According to the June price index from Autotrader.ca, the average price of a new car reached a record level of $66,288, an increase of 21% compared to the same month last year. The cost of purchasing used cars also rose by 4.1%, with the average price reaching $39,645 during the same period.

Interestingly, these prices come despite the fact that car inventory levels have increased by about 50% compared to last year, yet they remain below pre-pandemic levels. There is still a significant amount of pent-up demand, and until supply catches up with demand, prices will continue to rise.

The site found that the average price of a new truck in June was $75,072, an increase of 7% from last year, while the average price of an SUV was $61,285, up 16% compared to 2022. Meanwhile, new compact cars cost an average of $59,851, an 18.4% increase year-over-year.

The site also mentioned that it does not expect any drastic changes in prices anytime soon, considering that building supply will take time, and consumer demand has been resilient so far.

However, it can be said that a decline in prices may be possible at some point, but prices are unlikely to return to pre-COVID levels anytime soon.