New car prices are down as of April 2024 — here's why

Dealers are receiving more new inventory, causing new car prices to fall for some models. That said, EV price cuts are more aggressive than those for comparable gas models, and many vehicles saw significant price hikes in April 2024. CarGurus released its April Intelligence Report, which found that higher inventory levels and longer periods spent sitting on dealer lots have driven some new car prices down, but EV inventory and pricing are leading the way.

New prices declined 0.7 percent between March and April, while inventory levels improved by half a percent. Cars also sat on dealers’ lots for 77.5 days, up almost 30 percent from April 2023. Aiding the price cuts were the new car sales numbers, which fell by nearly eight percent in April.

The new vehicle with the largest year-over-year price cut was the Ford F-150 Lightning, which was listed at an average of $67,122 in April, down around 24 percent from April 2023. The six-figure Mercedes-Benz SL-Class dropped by 19.6 percent, and the Ford Mustang Mach-E’s list prices tumbled by 18.8 percent.

New EV pricing declined at a far sharper rate, with year-over-year averages dropping by 4.8 percent in April. Inventory levels increased by 113 percent, and EVs took an average of 90 days to sell, outpacing the overall average by almost two weeks. While that’s likely discouraging news for the government and clean vehicle evangelists, it’s good news for buyers. The bad news is that those price cuts didn’t make EV payments any lower, as buyers paid an average of $300 more compared to buying an ICE vehicle.

New hybrids are having a moment during the upheaval in EV demand. Some Toyota models moved off dealers’ lots as quickly as six days, with the Camry Hybrid spending the least amount of time on sale. On the used side, the Ford Maverick moved in an average of 25 days.