IRVINE, Calif., Feb. 9, 2022 -- New-vehicle average transaction prices (ATPs) decreased to $46,404 in January 2022, according to new data released today by Kelley Blue Book, after reaching a record high in December 2021. Prices fell 1.8% ($839) month over month mostly due to fewer luxury vehicles being sold in January, but prices remain elevated compared to one year ago, up 12.5% ($5,155) from January 2021. With new-vehicle supply holding steady at the same level since Thanksgiving and customer demand remaining strong, dealers continue to hold prices at or above the manufacturer's suggested retail price (MSRP).

"The surge in new-car prices appears to have peaked," said Michelle Krebs, executive analyst for Cox Automotive. "Yet, while we expect vehicle supply to improve, it will continue to be tight particularly through the first half of the year. Because of this, we expect prices to remain high for the foreseeable future, but car shoppers can rest assured we don't anticipate any more record highs."