Interest rates have skyrocketed for car prices, especially in the used market. According to data from BankRate.com, interest rates for new and used cars have gone up nearly 3% in the last few years.
“All of a sudden we have people coming back into the market looking at what these interest rates are doing to their monthly payments, thinking ‘I can’t afford this,’” said Jessica Caldwell of Auto Company Edmunds.
To help combat the interest issues, Caldwell recommends leasing a vehicle, owning an electric vehicle with tax credits, and/or getting your present vehicle serviced regularly so it can last longer.
