Summary:

  • The average new car is priced 8.8 percent above MSRP
  • The 10 most-expensive new models are between 20 and 27 percent over MSRP
  • The Genesis GV70, Jeep Wrangler, and Mercedes-Benz GLB are the most aggressively priced new vehicles
  • The gap between dealer pricing and MSRP is slowly narrowing

New cars continue to be priced well above MSRP, even as the supply chain slowly improves, and despite rising economic concerns that typically dampen consumer demand for large ticket items. 

A new iSeeCars study found manufacturer pricing for new cars has increased 7.6 percent in the past year from an average MSRP of $38,707 in February 2022 to $42,608 in February 2023.

Despite this increase, the average dealer listing price for new cars has increased 6.5 percent in the past 12 months, rising from $42,551 to $45,996. This means today’s average new car price is 8.8 percent over MSRP, on top of the higher MSRPs compared to a year ago.

Monthly Average Dealer Price versus Average MSRP of New Cars – iSeeCars Study
Month Avg MSRP Avg Price Price - MSRP % Difference
Feb 2022 $38,707 $42,551 9.9%
Mar 2022 $38,716 $42,572 10.0%
Apr 2022 $38,992 $42,869 9.9%
May 2022 $39,336 $43,297 10.1%
Jun 2022 $39,712 $43,717 10.1%
Jul 2022 $40,239 $44,347 10.2%
Aug 2022 $40,352 $44,375 10.0%
Sep 2022 $40,077 $44,020 9.8%
Oct 2022 $40,448 $44,346 9.6%
Nov 2022 $40,434 $44,263 9.5%
Dec 2022 $41,608 $45,428 9.2%
Jan 2023 $41,771 $45,466 8.8%
Feb 2023 $41,637 $45,296 8.8%
“There’s no denying it – new cars are expensive!” said Karl Brauer, executive analyst at iSeeCars. “The manufacturers keep raising their prices and then the dealers raise them again, to the point where the average new car is priced above $45,000.” 

There are two pieces of encouraging news for consumers. First, average MSRP seems to have either peaked or plateaued in January 2023, coming down slightly in February. Second, the pricing increase over MSRP peaked back in July of 2022, at 10.2 percent over MSRP. Relative pricing has fallen ever since, with average new car prices now 8.8 percent above MSRP.

“The difference between dealer pricing and MSRP should continue to fall as the supply chain improves, though getting back to MSRP for most models may not happen this year," said Bauer.

These 10 Cars Are Priced the Highest Above MSRP

Consumers looking to avoid price hikes will want to steer clear of these 10 models, which are priced between 20 and 27 percent above MSRP.

“All but two of these high-priced models are luxury vehicles, reflecting the ongoing confidence and willingness of luxury buyers to spend whatever it takes to get the vehicle they want,” said Brauer. The two non-luxury vehicles are the Jeep Wrangler and Jeep Wrangler Unlimited, SUVs with consistently high demand and passionate buyers.

New Cars Priced Highest Over MSRP, February 2023 – iSeeCars Study
Rank Model Avg MSRP Avg Price Price - MSRP % Difference
1 Genesis GV70 $44,299 $56,476 27.5%
2 Jeep Wrangler $35,827 $44,396 23.9%
3 Mercedes-Benz GLB $41,061 $50,452 22.9%
4 Porsche Taycan $100,169 $122,940 22.7%
5 Jeep Wrangler Unlimited $45,386 $55,347 21.9%
6 Cadillac CT4-V $57,737 $69,904 21.1%
7 Genesis GV80 $56,388 $68,240 21.0%
8 Porsche Macan $61,589 $74,275 20.6%
9 Cadillac CT5 $41,870 $50,383 20.3%
10 Lexus RX 350h $49,339 $59,347 20.3%
National Average $41,637 $45,296 8.8%

These 10 Cars Are Priced the Closest to MSRP

While the average new car price remains 8.8 percent above MSRP, these 10 models are priced close to MSRP, with the Chevrolet Silverado 1500 actually priced below MSRP. 

