Here’s why used cars are getting so expensive

The price of used  is revving up 🥂even faღster than new cars, and experts are sounding the alarm.

“New car prices, used car prices, old used cars, trade-ins, I don’t care what it is. If you’re looking at car anything, it’s getting expensive,” Edmunds.com senior manager of insights Ivan Drury told FOX Business’ .

The car value expert reacted to the recent U.S. Department of Labor  which reveal🍃ed that used car prices are up nearly 40% from last year. New cars are also up 12%.

“Nothing, absolutely nothing compares to what we’re seeing in today’s market,” Drury said.

According to Edmunds data, a three-year-old  Grand Carౠavan is worth more tha🎶n $25,000 today – up 69% from one year ago. A  Versa of the same age cost $9,842 last January, but has since increased 66% to an average of $16,366.

Get ready shell out more money, experts say prices aren’t going to fall until the end of the year.

At Barbera Autoland in Philadelphia, a 2019  Equinox had an MSRP of $26,70﷽0 when it first rolled onto the lot. The sticker price today is $29,984.

The  are fueled by a global computer chip shortage, increased labor and production co✅sts, as well as supply🀅 chain delays.

“You could really attribute 90 to 95% of this problem with production down to just the chips,” Drury explained.

While some companies like  previ𝔉ously stated the chip shortage could alleviate this year, dealers aren’t expecting prices to calm down until 2023.

“It’s a dealer’s market, it’s a seller’s market, and we’ve seen that consumers are paying big premiums to buy a car,” Mark Schirmer with Cox Automotive  FOX Business.

“New car prices will not be gaining like they have, but we also don’t expect significant drops in new or used car prices in the foreseeable future,” he said.

FOX Business’ Jiovanni Lieggi contributed to this report.