Americans keep their vehicles longer than ever due to higher car prices

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Americans keep their vehicles longer than ever due to higher car prices
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The average age of a passenger vehicle on the road has hit a record 12.5 years this year in US - due to the cost of a vehicle being too expensive for many Americans, according to S&P Global Mobility

Auto mechanics have been struck by the rising ages and mileages of vehicles that now arrive at the shop in numbers they'd never seen before./ AP Archive

The shortage drastically slowed global assembly lines, making new vehicles scarce on dealer lots just when consumers were increasingly eager to buy. It’s all pushed the national average monthly auto loan payment to $729 — prohibitively high for many. Experts say a family earning the median US household income can no longer afford the average new car payment and still cover such necessities as housing, food and utilities.

Auto mechanics have been struck by the rising ages and mileages of vehicles that now arrive at the shop in numbers they'd never seen before. “The repair-versus-buy equation changed,” said Todd Campau, an associate director with S&P. Even with rising repair costs, Campau said, it's still typically more cost-effective to fix an older vehicle than to spring for a purchase.

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