Study: Average cost of car ownership rises to $8,946 per year

Filed under: Car Buying, Earnings/Financials

We Americans sure do love the freedom of owning our own automobile, but the price of that freedom is climbing. AAA has released its 62nd annual "Your Driving Costs" study, which shows a 1.9-percent year-over-year increase in the cost of auto ownership. That's an average of $8,946 per year per car, with costs including monthly payment, fuel, maintenance and insurance.

Given the sharp rise in the cost of a gallon of petrol, it's no surprise that prices at the pump are up 14.8 percent, or an average of 14.2 cents per mile. Tire prices are up 4.2 percent, in part because material prices have skyrocketed. The average insurance policy jumped by $33 versus 2010 numbers, with an average rate of $1,001 per year.

Interestingly, used cars are worth more than they were a year ago, with a depreciation drop of 4.9 percent, which means a new car purchase may hold its value a little better than before.

If $8,946 is too rich for your blood, AAA shows that the best bet could be a smaller sedan. Compact models average $6,735 per vehicle, while 4WD SUVs top the charts at $11,360. Large sedans are close to the SUV numbers, with an average of $11,324. AAA based its findings on a driving cycle of 15,000 miles per year. Scroll down below to read the AAA press release.

Continue reading Average cost of car ownership rises to $8,946 per year

Average cost of car ownership rises to $8,946 per year originally appeared on Autoblog on Fri, 04 May 2012 10:31:00 EST. Please see our terms for use of feeds.

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Source: http://www.autoblog.com/2012/05/04/average-cost-of-car-ownership-rises-to-8-946-per-year/

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