Part 4/8:
The conversation pointed out that if tariffs are implemented, not only will new car prices soar, but we may also witness a consequential rise in used car prices. In a market already struggling with inflated vehicle costs, the FAA (Federal Automotive Association) recommends swift action for buyers considering new or used vehicles.
Current trends show that the average transaction price for new cars is hovering around $49,000, and used car prices are also rising, influenced by greater demand as buyers move towards the used vehicle market. As those in the target demographic for new cars become increasingly pressured by tariffs, it is plausible that the demand for used vehicles will increase—driving their prices up as well.