Used car prices are on the rise, and they don’t appear to be falling anytime soon. There are many reasons for this, such as inflation, the chip shortage, and continued fallout from the Pandemic when automakers were forced to shut down factories. The Toyota Camry, which is one of the most affordable vehicles currently on the market, is actually the most expensive used car in Alabama.

iSeeCars has a very specific method for determining affordability

Each state is unique in many ways, and this includes the vehicles that cost the most. iSeeCars has chosen to dig deep and discover which is the most expensive car in each state, and the method it uses to determine this is fascinating.

According to iSeeCars, “The Car Affordability Index was calculated as the ratio between median household income (obtained from the U.S. Census Bureau’s American Community Survey (ACS) one-year estimates and projected using the U.S. Bureau of Labor Statistics’ Earnings reports) and an idealized income for car payments, based on new cars’ and three-year-old used cars’ pricing.

An index of 100 means the idealized income for car payments exactly matches household income; values above 100 mean household income is greater than the idealized income for car payments, while values below 100 mean household income is less than the idealized income.

Car payments were estimated using Bankrate.com’s published auto loan interest rates and loan terms, and the idealized household income was estimated assuming car payments should be no more than 10% of a household’s annual income.”

This was then used to calculate the price for the nation, each individual state, and the Census Bureau’s Metropolitan Statistical Areas (MSAs). The results are very useful for car shoppers who are on the lookout for a used vehicle.

The Camry is the least affordable used car in Alabama

As surprising as it is, there is no used vehicle that costs more in Alabama than the Toyota Camry. The percentage above used car affordability in August for the Camry was 40.3%. This was a shocking $11,164 over the price it was in August 2019. Even more alarming is that the three-year used price in August was $27,720.

Still, it shouldn’t come as a surprise that the Camry is in high demand. It consistently ranks high in any survey it appears in, and the Toyota Camry Hybrid is incredibly hot right now amongst critics.

It’s also undeniable that Toyota is one of the most reliable brands on the market. And while sedans aren’t nearly as popular as trucks or SUVs, they are more fuel efficient. Because of these factors, the demand for the Toyota Camry runs higher, which in turn can increase the price. 

The Camry is expensive in other states as well

Alabama isn’t the only state where the Toyota Camry is more expensive than all the other cars in the land. In fact, it’s even more expensive in New Mexico. It costs 48.2% more in August than it had previously.

In North Carolina and Michigan, it’s the Toyota Camry Hybrid that is the hot seller. In NC, the price has increased 37.5%, and 45.2% in Michigan. Given the rise and fall of fuel prices, investing money into a hybrid just makes good sense. That’s why it’s no surprise that the Toyota Camry Hybrid has increased in price for used models.

There were several other used Toyota models which are increasing in price across the country. These include the Toyota RAV4 Hybrid in California and Utah, the Toyota RAV4 in North Dakota and Vermont, and the Toyota Prius in Georgia and Nevada.