vehicles meeting the demand of consumers, keeping incentives to a minimum," said Toprak. "This led to the highest transaction prices in the industry in March, along with record highs for Chrysler, General Motors, Hyundai/Kia and Nissan."

Hyundai/Kia logs most significant jump in transaction prices

Some of the brands that saw the biggest increase in transaction prices were Hyundai/Kia and Nissan, up more than 9 and 7 percent, respectively, on a monthly basis. Chrysler logged the biggest increase among American carmakers, as transaction prices jumped just over 6 percent to $29,842. Prices for Ford and General Motors both averaged more than $30,000, but the percentage change was just 4 and 3.4 percent, respectively.

Meanwhile, incentives for light-vehicles trended downward in March, dropping by $43 to $2,440 year-over-year and $36 from the previous month.

Mazda3 Touring offers best fuel-boosting package

While incentives are offered to encourage more people to purchase a vehicle, automakers also offer packages that car buyers can purchase to make their ride more enjoyable. Some of these offers include fuel economy features that help a vehicle burn less fuel and get more mileage.

However, a separate report that was also conducted by TrueCar.com** found that how cost-effective these fuel economy packages are often depends on the vehicle that's being purchased.

For instance, the automotive information firm found that the Mazda3 Touring with SkyActiv offers the best value for consumers, breaking even on their purchase soon after taking it home. For other vehicles, however, it often took years before the fuel economy package paid for itself in added fuel efficiency. The Chevrolet Sonic took nearly three years to pay off the premium for its Ecotec package and five years for the Ford F-150 with EcoBoost.

"The price of gas has consumers thinking about fuel economy but there's a financial investment involved with most of these fuel—saving package," said Toprak. "It's important to compare the improvements in fuel economy and the extra costs of the package before purchasing a new vehicle."

*according to TrueCar.com on April 3, 2012
**according to TrueCar.com on April 12, 2012

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