With new car prices averaging close to $50,000, more buyers than ever are going deeper into debt to finance vehicle purchases.
Almost 30% of recent new car buyers were underwater on loans for their trade-ins, meaning they still owed more on their old cars than they were worth at the time, according to new data recently released by Edmunds.
Edmunds said the average amount of negative equity, or remaining balance, on cars traded in during the second quarter of 2026 was $6,884, up from an average of $6,754 in the second quarter of 2025 — the highest for a second quarter on record.
Why Buyers Are Going Deeper Into Debt
“Consumers are incurring more debt than ever when trading in vehicles that are underwater,” Jessica Caldwell, Edmunds’ head of insights, said in a statement. “Buyers who financed at 2022’s peak prices are starting to come back to trade in, and they’re bringing thousands of dollars in old debt with them.”
Caldwell said the problem of being underwater on car loans is difficult for car shoppers to escape, especially if they want the latest modern models populating showrooms now.
“With interest rates still elevated, this is creating a costly snowball effect for consumers,” Caldwell said. “As buyers roll over their negative equity, their new loan principals swell. Relying on longer loan terms as a coping mechanism to keep monthly payments down only causes total interest charges to be higher in the long run.”
With that in mind, the USA TODAY Cars team looked at Edmunds’ list of the top 10 cars with the highest average negative equity as shoppers continue to navigate a difficult car market.
10 Vehicles With the Most Negative Equity at Trade-In
1. Chevrolet Silverado 1500
Starting price: $36,900Average age when traded in: 4.1 yearsAverage negative equity: -$8,516
What they said: MotorTrend said in a review that “the 2027 Chevrolet Silverado 1500 arrives with a reworked lineup that starts with the humble Work Truck and offers variants for off-roading or luxurious cruising as you select among the seven trims.”
2. Ford F-150
Starting price: $40,085Average age when traded in: 4.9 yearsAverage negative equity: -$8,417
What they said: Car and Driver said in a review that “the breadth of the F-150 lineup offers something for just about everyone, from an XL work truck with a regular cab and an extra-long bed, to the rhinestone cowboy Platinum Plus, to the trail-bashing Tremor, and even a sport-truck Lobo model.”
3. Toyota Camry
Starting price: $30,195Average age when traded in: 2.9 yearsAverage negative equity: -$7,030
What they said: MotorTrend said in a review that “the 2026 Camry looks familiar, but the midsize sedan is vastly improved in terms of performance and technology compared to the last model.”
4. Ram 1500
Starting price: $42,025Average age when traded in: 4.4 yearsAverage negative equity: -$8,347
What they said: Cars.com said in a review that “the 2026 Ram 1500’s newly available Hemi V-8 makes less power and costs more than the truck’s turbocharged inline-six engine, but it makes better sounds.”
5. Nissan Rogue
Starting price: $29,490Average age when traded in: 4 yearsAverage negative equity: -$7,260
What they said: Edmunds said in a review that “for most of its 17-year history, the Nissan Rogue hasn’t been anything to get excited about. It’s affordable, economical transportation without much fanfare. Now, though, Nissan is trying to change that up. The Rogue is better looking than ever and it features great driver assistance tech.”
6. Honda CR-V
Starting price: $30,920Average age when traded in: 3 yearsAverage negative equity: -$4,722
What they said: Cars.com said in a review that “Honda’s bestseller — and one of the bestselling vehicles on the market — the CR-V is a compact SUV with an exceptionally well-rounded character. It offers great interior space, handles well for its class and has a reputation for reliability and strong resale value. It’s one of our favorite compact SUVs.”
7. Toyota Tacoma
Starting price: $32,545Average age when traded in: 2.8 yearsAverage negative equity: -$7,793
What they said: Car and Driver said in a review that “the Toyota Tacoma is one of several recently updated, do-it-all mid-size pickup options on the market today. Available in either two-door (Xtra Cab) or four-door (Double Cab) configuration dependent on trim, it can come outfitted for normal truck and transportation duty or optioned up with a variety of off-roading gear.”
8. Chevrolet Equinox
Starting price: $28,800Average age when traded in: 4.1 yearsAverage negative equity: -$5,668
What they said: Edmunds said in a review that “the 2027 Chevrolet Equinox’s tech features alone, including sharp displays and a long list of driver assist features, make it worth considering. The small SUV is also priced well. However, the Equinox’s subpar driving experience, fuel efficiency and cargo space don’t make it a top choice in its class.”
9. Honda Accord
Starting price: $28,395Average age when traded in: 3.8 yearsAverage negative equity: -$5,127
What they said: U.S. News and World Report said in a review that “sporty yet refined, the 2026 Honda Accord is a well-rounded midsize sedan that goes above and beyond family-hauling duty.”
10. Toyota Corolla
Starting price: $23,125Average age when traded in: 3.2 yearsAverage negative equity: -$6,191
What they said: MotorTrend said in a review that “Toyota has an opportunity here to make up some ground on the class-leading Honda Civic, but a redesign is needed to overhaul the car’s tired interior design and infotainment. When it comes next year, look for better materials and ergonomics.”
Keith Laing is an automotive reporter on the National Trending Desk at USA TODAY. Contact Keith at [email protected].
Reporting by Keith Laing, USA TODAY / USA TODAY. USA TODAY Network via Reuters Connect.
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