The price of owning a new car is still on the rise [Video]

HARTFORD, Conn. — The American Automobile Association’s 2024 Your Driving Cost study, or YDC, reports that the cost to own and operate a new vehicle is approximately $12,297 per year, a $115 increase from last year.

AAA says that depreciation and finance charges are largely to blame. Buyers are advised to think about different factors affiliated with owning and operating a new vehicle to fully understand ownership costs, as automakers expand vehicle choices with significant redesigns.

“Buying a new car can be exciting,” said AAA Director of Automotive Research Greg Brannon. “But consumers should fully understand all the costs of owning and operating a new vehicle from purchase to resale.”

Depreciation is the difference between a car’s value when it is originally purchased and when it is sold, and AAA considers it to be the most important cost category associated with vehicle …