“Chevrolet recently halted production of the Silverado, suggesting supply for this full-size truck is in the unique post-pandemic status of outstripping demand,” said Brauer. Other models priced right at MSRP include the Volkswagen Arteon, Cadillac Lyriq, and the Infiniti QX80. 

“The Lyriq is a brand new electric SUV, so it’s surprising to see it priced right at MSRP. Of course, it was recently caught up in the government’s recategorization of which models earn the $7,500 federal tax credit, which likely impacted how dealers priced it,” said Brauer.

New Cars Priced Below/Closest to MSRP, February 2023 – iSeeCars Study
Rank Model Avg MSRP Avg Price Price - MSRP % Difference
1 Chevrolet Silverado 1500 $51,103 $50,116 -1.9%
2 Volkswagen Arteon $45,827 $45,648 -0.4%
3 Cadillac LYRIQ $61,795 $61,575 -0.4%
4 INFINITI QX80 $81,656 $81,666 0.0%
5 GMC Sierra 1500 $61,644 $62,175 0.9%
6 Chevrolet Malibu $27,597 $27,887 1.1%
7 Ford F-150 (hybrid) $84,400 $85,791 1.6%
8 Chevrolet Traverse $43,832 $44,697 2.0%
9 Buick Envision $38,658 $39,487 2.1%
10 Mazda CX-9 $42,288 $43,248 2.3%
National Average $41,637 $45,296 8.8%

Coupes, Convertibles, and Trucks Still Aggressively Priced; Hatchbacks Way Up

Coupes, convertibles, and trucks were the first vehicles to see large price hikes when the pandemic began. Almost 3 years later, coupes, convertibles, and trucks remain the most expensive vehicles relative to MSRP. This is true for these categories overall, even with the Chevrolet Silverado, GMC Sierra, and Ford F-150 Hybrid priced close to MSRP (as reflected in the previous table).

A more recent shift has occurred with hatchbacks, which are seeing much higher prices relative to MSRP this past month versus a year ago.

“The rise in gas prices has driven demand for smaller, fuel-efficient vehicles over the past year, as seen in the bump in hatchback pricing,” said Brauer. “Every other category is priced closer to MSRP compared to a year ago, but hatchbacks are 50 percent higher. Sedans, another relatively fuel efficient vehicle category, are also up slightly.” 

Year-over-Year Changes in Pricing vs. MSRP by Body Style, February 2022 - 2023 – iSeeCars Study
Body Style Year-over-Year Change Price - MSRP % Diff, Feb 2023 Price - MSRP % Diff, Feb 2022 Avg Price Feb 2023
Hatchback 3.2% 9.7% 6.5% $31,170
Sedan 0.2% 9.7% 9.5% $38,137
Minivan -0.1% 5.9% 6.1% $47,016
Wagon -1.3% 9.4% 10.7% $25,412
SUV -1.3% 8.2% 9.6% $45,694
Coupe -1.9% 13.1% 14.9% $54,519
Truck -1.9% 10.2% 12.0% $52,753
Convertible -2.0% 12.4% 14.4% $66,931
National Average -1.1% 8.8% 9.9% $45,296
“With everything from interest rates to inflation working against vehicle demand it seems inevitable that car prices will drop,” said Karl Brauer. “And we’re clearly off last summer’s peak pricing. But, overall, consumers are still buying more cars than automakers can produce, which means dealers can still aggressively price their new models and find buyers willing to snap them up.”

