In the driver’s seat: Pathways to automobile ownership for lower-income households in the United States

We examine how lower-income households in the United States acquire automobiles. Although car ownership plays an important role in social and economic mobility in the U.S., transportation scholars know little about how households acquire cars. We use an online opt-in survey of adults from lower-income households to examine how and why they acquire cars, and the effects of these different pathways to car ownership on finances and quality of life. We identify five pathways to car ownership: buying a new car, buying a used car at a dealer, buying a used car from informal markets, receiving a car as a gift, and obtaining a car through a life-event (e.g., moving in with a car owner). The most common path is to acquire a used car from a dealer (38% of our sample), followed by acquiring a used car informally (24%), purchasing new (17%), receiving a car as a gift (15%), and via a move-in (5%). Respondents most often acquired a car for financial reasons and to increase accessibility. In contrast, the COVID-19 pandemic, life-events, and built environment factors played a smaller role. Respondents reported that acquiring a car had a positive effect on their lives. The overwhelming majority said the effect on their quality of life was positive and getting a car was worth it. However, almost half experienced some type of financial hardship related to owning and operating their car.