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The Highest Markups of April 2023: Land Rover, Kia and Honda

Buyers are willing to pay for the latest and greatest

Land Rover Range Rover Long Wheelbase SV front 3/4
  • New vehicle markups are less common than they were a year ago.
  • However, high demand and constrained supply continue to affect prices.
  • Here are the automakers with vehicles that still command above-MSRP figures.

This time last year, Edmunds brought you the automakers with the highest markups — a list headed by Cadillac, whose buyers, on average, paid $4,000 over sticker to take possession of a new vehicle. Strained supply and increasing demand had led to markups being common throughout the industry, with Caddy, Land Rover and Kia shoppers feeling the heat more than anyone else.

But the landscape is quite different today, with only nine of 31 automakers having average fleet transaction prices higher than the manufacturer's suggested retail price (or MSRP) in April 2023. That's a far cry from 26 out of 32 automakers charging premiums last year. There are still a few familiar faces, however — if you want a tailored luxury experience or extremely in-demand mainstream cars, you might have to pay extra. Conversely, if you take a step off the beaten path you may find some deep discounts.

Land Rovers command the highest premium

While last year's automaker with the highest markup didn't crack the top three this time, the runner-up is now in first place. Land Rover markups are actually higher today than they were a year ago — $3,517 in April 2023 compared to $2,565 in January 2022 — proving that buyers are still paying a premium for the newest vehicles from the luxury SUV maker. The primary culprits are the top-dog Range Rover and Range Rover Sport. The bigger Range Rover typically transacts at a whopping $8,144 above MSRP, which represents a tremendous increase over 2022's premium of $3,526. In the case of the midsize Sport, expect to pay about $4,926 above MSRP for the privilege, compared to the markup of $2,962 last year.

We thought the upcharges for these models were inexplicable in 2022, as last year's RR and RRS had been on sale for nearly a decade without a major overhaul. Between then and now, the off-roaders received a full redesign that make them far more competitive, and the Range Rover is actually one of our favorite ultra-luxury SUVs (we scored it an 8.1 out of 10, compared to the lowly 6.9/10 of the previous model).

But the Range Rover and Range Rover Sport aren't the only vehicles in the Land Rover arsenal that require buyers to pay extra. The similarly off-road-y Defender commands a $1,255 premium. In contrast, the Range Rover Velar and Range Rover Evoque small SUVs can be found at a slight discount, and of the two, we prefer the Velar.

2023 Kia Sportage Plug-In Hybrid front

Kia is a bit further behind

This time last year, new Kias transacted, on average, $2,289 higher than their MSRP. That spread has fallen to $873, but, disappointingly, markups are consistent across the entire lineup. Upcharges are heaviest for the latest and greatest models, including the Sportage Plug-In Hybrid SUV (a $1,975 premium), Carnival minivan ($1,600), Telluride three-row SUV ($1,578), Sportage Hybrid ($1,384) and the Sorento Plug-In Hybrid and Hybrid ($1,142 and $1,119, respectively). Even the most affordable vehicle in the Kia ecosystem — the Rio subcompact sedan — commands a $721 premium.

The only bright spot is that buyers are typically only forking over an extra $61 for the EV6 — one of our higher-reviewed electric vehicles.

2023 Honda HR-V front

Honda rounds out the top three

Honda's presence near the top of our list of automakers with the highest markups is likely partially due to the majority of its lineup receiving full redesigns or comprehensive updates over the last 12 months. On average, buyers can expect to pay $647 above sticker for their new Honda. We see the highest premiums for the HR-V small SUV ($1,326), Civic compact sedan and hatchback ($1,080), CR-V compact SUV ($845) and Accord midsize sedan ($682). It's worth noting that all of these vehicles have been redesigned for the 2022 or 2023 model year.

Buyers looking for somewhat of a deal can check out the Passport midsize SUV — which typically transacts $240 below sticker — or the Ridgeline midsize pickup, which sees a discount of $880, on average. Both of these vehicles are a little old, but they are also the top-ranked vehicles in their respective classes.

Plenty of deals to be had

Although the automakers and vehicles listed above do typically transact above MSRP, there are many more that sell under.

2021 Volvo XC90 Plug-In Hybrid front

For instance, on average, buyers pay below MSRP for every vehicle in Volvo's lineup. The discounts are slimmest for the XC40 Recharge electric SUV (-$1,806), with the three-row XC90 offering the steepest (-$3,778). We have a hunch this has more to do with the age of Volvo's lineup and the strength of competition above anything else. We generally like Volvo's sedan and SUV offerings.

2022 Lincoln Corsair front

Next up is Lincoln — another luxury automaker with an aging portfolio. Its vehicles carry an average discount of $1,881, with the three-row Aviator offering the most modest discount (-$1,365) and the midsize Corsair with the most generous (-$2,127).

2023 Infiniti QX80 front

Infiniti earns its spot on this list by being — you guessed it — a luxury automaker with offerings that are long in the tooth. The QX55 is a compact SUV with styling that's a bit sportier than that of the related QX50, and buyers are willing to stick close to the suggested retail price. On average, new QX55 owners pay just $366 under MSRP to snag one. The behemoth QX80 offers the best discount (-$4,953), but it's so old and ponderous that we can't recommend it.

Other notable vehicles selling below MSRP include the Mercedes-Benz S-Class executive sedan (-$5,194) and its BMW 7 Series rival (-$4,182), the three-row Nissan Armada (-$5,050) and Audi S4 sport sedan (-$3,830). On the slightly more affordable side, there are deals out there for the Volkswagen Arteon midsize sedan (-$3,628) as well as the Ram 1500 (-$2,478) and Chevrolet Silverado 1500 pickups (-$2,123).

Average MSRP vs. Average Transaction Price (ATP): April 2023

Make
MSRP
ATP
Difference
Land Rover$100,482$103,999$3,517
Kia$33,394$34,267$873
Honda$36,452$37,100$647
Toyota$40,403$40,882$479
Cadillac$71,472$71,825$353
Dodge$54,918$55,129$211
Hyundai$34,644$34,808$164
Genesis$61,455$61,594$139
Porsche$112,880$112,823-$56
Acura$52,355$52,231-$125
Lexus$57,304$56,991-$313
Subaru$35,432$34,969-$463
Nissan$36,387$35,795-$592
Mazda$34,502$33,889-$612
Ford$56,536$55,825-$711
Mitsubishi$31,598$30,866-$732
Volkswagen$39,206$38,426-$780
Chrysler$47,923$47,138-$785
Chevrolet$48,418$47,575-$843
Mercedes-Benz$76,560$75,701-$859
Jeep$54,539$53,656-$883
Mini$38,914$38,015-$900
BMW$74,466$73,328-$1,138
Audi$63,897$62,524-$1,373
Ram$64,621$62,942-$1,678
GMC$64,946$63,195-$1,751
Buick$40,002$38,231-$1,772
Infiniti$63,416$61,547-$1,869
Lincoln$71,756$69,875-$1,881
Volvo$60,880$57,796-$3,084

Edmunds says

While new vehicle markups aren't as common nowadays, some vehicles and automakers still command a premium. Thankfully, finding a deal is much easier than it was a year ago.