(Radio Iowa) – As prices on so many products are going up lately, a new report finds Iowans are paying less to drive a car. Triple-A-Iowa spokeswoman Brynna Knapp says the annual study offers some positive insights into the expense of owning and driving a vehicle. “This year’s analysis is actually good news in the midst of many rising costs of living,” Knapp says. “The total cost of owning and operating a new vehicle is now $11,577, or around $968 a month, and that’s a $700-and-some-change decline from last year.” Knapp points to two primary reasons why the costs have fallen this year.”We know all cars depreciate in value and this year the average depreciation has actually decreased, so cars are losing less of their value than they were in previous years,” Knapp says.

(AAA photo)

“Financing costs are down around 15%, so if you do plan on financing a new vehicle, you’re seeing some cost savings there.” Knapp says average fuel costs dropped to 13 cents per mile from last year, which also helped to lower operating costs. She says Iowans need to keep all of these expenses in mind when they’re considering buying new wheels. “We definitely encourage you to find a local dealership that can share more about their offerings. Maybe they have financing deals going on where you can save long-term,” Knapp says, “and then also talking to a local insurance agent to find out which vehicles are maybe more expensive to insure, which one is safer for your family.”

The study finds pickups may be ideal for hauling and towing, but they cost more than 43-percent more per year to drive versus a small sedan.