Received "The Call" Today

at this time, i would suggest that you stand your ground and try to negotiate a deal, just like i did in february, 08.

reason is, i drove by toyota hollywood and saw 10+ prius, just waiting for new homes. they are plentiful here, they will make deals, i think. goodluck and let me know how it went.

 

The fact you have to ask "if you should negotiate", worries me a little.
You should always negotiate the purchase price of a car, and the fact you perceive a [possible change in the market reinforces that, without question.

Second, it sounds like you intend to lease the Prius. So my quesion to you is what's your purpose in choosing to drive a Prius? And, is the lease of a Prius gonna accomplish your goal in choosing that car. Often, leasing a Prius makes no sense at all, because you are not going to have the car long enough, or drive it far enough to benefit from choosing it over a less expensive, comparable car.

I wouldn't "trade in" a car toward a lease. You'll get taken two ways....on the trade value and the fact you really should never put money down a lease, because it's lost money forever. Also, if the car gets totalled in a collision, the insurance co. is only responsible for the Capitalized cost, and you just reduced their liability by reducing the Cap. cost with your trade in. Sell your trade and put the cash in your pocket. If you are trying to "afford" the lease by trading in, don't lease.

Residual value is not negotiable.

The rest of a lease contract is negotiable. Including Money Factor (interest rate)

If you've never leased before, or really don't understand the transaction, I suggest some serious homework.. You are at severe disadvantage if you don't. And the dealer knows it.

 

Pick the color you would like the most, then 2nd, etc...

Pick out the must have options. For me, the biggie was the JBL audio, and I'm soo glad I got it.

Heated leather seats makes me think of the raped package #2 at Fremont Toyota with sunroof and too much lumbar padding put in by some non-toyota company. Beware.

You could try Consumer Reports, etc ... for what you ought to pay. And decide what you want to do about pre-paid maintenance, extended 'warranty' and other accessories. Going to toyota financial services website will give you an idea of those costs too.

Get pre-approved for the best finance rate, terms, etc .. before going to the dealer with intent to buy a car.

good luck.

 

A couple of things that I think could conspire against the dealer, in in your favor, if you are buying a Prius now. 1. the economy in general is in the tank like never before and consumer sales are down big time. 2. Gas prices have plummeted. Business's - including car dealers, are close to panic. They cannot get short term loans to pay overhead expenses which is how they have functioned in the past.

If I were buying a Prius now I would try not to get emotionally attached to any vehicle - color etc is all pretty much irrelevant - and I would try to drive a very hard bargain and hope I could pick one up for just a little over invoice - and I would definitely purchase the vehicle - I would not lease. I'm not big on leases.

Also, cars are expensive and I think it is important to think through all the details before you talk to a car salesman. Otherwise - hang on to your wallet!

 

Think of the long term. The Prius will surely save you lots of gas $'s in the long run. I know price of gas on the pumps had gone down, but that is temporary...however, I also like it to stay low this way. I got my Prius in Nov. of '07 and negotiated with the price. You should be able to do that this time of the year...Nov. is one of the best months to haggle for a new car. Good Luck.

 

Gas price down for 6 weeks... quick go buy an SUV...
Americans just don't get it.

NEGOTIATE your heart out. Between the downturn and the articficially low gas prices for a while, you may be lcky and have some room to move.

 

I think the OP is concerned about reaching an agreement and then backing down from it (breaking a "gentleman's agreement"). It is a honorable trait....but save your honor for honorable causes.

Negotiating a car is a business proposition and one shouldn't use honor as a guiding principle....mostly because the other guy (in this case the car dealership) isn't going to use the same principle.

In the Bay Area, many dealerships have at least a dozen Prius vehicles on the lot. Some as many as 2 dozen. With all the economic issues, it is becoming a buyers market again for the Prius (and definitely for every other car out there). I would recommend you check other dealerships in the area/state and see what their inventories are like. Some places don't get many cars, thus you will have a limited supply, thus harder to negotiate price.

 

Read Consumer Reports advice on car buying, either in their most recent April issue or on their website.

Whatever you agree on, get it in writing. Then honor won't enter into it :_>