Cost of car ownership reaches all-time high in 2019

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TYLER, Texas (KETK) – According to Triple-A, the cost of owning a car is up to $9,282, an all-time high for drivers since 1950.

Factors that contribute to the cost include fuel prices, repairs and insurance.

The price is up 5 percent from last year, and some of the major influences on price are depreciation and finances, including rising federal rates.

The average cost of registration and taxes have also gone up to $753 a year.

To combat rising prices, Triple-A has suggestions on how to keep costs low.

It comes as 72-month car loans have become increasingly common, meaning car buyers are paying more, and longer, for vehicles that lose value the moment they’re driven off the lot.

Long-term loans offer lower monthly car payments, but they ultimately cost the consumer more over the life of the loan.

On average, every 12 months added to the life of a loan adds nearly $1,000 in total finance charges.

“It’s so important knowing what you can afford before you go in, and that means you want to try to get a loan that’s 48 months or less,” said Daniel Armbruster with Triple-A. “You’ll save more down the road. The best time to buy a car is the end of the month and the last two weeks of December.”

Armbruster also suggests lightening the load of your car to reduce its weight, using less gas.

In addition, he says owning an electric vehicle will pay off in the long run because the cost to own it isn’t affected by rising gas prices.

To look up the ownership price tag on your vehicle, you can use Triple-A’s cost calculator.

Copyright 2019 Nexstar Broadcasting, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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