Over 90 percent of U.S. households own at least one car — but this necessary expense may represent a growing burden for many Americans. With the cost of car insurance up by 12 percent in the last year alone, owning a car is more expensive than ever.
Key car ownership facts and stats
- Over 90 percent of U.S. households have access to at least one car. (U.S. Census Bureau)
- The number of U.S. households with no vehicles available increased by 0.1 percent from 2022 to 2023, to a total of 8.4 percent of households. (USCB)
- As of 2023, there were just under 280 million registered private and commercial vehicles in the U.S. (Federal Highway Administration)
- Idaho has the highest rate of car ownership, followed by Utah and Wyoming.
- New York, Washington, D.C., and Massachusetts have the lowest rates of car ownership.
- Only 1.44 percent of U.S. vehicles are electric vehicles (EVs), but EV sales are steadily increasing.
How American car ownership is changing in 2025
Car ownership has long been a central part of American life, business and even culture. But the cost of ownership — from initial purchase price to ongoing costs like insurance, maintenance, repairs and fuel — is reshaping the American parking lot. Bankrate identified three major ownership trends for 2025: older cars, more EVs and rising costs.
Americans are keeping their cars longer
The average age of passenger vehicles on U.S. roads hit a new record in 2024, according to the Q1 Crash Course Report from CCC Intelligent Solutions. The average vehicle age is now 12.7 years, up from 11.4 years just a decade ago. By 2026, experts predict that the average vehicle on the road will be over 13 years old.
Is this a positive trend, or a sign of economic trouble? While older cars on the road may reflect improvements in automotive technology, it’s also a sign that some Americans may be more reluctant to buy new cars due to economic hardship and uncertainty — a trend that could be exacerbated as the industry weathers tariff developments in 2025.
EV ownership is up
Electric vehicles (EVs) make up just 1.44 percent of the total U.S. car parc, according to CCC Intelligent Solutions — but they make up a growing percentage of new vehicle sales. In Q3 of 2024, EVs accounted for nearly 10 percent of new vehicle sales, and total EV sales for the year reached a high of 1.3 million, compared to just 257,872 in 2020.
The rise of the EV is set to continue in 2025, as Kelley Blue Book reports nearly 300,000 new EVs sold in the first quarter of 2025 — a year-over-year increase of 11.4 percent. And for once, it’s not Tesla leading the charge: Tesla sales actually declined in Q1, with automakers like GMC, Toyota and Subaru seeing the biggest gains.
Rising costs may be a barrier to ownership for some Americans
In 2024, Bankrate’s Hidden Cost of Car Ownership Study found that Americans pay an average of nearly $7,000 per year in hidden car ownership costs like insurance, maintenance, fuel and taxes. With tariffs poised to rattle the automotive industry, it’s possible that these expenses, combined with higher vehicle values, could price some Americans out of car ownership.
That’s a problem — and not just for those individuals struggling to afford a car. Because a car is a practical necessity in most parts of the country, some drivers may be forced to trim their budget in areas like insurance and maintenance that protect not just themselves, but others on the road. The Insurance Research Council (IRC) estimates that as of 2023, as many as one in three U.S. drivers were uninsured or underinsured.
How many cars are in the U.S.?
According to the Federal Highway Administration (FHWA), there were 284,614,269 registered vehicles in the U.S. in 2023 — 279.9 million private and commercial vehicles, and 4.7 million publicly-owned vehicles.
Private and commercial vehicles in the U.S., 2013-2023 (FWHA)
| Class | Automobile | Buses | Trucks | Motorcycles | Total |
|---|---|---|---|---|---|
| 2023 | 95,507,350 | 526,193 | 174,428,196 | 9,483,793 | 279,945,533 |
| 2013 | 112,128,355 | 361,427 | 130,997,583 | 8,375,310 | 251,862,675 |
While total ownership numbers have crept steadily upward in the past decade, FHWA data shows that the number of registered private passenger vehicles — including pickups, SUVs and sedans — has shrunk by nearly 15 percent since 2013. Trucks and motorcycles, on the other hand, have seen significant increases, with 33 percent more trucks and 13 percent more motorcycles registered in 2023 compared to 2013.
Where do Americans own the most cars?
In order to understand vehicle ownership trends in the U.S., we took a closer look at two regional trends in the U.S. Census Bureaus’s 2023 American Community Survey: areas where the highest percentage of residents own at least one car, and areas where the highest percentage of residents own multiple cars.
Vehicle ownership is highest in the West, rural areas and states with generally affordable ownership costs. In places like Bozeman, Montana and Casper, Wyoming, the combined effect of affordable ownership costs and limited access to transportation alternatives results in the lowest percentage of households with no vehicles available.
Meanwhile, census data shows the lowest rates of vehicle ownership — that is, the highest percentage of households with no vehicles available — are in urban areas, particularly in the Northeast. The New York City metro area leads the way, with cities like Philadelphia and San Francisco following close behind. Access to public transportation clearly plays a major role in choosing to forgo car ownership, but it’s worth noting that three of the metro areas with the highest number of car-free households — Ithaca, Utica-Rome and Binghamton — are located in areas of upstate New York without the robust public transit found downstate.
But what about where Americans own the most cars — that is, areas with the highest number of households with three or more vehicles available? This map looks a little different: Utah leads the way in high-volume car ownership, with four metro areas where one third or more of households have at least three vehicles.
Lastly, what about areas where ownership rates are high, but high-volume ownership is less common? We looked for metropolitan areas where the overall rate of ownership was 90 percent or higher, but where the smallest percentage of households have three or more vehicles available. These high-ownership, low-volume metro areas popped up in just two areas: Florida and upstate New York, where high insurance rates combined with limited transportation alternatives may result in a higher percentage of households with just one or two vehicles.
