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Car Repair Costs Drop

Parts are getting more expensive, but labor costs are on the decline, a new study shows.

By Claire_Martin Jun 21, 2012 8:32AM
Image from MSN Autos.Even though a recent study revealed that the cars chugging along on American roads are now older than ever, car repair costs dropped by 6 percent in 2011, according to CarMD's 2012 Vehicle Health Index. And while labor costs decreased by 17 percent over the previous year, automotive parts went the opposite way, becoming more expensive.

The average cost of a repair in the United States in 2011 was $334 -- $22 less than the previous year and $88 less than in 2006. Generally speaking, drivers in the West shell out more for repairs than those in the Midwest, where repairs are cheapest.

So, from a cost perspective, which state is the best for a breakdown? Indiana takes the top spot, with drivers paying an average of $283.95 per car repair. The priciest: Wyoming, where $389.18 is the average. Utah, California, Montana and Arizona round out the five most expensive states for car repairs -- a contingent that, as CarMD notes in the report, comprises half of the country's national parks and many popular remote driving destinations.

Regarding the 1.6 percent bump in the cost of parts, CarMD says Mother Nature is largely responsible. "We attribute [it] to the tsunami and other natural disasters overseas, which have caused an increase in many hard-good costs," the report read, referring to the tsunami that devastated Japan in March 2011.

As for the reduction in labor rates, the report cites heightened competition among auto mechanics in an increasingly tough market: "Many independent repair shops and dealerships are reducing labor rates to keep their businesses afloat, even though parts prices are up," the report reads. 

The drop in labor costs shouldn't necessarily be cause for celebration among car owners. "Reduced costs usually mean reduced service as well," the CarMD report reads. "This may also be a cause of multiple trips for consumers, wasted time and frustration."

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136Comments
anafterthought
Jun 24, 2012 3:37PM
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What really get my goat is that the people building cars at the factory are making $30 an hour plus benefits to put one or two parts on a car, but a mechanic, like myself, who has been repairing cars and trucks for over 30 years can only get $20 an hour, tops. And we have to know every system on the car, and invest almost two years wages to have the tools to do our jobs. Then we get to hear that most people think we are ripping them off. Well I have news for you, a good mechanic will never rip you off and will probably do more than is asked when repairing a car because we want our customers safe. Also we spend, on average. 80 plus hours, unpaid, in training classes just to keep up with all the new technologies that keep coming out on all makes of cars. In my opinion, mechanics are way under paid for what they do. We should be making as much or more than a plumber who gets $50 an hour to fix a leaky faucet.

 Sorry, done ranting now.

dkt2514
Jun 24, 2012 3:09PM
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Seeing all of the comments, and being in the automotive repair business for over 40 years, most of the average consumers have no clue what a repair shop spends each year on schooling for technicians, updated diagnostic tools, or upgrading their current tools. 40 years ago there was points, condensors and, carburetors, pretty simple, then came electronic ignition, then fuel injection, then distributor less ignition, then add all other things like ABS, 4 wheel steering, air bags, navigation, phones, tire pressure monitoring systems, etc etc.., do you honestly think that this training was given to us, and the tools required to repair them were free? But you need to be ready for the new ac refrigerant (HFO-1234yf) coming out, and here we go again, we have to learn this system, and be certified on the the refrigerant. You need to look at this, and see why we charge what we charge for repairing your vehicle.This will require a new ac machine and training, and this has already been approved for use by the EPA. In todays automotive shops, we have these expenses, plus all of the other expenses, like utilities, rent, business licenses. Wake up people, in today's automotive repair world, we have to be a plumber, electrician, hydraulic person, HVACs person, computer person (IT person), machinist, diagnostiction etc etc...if you think it is cheap to repair a vehicle, then think about this. Go and buy a piece of commercial property zoned for automotive repair, build a building, buy your lifts and equipment, find qualified personal, for the shop and the front office with the correct training, get all your insurance and licensing, pass Federal and State EPA inspections for hazardous  waste, advertise, then tell me what it costs to repair a vehicle.
mess with Mike
Jun 21, 2012 9:11AM
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I went to local Ford dealer for fuel filter change out, they wanted $80 for a 7 dollar filter that I bought and installed. The line tool was an extra $5. No wonder why dealerships are dead when you walk in.
mybossisakhunt
Jun 21, 2012 12:45PM
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Car repair costs down? Let me be the first to call bullsh*t!
Brandon
Jun 21, 2012 1:01PM
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I have found a good mechanic who does good work and charges a fair price. He never tries to fix something that ain't broke, but he has a standing order to always look for safety hazards, or do preventative repairs and maintenance that will keep me from paying big bucks down the road. I have a great relationship with the guy, and always tell him to make sure my 2001 GMC supercab is safe and roadworthy above all else. I advise everyone to find a mechanic they can trust and rely on, or find a new one!
jb fast foodie
Jun 24, 2012 11:31AM
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as a mechanic, yes repairs are expensive, but if you want your car repaired learn how tto repair it yourself or pay up! i read how a fuel filter disconect tool only cost $5, what about the other $10,000  investment in tools, to do a repair jobs? i have people asking me to repair their vechles all the time, but everyone wants it free. just do it yourself and save your money! most people wont even air up thier tires let alone check their oil. you want a mechanic to keep your car alive for next to nothing but what about medical cost? its a hell of alot more to keep yourself up and running" so start walking or antie up
jrlphx
Jun 24, 2012 11:16AM
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Now let me see!!!! Big dealership,service department, sales department, finance department, advertising department, lot attendants, delivery attendants, parts department and body shop etc. etc.  Yup, it may sound cruel however when you have a 65 acre dealership, been in business since 1955 at the same location and have up to three generations working for you with the benefit package they deserve it costs a few bucks to keep 137 employees employed and hopefully make a profit.  Have sold Ford products only for all these years and have gone through the ups and downs of the business cycle.  Actually, ALL manufacturers make better and better vehicles with less and less required maintenance. We perform less factory warranty service as well as long term service today than ever before.  Although vehicles cost more than ever, believe it or not they are a better buy today than at any time in the past.
peppermanmo
Jun 24, 2012 1:09PM
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O8 Music man...I have been a mechanic for 40 years and your statement is totally untrue. I can stand before any man AND God and truthfully say, I have never ripped off a customer. And never will. Go soak youe attitude in truth

Another reason spending is down is many folks who previously 'maintained' thier cars regularly, cut back tdue to the economy. I wat

ch this everyday

BOB COLE (Digger 123)
Jun 24, 2012 3:47PM
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What I am particularly enjoying is the internet, these days, with the blogs and clubs that you can join to find out more information about your vehicle and its particular (or your particular) problem. I bought a Chevrolet Avalanche, so I joined the Avalanche club. The fellow members have saved me hundreds of dollars, by offering their experiences, similar to mine, and how they repaired them. Even going so far as to politely and professionally offer photos and examples. I also recently purchased a Gen IV Camaro convertible, which had some problems. I joined a camaro site, and found similar help. Again, saving myself hundreds of dollars on repairs. Back to the Avalanche, one example, had I gone to a dealer would have been $600. With the Avalanche Club's help, I repaired it for less than $9. :D
wreckbuilder
Jun 24, 2012 5:41PM
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when a mechanic tries to charge a fair amount to cover his expenses and make a profit everyone claims "he is trying to rip me off....the village idiot will do it for half" When a hedge fund manager makes10 million a year skimming profits from your investment portfolio he is a savy business man..!!!
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