Consumers are now extending paybacks to afford NEW and USED autos
So, people are now amortizing there auto loans longer than they used to, shouldnt be a surpise... The average car sale price in 2022 was approx 48k, while the average used car sale price in 2022 was approx 35k, which was up like 50 percent from the year before. Assuming the average income per person is approx 63k and the average home sale price is approx 350k, how else could someone afford a car without extending the payback period. Rates are higher, so cost is higher, inflation is higher so price tag is higher, and wages are flat. The ONLY way to find some cost alleviation is by extending the amortization or time it takes to pay back.
https://www.autonews.com/finance-insurance/84-month-loans-surge-new-and-used-vehicles
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