According to a new report from Edmunds, the average amount financed for a new vehicle reached $44,664 in the last quarter. This figure represents an increase from $44,156 in the second quarter of 2026 and $42,744 recorded a year ago. Despite rising prices, consumer demand for new cars remains steady.
Loan terms are also extending, with 25.5 percent of new-car buyers opting for financing periods of 84 months or longer, compared to 21.8 percent a year prior. Consequently, the average monthly payment for a new vehicle has climbed to $787, up from $756 in the previous year.
The prevalence of high monthly payments is growing, as 21.1 percent of financed new-car purchases now result in payments of $1,000 or more, up from 19.1 percent a year ago. For used vehicles, the average loan amount reached $30,703, with 6.5 percent of these loans exceeding the $1,000 monthly threshold.
Edmunds reports that the average total interest paid over the life of a new-car loan is now $9,938, an increase from $9,442 a year ago. Interest rates for new-car financing remain steady at 7.0 percent. Experts advise buyers to focus on the total cost of ownership rather than just the monthly payment.
