2005 Prius (Package 6) - $2000 under MSRP?

This is what I expected would happen with some dealers. Glad it's happening for YOU!

Hmmm...gain $2000 + $490 (price increase) = $2490

Lose $3150 ('06 tax break) - $600 (app.) ('05 tax break) = $2550.

Almost a wash.

BUT---when Prius supply catches up with demand, there'll be about a $2500 difference between model years in resale value.

I wouldn't. The '06 tax break is a dealbreaker, a one-time bonanza. And the dealers know it. I expect more offers like this where dealers have high allocations.

Two dealers called me today to say their '06s come in next week (N CA, trucked up from Long Beach). Time to unload those '05s.

That's just my take.

 

While I agree with jack's point of math, I lean toward 'bird in the hand'.

It is a wash only if MSRP. With more/most dealers adding $2000 to $4000, plus junk options added on with a take it or leave it attitude, the price in january is not set in stone.

I paid $1000 under in march, got totaled in august and insurance paid value $1000 OVER MSRP (due to demand). Paid MSRP in october for the replacement and will only buy in '06 IF not overpriced.

With the reengineering of the HSD possible in '07 and the comfort issues not addressed yet, I may wait. Not enough has changed.

You were wise to overnight it, now it's not too impulsive.......

right

Good luck, post what happens and don't fall for the add on's

 

Since everyone else seems to have gone to bed, I'll throw a coal on the fire. There are several factors (all of which you're smart enough to have thought of, but you asked for points of view).

* Would you feel any pangs of buyer's remorse when you passed those recognizeable '06s (chrome bar in grille, "hybrid" badges on fenders)?

* Are you gadgety enough to lament not having a rear camera, MP3 compatibility and low-tire-pressure warning lights (plus improved MFD, etc.)?

* is there a new exterior/interior color you really like?

If none of the above, and you can afford the $ hit, it may be worth jumping on it. I know I'd think about it---just the IDEA of getting a new Prius at $2K off---but I'd still wait a few weeks.

 

The difference in resale depends on when you are making the comparison. In a few years, the difference between the 05 and 06 resale should not be significant.

As far as buyer's remorse on the 06 versus 05 features, they are most significant to the few folks on the forum who obsess over most details. The cars are quite similar. I had a 2000 Tacoma. The following year the front grill changed from horizontal bars to vertical bars. I can tell you I did not have buyer's remorse because my bars were horizontal.

One thing to consider is if you are counting on the HOV sticker. In the event DMV stops at 50,000 instead of going to the absolute cap of 75,000, waiting much longer for an 06 will make getting the sticker doubtful. If the HOV stickers are discontinued after 2008, they will not affect resale, but if they continue, I bet an 05 with stickers will command a higher resale than an 06 without.

 

Might be worth asking the dealer if you can give them a large deposit yet take possession of the '05 in 5 weeks. That would make it elgible for the $3100 I believe.

Ya never know, they might go for it.

 

I don't know what your personal tax situation is, but I know that anyone who will be subject to AMT in 2006 may see a decrease in the tax benefits provided by the (up to) $3100 credit in '06. My husband and I were going to hold out for a 2006 model for the better tax incentive - however some odd situations that will occur next year would have caused us to lose out on the bigger tax break. We got a good deal on a new '05 and decided to go that route instead. Between the discounted price and this year's tax incentive (vs no incentive for us next year), it was the way to go. We're missing out on some of the nifty additions for the '06, but some of these can be added after market if we REALLY want them

Don't forget to talk to your tax advisor.

 

If you are still with us, what did you do?