New or Used?

Buying a used one is fine if you can actually save money doing it. Be certain to pay a certified Prius technician (most of them work for Toyota dealers) to thoroughly check out the car before you buy it. If you get it used from a dealer make sure the dealer will warranty it for at least 30 days. There is a steady trickle of sad stories here from people who found a really good deal on a used Prius that they didn't have checked out, and then faced thousands in repair costs for undisclosed problems.

As you have seen the current intense demand for Prius has wiped out the savings one can usually get on a recent used car. In your situation I would put down a deposit on a new one and save money while waiting for delivery.

The notion of supporting the technology has passed. The value of hybrid technology is already well demonstrated.

 

I think what richard is saying is if you find a used one for a good price (we got ours used w/ all the options back in '04 & saved a bundle!) ... AND it's out of warranty, then have the dealer warrant it.

If it's still under factory warranty (say for example, it has 30K miles on it) then you're able to purchase your OWN extended warranty ... bumper to bumper, '0' deductable. That's what we did, for appx $960. The MFD's were having problems back then, and we waited past the original warranty. The extended picked it up, no problem. Then our SKS ECU went flakey (another $1,000 if it would have been out of pocket). The extended warranty again came to the rescue. Bottom line, new or used, the trick is to be patient while looking for 'a deal'. They're out there.

 

My take. Unless you don't have access to home equity and are paying a very high interest rate, you are better off buying new. I've never bought new, but will this time. After seeing 2004-06 cars with 60-100k on the odometer sell for 16k-20k, it seems clear. I would speculate those cars will depreciate down to the 8-11k range in 3-4yrs, when they have gone past 100k mi, are 6-8yrs old and the supply of Prius has caught up. Gas thundered through the $3 a gallon range and Prii were on dealer lots last April...

Prius depreciation is an odd duck. Parts are ferociously expensive at the dealer, the stigma is it will be a high-tech nightmare when the hybrid warrantee runs out (100k). The car is in such a niche for its MPG's that who's to tell what a greater supply from the competition will bring in a couple years. All reasons to believe used ones are currently over priced, even if priced on a normal depreciation curve. As the fleet gets past 1 million and NiMH batteries in the secondary market price closer to $1,000, my bet is used prices will stabilize. But I would be pretty confident that the >50k mi, ~2 y/o used cars, right now, stand to depreciate more than the new ones at MSRP. And THAT is highly unusual.

 

emeticmedic,

I would seriously consider the advice of the 3 posters before me in your decision process. But for you in NY & Woodman in Mass, you guys live in Calif emissions states & therefore your Toyota factory warranty on the hybrid components is not the standard 8 yrs/100,000 miles but for you two, it IS now 10 yrs/150,000 miles if you buy a new one. I'll bet that eases your worries some. I don't think the factory warranty is transferable, but if someone has bought the official Toyota Financial Services extended warranty, they should be able to transfer it to you if you buy a used Prius with one.

Ken (in Bolton,Ct)

 

I live in California and I am very happy about the 150,000 mile warranty, but why only California?

 

kazots,

It's not just a longer warranty in Calif but also in all of New England (Mass, Conn, RI, N. Hampshire, Vermont, & Maine) as well as NY & NJ that have adopted the Calif emissions standards (& maybe even some more states by now).

Ken (in Bolton,Ct)

 

It's the exact same hardware, but understandably Toyota wants to limit their liability for future repairs where they can.

 

MFD = Multi-Function Display, the big touch-screen in the center of the dash used by audio, nav, bluetooth, state of battery, etc.

Smart Key System (used with the correct version of the fob it provides keyless entry and starting) Electronic Control Unit (computer)

Check state law, but I'm confident that deposits are always refundable. Guessing at next year's demand, supply and prices is hopeless, I think.

There are Prius techs at independent shops. You just have to find them...

 

I say new, for two reasons.

One, because these days, a new Prius is less than used Prius.

Two, because I am employed by the fact that there is a high chance of titles on used vehicles being screwed up, lost, done wrong, seller disappears, fraudulent funds, etc etc etc you name it. I do title work for a financial institution, mostly picking up the pieces of the messes that private party sales make.

Buy new.

 

In Australia the used prius are selling for like 30% off their new price, a 2006 prius you can buy for $26k, brand new it was $37k

TOYOTA PRIUS Dealer Used Cars For Sale - carsales.com.au