Signs indicate the unrelenting price increases that have made car shopping so miserable for Americans are coming to an end. The latest? Honda plans to reverse itself, bringing back the cheap-and-cheerful entry-level LX trim to its popular 2023 Honda CR-V SUV this year.
An Upscale New CR-V
Honda introduced an all-new CR-V for the 2023 model year. It won our 2023 Best Buy award in the compact SUV class.
The new model looks more refined than past versions of the hot-selling compact SUV. Built on the bones of the newest Honda Civic, it uses a more sophisticated suspension setup than prior generations for a more compliant ride. An interior defined by a honeycomb pattern that splits the dashboard horizontally and a high-mounted central touchscreen that keeps entertainment and climate functions at eye level make it feel more premium than any prior CR-V.
Upscale Prices to Match
But so does its price. Honda adopted a new pricing strategy with the 2024 CR-V.
New car prices soared throughout 2022. That came, in part, thanks to a shortage as automakers struggled to find the microchips to build as many cars as Americans wanted to buy. But it also reflected Americans’ increasingly sophisticated tastes. Shoppers simply chose more luxury cars than ever before.
By early 2023, Luxury cars made up more than 20% of American auto sales for the first time. Even budget models now tend to come fully equipped, and cars priced below $25,000 are disappearing from the market.
In keeping with that trend, Honda nixed the budget LX from the CR-V and Civic lineups. The CR-V currently comes in just four trim levels, starting with the EX at $31,610. It comes equipped with luxury features like dual-zone climate control, a 10-way power adjustable driver’s seat, and a power sunroof.
That’s a lot of equipment, and a high price, for an entry-level trim. In 2022, the least-expensive CR-V cost almost $5,000 less. But, in a climate where Americans were choosing more luxurious cars and comfortably paying higher prices, it made sense.
Honda Reconsiders
With new car prices on the way down and signs of slowing sales, Honda has apparently decided it’s time to bring back a cheaper CR-V.
Capitol One Auto Navigator first reported the news, but a Honda spokesperson has confirmed the CR-V LX is coming back due to “unprecedented demand.”
It’s not listed on Honda’s website yet, but Car and Driver reports that the CR-V LX will cost $28,410 plus a $1,295 destination fee. It will lose the sunroof, lose the power-adjustable driver’s seat, and get just a single climate control zone. It rides on 17-inch steel wheels with hubcaps instead of the EX’s 18-inch wheels and loses the blind spot warning system and heated front seats.
That should help drive the price down as well as requiring fewer of the low-power microchips the automotive industry has struggled to find, perhaps making it easier for Honda to build in bulk. Learn more about the 2023 Honda CR-V
