PRIUS very low End Lease Value ???

[32kcolors]

Doesn't low residual value mean you pay through the nose in term of monthly lease payments?

[gmalis1]

Received $12,250 trade in for my 2005 Prius (no leather, no NAV) with 46,000 miles and basically bald tires.

What you are probably looking at in "prices" is the CarMax website. Don't be fooled by those prices. Those are what CarMax is charging for you to purchase a used Prius. That is no where what you will get if you sell or trade the car in.

As to why there is such a low residual for the Prius...basically it's two reasons.

1 The new 2010 Prius is a newer vehicle. They have no idea what the real value will be at the end of a four or five year lease.

2 The battery issue. As you get closer and closer to that "magic" 100,000 mile battery warranty, there is always the possibility of "battery failure", which the customer will be stuck with after 100K miles.

[jburns]

Originally Posted by gmalis1

2 The battery issue. As you get closer and closer to that "magic" 100,000 mile battery warranty, there is always the possibility of "battery failure", which the customer will be stuck with after 100K miles.

Well from experience I can tell you that should be a non-issue. What abut all the transmissions that go out after 36,000 miles in conventional cars and cost as much as replacing a Prius battery. People seem to lose all reason when something new comes along.