Expensive cars have fewer issues? Probably not.

What is Know The Difference Minute?

Hot topics, fresh stories and useful formation; all in 60 seconds

Get what you pay for? Maybe.
Welcome to the Know the Difference Minute for Tuesday, July 5th.
Even though new car prices have gone up almost 13% in the last year, quality control is suffering. According to Cox Automotive and Moody’s Analytics, monthly car payments now average $712 per month. Kelly Blue Book reports the average new car purchase price in May was over $47,000. It now takes a median of over 41 months of income to buy the average new car. Edmunds reports the share of new car buyers paying over a $1000 a month is now a record high.
Affordability is one thing. Reliability is another. The 2022 JD Power Initial Quality Study shows more problems in the first 90 days of ownership than ever before—in fact, the worst overall initial quality in the study’s history—25 of 33 major brands saw lower scores.
Top 3: Buick, Dodge, and Chevy. Bottom 3: Maserati, Volvo, and Chrysler.
I’m Dave Spano from Annex Wealth Management. That is your Know the Difference Minute.