New Cars Priced the Highest Above MSRP by City

iSeeCars also determined the new cars priced the highest above MSRP in the top 50 most populous metropolitan areas.
New Vehicles Priced the Highest Over MSRP by City – iSeeCars Study
Metro Area Vehicle % Above MSRP $ Above MSRP
San Diego, CA Ford Maverick 40.0% $10,054
Sacramento-Stockton-Modesto, CA Genesis GV70 34.1% $14,637
Indianapolis, IN Genesis GV70 33.6% $14,403
Tampa-St Petersburg (Sarasota), FL Ford Maverick 33.4% $8,740
San Francisco-Oakland-San Jose, CA Ford Maverick 33.3% $9,122
Phoenix, AZ Porsche Macan 32.8% $18,942
Louisville, KY Kia Rio 31.6% $5,411
St. Louis, MO Genesis GV70 31.5% $13,529
Los Angeles, CA Genesis GV70 30.4% $13,272
Portland, OR Ford Maverick 30.2% $7,472
Oklahoma City, OK Genesis GV70 30.2% $13,618
Columbus, OH Genesis GV70 30.1% $12,929
Denver, CO Jeep Wrangler 29.9% $11,053
Salt Lake City, UT Genesis GV70 29.4% $12,603
Albuquerque-Santa Fe, NM Jeep Wrangler 29.1% $9,847
Miami-Ft. Lauderdale, FL Porsche Macan 28.6% $16,944
Cleveland-Akron (Canton), OH Lexus RX 350h 28.5% $13,988
Charlotte, NC Jeep Wrangler 28.5% $9,935
Norfolk-Portsmouth-Newport News,VA Genesis GV70 28.4% $12,186
Greenville-Spartanburg, SC Chevrolet Corvette 28.1% $23,416
Boston, MA-Manchester, NH Genesis GV70 28.1% $12,465
Chicago, IL Genesis GV70 28.1% $12,062
Seattle-Tacoma, WA Chevrolet Corvette 28.0% $23,048
Dallas-Ft. Worth, TX Genesis GV70 27.9% $12,730
Pittsburgh, PA Genesis GV70 27.7% $12,409
Grand Rapids-Kalamazoo, MI Jeep Wrangler 27.6% $10,133
Houston, TX Genesis GV70 27.4% $12,060
Baltimore, MD Ford Maverick 27.3% $7,303
Milwaukee, WI Jeep Wrangler 27.2% $9,508
Hartford & New Haven, CT Jeep Wrangler Unlimited 27.1% $11,434
Minneapolis-St. Paul, MN Jeep Wrangler 27.1% $9,600
Fresno-Visalia, CA Ford Maverick 27.0% $6,809
Philadelphia, PA Genesis GV70 27.0% $12,252
Cincinnati, OH Genesis GV70 26.9% $11,551
Austin, TX Cadillac CT5 26.9% $11,352
Washington, DC (Hagerstown, MD) Genesis GV70 26.8% $12,053
Raleigh-Durham (Fayetteville), NC Genesis GV70 26.5% $11,363
Atlanta, GA Mercedes-Benz GLB 26.4% $10,914
Nashville, TN Jeep Wrangler 26.3% $9,336
West Palm Beach-Ft. Pierce, FL Jeep Wrangler 26.3% $9,086
Jacksonville, FL Genesis GV70 26.2% $11,229
Orlando-Daytona Beach, FL Ford Maverick 26.1% $6,956
The vehicle priced the highest above MSRP in the most cities is the Genesis GV70, the top model in 20 cities.

Methodology

iSeeCars.com analyzed over 12 million new car sales from February 2022 through February 2023. The average list prices of new cars, as well as the average of their MSRPs, were aggregated by month, as well as by body style and model. Heavy-duty vehicles and low-volume models were excluded from further analysis. The differences between average prices and average MSRP were expressed as percentage differences. 

About iSeeCars

iSeeCars.com is a data-driven car search and research company that helps shoppers find the best car deals by providing key insights and valuable resources, including the iSeeCars VIN Check report and Best Cars Rankings. iSeeCars has saved users over $390 million so far by applying big data analytics powered by over 25 billion (and growing) data points and using proprietary algorithms to objectively analyze, score and rank millions of new cars and used cars.