Why some Americans are buying simpler cars
A growing number of car buyers are opting for cheaper, more basic vehicles; It’s a sign that average new vehicle prices near $50,000 are forcing drivers to rethink what they really need.
Many buyers “just want something that will get them from point A to point B, and they don’t want to pay a lot of money,” says Amelia Dalgaard, founder of Motorhead Mama, an automotive advice site.
Instead of larger SUVs or higher trims (versions of a model with more features and higher prices), many customers are turning to simpler options like compact sedans, entry-level pickups or the most basic version at the dealer’s outlet. According to automaker data, sales of low-cost models and basic equipment have also increased in recent years as vehicle prices have increased.
This generally means simpler interiors: cloth seats, manual adjustments, analog gauges, physical buttons and dials, and a more modest touchscreen.
“Do I want to have roof rails, heated seats or trailer capacity? Of course. Do I need those? Not at all,” says Javier Fernandez, a Pennsylvania driver who bought a 2024 Nissan Versa.
Industry experts tell CNBC Make It that buyers are increasingly focusing on value, even though options near $30,000 are dwindling and automakers continue to prioritize higher-priced models.
More buyers choose lower-cost vehicles
Sales data from automakers including Ford, Nissan and Hyundai show more buyers are opting for lower-cost vehicles and base models.
For many buyers, the decision comes down to cost, Dalgaard says: “Consumers are waking up to the fact that they don’t need all the technology… they’re not going to pay for something they don’t need.”
Sales of the Ford Maverick, one of the lowest-priced pickups on the market, grew from about 94,000 units in 2023 to more than 155,000 in 2025, according to Ford. sales data. Sales of the entry-level XL trim increased 105.1% in the three months ending December 2025.
“I really liked the truck’s blend of practicality, bed, affordability and fuel efficiency with its hybrid powertrain,” says Pennsylvania driver Bryan Jarrell, who purchased the base XL Maverick in 2024.
A similar situation occurs at the lower end of the sedan market.
The budget-friendly Nissan Versa, which starts at around $17,000, also rebounded, going from about 25,000 sales in 2023 to more than 51,000 in 2025. sales data.
Fernandez, who bought the base 2024 Versa, says the car gets an average of 42 miles per gallon and costs about $320 a month in gas, saving him hundreds of dollars a month compared to more expensive vehicles.
Demand is also shifting towards smaller SUVs; Entry-level models like the Chevrolet Trax and Nissan Kicks still appeal to budget-conscious buyers who want the size and practicality of an SUV. Sales of Chevrolet Trax increased by 89% When launching Nissan sales between 2023 and 2025 increased by 55% According to company data, in the same period.
At the same time, Jeff Bezos-backed Slate Motors is also working on a simplified electric pickup expected will be priced mid $20,000 — at a price point well below most new trucks on the market. The vehicle was designed to exclude features such as large touchscreens and electrically operated controls in favor of a simpler interior, a concept that has already received more than 160,000 refundable reservations, according to the company.
High-end vehicles still dominate the market
Although the demand for low-cost models is increasing, affordable options remain limited.
According to data from Cox Automotive, only 26 models had average transaction prices below $30,000 in March 2025; this accounted for approximately 14% of total US sales. Many of these vehicles are manufactured outside the United States and are now subject to new tariffs, making them particularly vulnerable to further price increases. the company says.
Automakers have also retreated from entry-level models, with several being discontinued in recent years. Nissan says the Nissan Versa, for example, is being discontinued after the 2025 model year as part of the company’s broader product strategy.
Instead, the market remains dominated by larger, more expensive models that carry higher profit margins than smaller cars. Automobile manufacturers like it Ford Motor Company, General Engines And Stellantis They have increasingly focused their product lines on higher-priced trucks and SUVs.
“The market has been very slow to respond to affordable cars,” says Lauren Fix, automotive analyst at The Car Coach. “Brands make their profits from high-end hardware.”
This helps explain why larger, more expensive models still dominate sales. Ford F Series became the country’s best-selling vehicle series, selling approximately 830,000 units in 2025, according to the company’s sales data.
Car shoppers focus on price
It seems that car shoppers focus more on affordable prices when researching a vehicle on the internet.
“We’re seeing a significant increase in searches for ‘How much can I pay’ and increased use of payment calculators,” says Tessa Nadik, who studies consumer auto shopping data at Cox Automotive.
According to Cox Automotive data, searches for affordability have increased nearly 16% in the past six months. According to Cox, search interest in small and low-cost vehicles is also increasing; subcompact SUV inquiries increased approximately 8.5% year over year, and compact car inquiries increased approximately 12.7%.
Costs are also increasing. With average monthly payments Dalgaard says some buyers are rethinking how much they’re willing to pay for new cars, which currently cost $767.
Nadik says a focus on affordability may become more prevalent as younger buyers enter the market. “They care less about features and functionality and more about affordability and making the right decisions,” he says.
“I think young people in particular are becoming less optimistic about their financial future,” Dalgaard says. “They worry that they won’t be able to afford to buy a home, that job insecurity is real, and the last thing people want is to be faced with a big loan.”
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