The young are falling out of love with cars because they're unaffordable. It's as simple as that. It's yet another sign the standard of living is declining for the young. The average new car price in the U.S. is now over $47K (Consumer Reports). I make a good living and I'm not going to pay that kind of money for a new car! A young person would be stupid to pay that kind of money for a car. Okay, so what about used c…
If you think about it, the prospect of getting a loan to finance some expensive vehicle that costs tens of thousands of euros/dollars and then paying loads more every month for insurance, taxes, maintenance, and fuel is not very appealing. Some people spend many hundreds of dollars of their own money every month on a thing that they arguably could do without. And then there is parking as well. Parking is not cheap in bigger cities. There are cities where you need a mortage to be able to afford to buy the right to have your own parking place.
If you add all of that up, you can free up quite a nice budget for alternative ways to get around. I use taxis/ubers when I need them. I walk short distances or use a bike (nice and its good for me). I can hop on public transport at a reasonable cost. Total cost for all of this per month is probably around 50 euros in a typical month. I have a lease bike that costs me 22/month. The rest is public transport and an occasional uber. I technically also have access to car sharing but I rarely use that. Price is similar to an Uber and Uber is more convenient for me.
So, that's my day to day travel needs covered. I don't need a car for that and here in Germany, even a really shitty old car would probably cost me way more than that. I could double or triple my uber usage and it would still be cheaper.
For longer distance, I take trains and the occasional plane. If I need a car, I rent one. Happens maybe a few times a year. Total cost for car rental would be at best a 1000-1500 in an average year (including fuel). I can't make a case for owning a vehicle to cover any of that. And I don't think I ever will.
For the future, self driving cars might add some more options and flexibility. Getting a self driving car to pick me up would allow me to be driven while I nap at night to some far away destination. Door to door service, private, comfortable, etc. No need to own a car for that. And that could probably be cheaper than a train/flight + hotel. Not that hard to build a business around having something like that with some luxury options. Why would you ever own a car if you can get something like that to pick you up to go wherever on a moment's notice? How often could you do that before it becomes cheaper to own the car? Self driving will turn car rental on its head. You don't go some place to pick up the car. You get picked up by the car.