Loan Amounts, Payments Inch Upward in Experian Q1 Report
The average amount financed for a U.S. new vehicle purchase in Q1 was $41,720, with an average monthly payment of $745, up from $40,610 and $737 in the prior-year quarter, according to Experian’s latest State of the Automotive Finance Market Report.
Despite seismic shifts in the market since the start of the second Trump administration, most of the key indicators Experian measures were essentially flat on a year-over-year basis. One exception is new vehicle market share: Banks captured 24.1% of the market in Q1, up from 20.4% a year ago, while captive finance sources’ share fell from 62.1% to 57.1%.
“As market share movement continues to be a valuable indicator of shifting strategies and consumer behavior, it’s important for automotive professionals to keep a close eye on these shifts to uncover new opportunities while looking for ways to stay ahead of the rapidly evolving industry,” notes Melinda Zabritski, Experian’s head of automotive financial insights, in a release announcing the new data.
A snapshot of the pre-owned market finds the average age of vehicles financed was 3.83 years, down from 4.08 in Q1 2024. Last month, S&P Global Mobility reported the average age of a registered vehicle hit an all-time high of 12.8 years.
