As the prices of new vehicles have risen dramatically in recent years – especially when coupled with sustained high interest rates – we’re seeing new car shoppers take action in various ways. None of these actions are what one might call ideal, however, as they include things like extending the terms of loans to lower monthly payments, which continue to rise on a monthly basis. This is also leaving a record number of customers with negative equity, and now, it seems as if new car buyers are also putting less money down up front, too.
According to new data from Edmunds, the average down payment for new vehicle purchases in Q3 2025 dropped to $6,020, its lowest level since Q4 2021 and less than $6,433 in Q2 2025 and $6,619 in Q3 2024. On top of that, 19.1 percent of new car shoppers committed to monthly finance payments greater than $1,000 in the past quarter, which is a bit lower than Q2’s record of 19.3 percent, at least. Amazingly, 6.1 percent of used vehicle shoppers committed to payments of $1,000 or more, too.
In terms of loan length, 22 percent of all new vehicle purchases in Q3 were 84 months or longer, which is down just a tad compared to Q2’s 22.4 percent. However, shoppers are taking on bigger dollar loans than ever before, as the average amount financed in the past quarter grew from $42,388 in Q2 2025 and $40,713 in Q3 2024 to $42,647 in Q3 2025. The average annual percentage rate (APR) for those new vehicle purchases held at seven percent in Q3, and 71.6 percent came in at five percent or more – not to mention 13.8 percent that were greater than 10 percent.
“In Q3, affordability in the new-car market remained stretched, with buyers putting less money down, financing more and relying on longer terms to keep monthly costs in check,” said Jessica Caldwell, Edmunds’ head of insights. “But compared to the near-new market, where inventory has been constrained by lean pandemic-era sales and reduced leasing activity, new vehicles seem to have emerged as the more compelling option. With the potential for lower APRs and tariff-related price increases yet to materialize in any meaningful way, shopping for a new vehicle may have felt like the smarter play in Q3 – and could have given the new car market a modest boost.”
It shows a lot of promise thus far.
He apparently tuned his pickup and now needs pricey repairs.
A nifty way to conceal additional lighting sources when they aren't needed.
The resulting mine will churn out massive amounts of the material when it's finished.
Not much has changed on that front.
A nice little touch under the hood.
