Kelley Blue Book Report: New-Vehicle Price Increases Moderate in May, Incentive Spending Grows
ATLANTA, June 10, 2026 /PRNewswire/ -- New-vehicle prices moderated slightly in May and incentive spending grew, according to data released today by Kelley Blue Book, a Cox Automotive brand. The average transaction price (ATP) for a new vehicle purchased in May declined from April and rose a mild 1.2% year over year, the smallest annual gain of 2026 and below the long-term average gain of 3.5% for May. Vehicle sales last month were higher year over year and compared to April.
After posting a strong 0.7% monthly increase in April, the new-vehicle ATP in May declined 0.5% month over month. Prices typically soften in May, according to Kelley Blue Book data. The average decline in the month is 0.4%.
Quote from Erin Keating, Executive Analyst, Cox Automotive
"Average transaction prices are rising 2–4% year over year across key vehicle segments, powered by a convergence of product cycles and supply dynamics: Redesigned SUVs from Toyota, Kia, Jeep, and Hyundai are commanding higher prices out of the gate, while Ford's F-Series production constraints are tightening truck inventory, lifting average transaction prices, with freshened Ram pickup stepping in to capture buyers at the premium end."
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Data tables are available for download
About Kelley Blue Book
Founded in 1926, Kelley Blue Book, The Trusted Resource ®, is the vehicle valuation and information source trusted and relied upon by both consumers and the automotive industry for nearly a century. As the industry standard for generations, Kelley Blue Book provides transparent, objective information and data-driven, innovative tools for consumers, automotive dealers and manufacturers. Kelley Blue Book publishes millions of market-reflective values weekly on its top-rated website KBB.com, from its famous Blue Book ® Trade-In Values to the Kelley Blue Book ® Price Advisor tool, which offers a range for what consumers reasonably can expect to pay for a vehicle in their area. KBB.com editors rate and review hundreds of new vehicles each year to help consumers understand the Best Cars and Best SUVs to meet their needs. Kelley Blue Book SM Instant Cash Offer provides a redeemable trade-in offer to transaction-ready consumers and conveniently connects them to local participating dealers. Kelley Blue Book's Service Advisor provides guidance on how much to pay for service and repairs, allowing consumers to schedule service with local dealers on KBB.com. Kelley Blue Book also provides vehicle values to finance and insurance companies as well as governmental agencies. Kelley Blue Book is a Cox Automotive brand.
About Cox Automotive
Cox Automotive is the world's largest automotive services and technology provider. Cox Automotive powers industry-leading solutions for car shoppers, auto manufacturers, dealers, lenders and fleets through proprietary technology and insights derived from billions of annual online interactions. The company has 29,000+ employees on five continents and a portfolio of industry-leading brands that include Autotrader ®, Kelley Blue Book ®, Manheim ®, vAuto ®, Dealertrack ®, NextGear Capital™, CentralDispatch ® and Cox Fleet ®. Cox Automotive is a subsidiary of Cox Enterprises Inc., a privately owned, Atlanta-based company with $23 billion in annual revenue. Visit coxautoinc.com or connect via @CoxAutomotive on X, CoxAutoInc on Facebook or Cox-Automotive-Inc on LinkedIn.
SOURCE Kelley Blue Book