That sticker shock you got the last time you compared prices on a new BMW or Mercedes-Benz sedan? You’re not alone. Cars today are getting way more expensive. The average transaction price for a new vehicle hit $49,740 in December, up 1.3% year over year, according to Kelley Blue Book. It was the fourth consecutive month car prices had risen and near the all-time high of $49,958 reached in December 2022.

From 2020 to 2024, new-car prices across all segments jumped more than 20%, according to a Jan. 2 report released by Jerry, an app that allows consumers to cross-shop car insurance. But the most expensive vehicles have gained the most ground. In the fourth quarter of 2024, a record-high 18.9% of consumers took out loans for new vehicles with monthly payments of at least $1,000, according to Edmunds, an auto industry data firm. And sales of cars that cost at least $80,000 increased 37% in December compared to the previous year, according to KBB. Within that group, the average price of a vehicle was $102,000.