Car ownership statistics by state
| State | 0 vehicles | 1 vehicle | 2 vehicles | 3 or more vehicles |
|---|---|---|---|---|
| Alabama | 5.5% | 31.4% | 36.8% | 26.3% |
| Alaska | 9.2% | 32.7% | 34.3% | 23.8% |
| Arizona | 5.6% | 34.1% | 37.3% | 23.0% |
| Arkansas | 6.1% | 33.8% | 37.0% | 23.2% |
| California | 7.3% | 31.1% | 36.1% | 25.5% |
| Colorado | 5.4% | 31.0% | 38.7% | 24.9% |
| Connecticut | 9.0% | 33.6% | 37.5% | 20.0% |
| Delaware | 6.6% | 32.5% | 39.0% | 21.8% |
| District of Columbia | 36.3% | 47.3% | 13.3% | 3.1% |
| Florida | 5.8% | 39.1% | 38.3% | 16.9% |
| Georgia | 5.9% | 32.7% | 37.3% | 24.2% |
| Hawaii | 8.8% | 33.0% | 34.4% | 23.8% |
| Idaho | 3.5% | 23.8% | 39.6% | 33.1% |
| Illinois | 11.1% | 36.2% | 35.0% | 17.7% |
| Indiana | 6.5% | 32.0% | 37.9% | 23.7% |
| Iowa | 5.3% | 31.2% | 37.0% | 26.5% |
| Kansas | 5.0% | 30.7% | 38.0% | 26.3% |
| Kentucky | 6.7% | 32.7% | 37.0% | 23.6% |
| Louisiana | 8.4% | 37.1% | 36.8% | 17.7% |
| Maine | 6.4% | 33.8% | 39.8% | 20.0% |
| Maryland | 8.9% | 34.1% | 35.5% | 21.5% |
| Massachusetts | 11.6% | 37.3% | 35.2% | 15.9% |
| Michigan | 7.1% | 34.9% | 38.4% | 19.6% |
| Minnesota | 6.4% | 31.7% | 39.5% | 22.4% |
| Mississippi | 6.1% | 32.2% | 35.9% | 25.8% |
| Missouri | 6.6% | 33.1% | 37.5% | 22.8% |
| Montana | 4.7% | 26.2% | 36.7% | 32.4% |
| Nebraska | 5.4% | 29.5% | 37.4% | 27.6% |
| Nevada | 7.3% | 34.4% | 36.3% | 22.0% |
| New Hampshire | 4.5% | 31.4% | 39.8% | 24.3% |
| New Jersey | 11.4% | 34.7% | 35.9% | 18.0% |
| New Mexico | 5.3% | 32.8% | 36.0% | 25.9% |
| New York | 29.7% | 33.6% | 25.1% | 11.6% |
| North Carolina | 5.5% | 31.1% | 38.4% | 25.0% |
| North Dakota | 6.9% | 29.5% | 38.0% | 25.6% |
| Ohio | 7.6% | 34.4% | 37.1% | 20.9% |
| Oklahoma | 6.2% | 32.2% | 37.5% | 24.1% |
| Oregon | 7.1% | 32.5% | 37.1% | 23.2% |
| Pennsylvania | 10.6% | 35.1% | 35.8% | 18.5% |
| Rhode Island | 9.2% | 36.6% | 36.1% | 18.0% |
| South Carolina | 6.0% | 32.0% | 38.3% | 23.7% |
| South Dakota | 5.3% | 27.4% | 37.5% | 29.8% |
| Tennessee | 5.3% | 31.3% | 37.5% | 25.9% |
| Texas | 5.5% | 33.3% | 38.7% | 22.5% |
| Utah | 4.1% | 23.8% | 38.4% | 33.7% |
| Vermont | 5.7% | 34.9% | 42.0% | 17.5% |
| Virginia | 5.9% | 31.2% | 37.7% | 25.2% |
| Washington | 7.2% | 31.1% | 36.4% | 25.4% |
| West Virginia | 8.8% | 34.6% | 36.4% | 20.2% |
| Wisconsin | 6.5% | 33.1% | 39.4% | 21.0% |
| Wyoming | 4.4% | 26.8% | 35.8% | 32.9% |
What factors drive high or low vehicle ownership?
Car ownership statistics in the U.S. paint a highly variable picture. Two key factors may explain high or low rates of vehicle ownership in certain geographic areas: affordability and access to alternative transportation.
- Affordability: The cost of car ownership isn’t the same across the country. In states and cities with low rates of vehicle ownership, such as New York, the high cost of car insurance or fuel may be a factor in residents’ decision to go car-free.
- Access to alternative transportation: Areas with the lowest number of car-free households are consistently those with no access to alternative modes of transportation, such as public transit, ridesharing services or walkable areas.
How to save on car ownership costs
As the economic burden of car ownership grows for many Americans, understanding the costs that go into your vehicle — and how to manage them — is increasingly important. The following strategies may help to keep your car ownership more affordable:
- Shop for insurance annually: When your car insurance is up for renewal, take time to compare rates from a range of insurance companies in your area. Because insurance companies adjust their pricing models frequently, you may be eligible for more favorable premiums from a different insurer.
- Limit your driving when possible: Opting for alternative transportation when possible — from public transit to carpools or bicycles — can help you reduce fuel costs and may even qualify you for low-mileage insurance options.
- Consider refinancing your auto loan: If your financial situation has improved since the start of your auto loan, refinancing or renegotiating your auto loan may be a viable option to save you money in the long term.
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