Trade my Gen2 for a 2013 Gen3?

Wait a minute...you're from Michigan. Aren't you obligated to drive a Chevy or Ford???

 

NOTHING handles quite like a rental car!!

Listen to me.
You know who actually takes care of a rental car?
That's right...the poor sap who buys one after it's been ridden hard and put up wet for two years.

Remember when I asked why the car had chewed through its first set of tires (or second??) at only 45,000 miles???
Now we know why!!


The dealer should have TOLD YOU UP FRONT that this car had been previously abused in a rental fleet, rather than let you stumble across it in a CARFAX report.
I thought that the price was a little steep for a base G3 two year old, high mileage car.
Now?
I'm certain that it is.

Avoid the car.
Avoid the dealer.

 

Well, since you have been on the fence about it?

I'd take the sign of discovery that it's an ex-rental car as an Omen to stay away.

It would bother me, if the dealer wasn't initially forthcoming about it being an Ex-Rental Car. Either he did not know, or he wasn't being particularly forthcoming. I'd be suspicious of selling dealer, who would offer a Carfax but claim to NOT have noticed that fact.

I know people who have bought used rental cars and been happy. It's not impossible.

But I don't like the idea. A "regular" used car will have a finite number of previous owners. With a rental car? It's had potentially countless previous "drivers" and all of them without a long term vested interest in treating it right. So who decided to experiment with how fast it could go? Who slammed on the brakes? Who rented it for a long business trip and spilled god knows what? How many people rented it because it was a Prius...but then had no idea how to turn it off or accidentally left it on?

Too many unknown variables in it's past now.

I don't think the idea of trading "up" is necessarily a bad one....but given this revelation perhaps this isn't the trade up deal.

 

People are rough on rentals, but the other side of the coin is that rental companies tend to keep up the regular service and other maintenance with records on it. A broken car is one that isn't making them money.

 

Do they?

I mean obviously they "say" they do, especially if they are trying to sell you one of their used rentals.

But my observation and experience with a variety of rental cars over the years, is that they are far more concerned about just keeping them on the road, in the rental loop than really keeping up with maintenance.

I think they know they won't be keeping them beyond X amount of miles, so I really am suspicious of how diligent they are about maintenance. Now a days, seems you're lucky to pick up a rental that is clean, let alone well maintained.

Last one I got, from a big name rental company looked like it had just been driven on a long road trip. When I complained, an exasperated employee told me that they hadn't had time to clean it, they were so busy, but if I wanted to wait an hour they could. I just took it, because I needed to get going. Once on the road I noticed the "Maintenance Required" light was on, so I called them, wondering if they wanted me to return it.

The answer was that they "thought" it was probably just because it was due for an oil change, and that they would just do it when I returned it when my time with it was up, so just keep it and keep driving. "If" I had a problem give them a call.

So I really have my doubts about Rental Car maintenance. I'm thinking their focus is on breakdowns...not prevention.

 

As ETC(SS) says, I don't think it makes financial sense.

I've never borrowed money to buy a car, and I don't think I ever would (which is why I imposed the limits I did on my recent Volvo thread), but I know a lot of people do. However, you mention that you're close to retirement: if that's the case, it doesn't sound like the time to be taking on new debt.

I also, to be honest, don't see the point in paying the premium to a dealer. People think it's worth paying the extra because you'll get guarantees and assurances. As demonstrated by the whole ex-rental thing, the dealer isn't going to be honest with you, and there's no way that he's going to honour any guarantees. I've seen this sort of thing lots of times: my mother-in-law bought an absolute lemon - a seven-year-old CRV with a knackered engine and knackered suspension for $12,500 - from a dealer who subsequently refused to do anything about the problems with the car, and who then went bankrupt and disappeared. She could have bought the same car at auction for about $5,000, and taken the gamble on its reliability.

My Prius-buying experience was at auction. Used-car prices here are very different to America (as are new-car prices). But because you're looking at a car that's a little under two years old, this might be relevant for you.

When I bought my car, in 2010, a new Prius cost a little over A$ 40,000 (the Gen 3 had just come out). A two-year-old Gen 2 with 40,000km would cost about A$ 24,000 - 26,000 at a dealer. I bought an ex-government, two-year-old car with 40,000km from an auction for A$ 16,000. There was a full service history, and the car looked like it had been well cared for, but even if there had been problems, it was unlikely that there'd be A$ 8-10,000 worth of problems. As it is, in the four and a half years I've owned the car, I've had to replace the 12v battery once, and the brake pads once. Apart from a flat 12V battery when I was on the way to the airport, nothing has ever gone wrong with the car.

(Similarly, I bought our nanny an ex-government Holden Astra wagon at auction for A$ 7,500 - this would have been A$ 11-12,000 from a dealer, and again, it's never put a foot wrong.)

In Australia, there are a lot of ex-government Priuses, and I'd imagine there are a lot in America too. Complex lease and accounting arrangements mean that the cars tend to be sold and replaced after two or three years. Many are barely used. And because Priuses are - let's be honest - not the most exciting cars for young speedsters, if they're in a car pool at a government office, it tends to be the old, slow, safe drivers who use them, so they don't get thrashed.

If the differential between an ex-government auction and a dealer is similar in America to what it is here, then I'd have thought that the $15,000 car you're looking at at a dealer should be available for $10,000 or so direct from an ex-government auction. And if you're just fed up of having a Gen 2, you could even get an older Gen 3 - maybe from 2010 or so - for even less.

So if you really must get a replacement for your existing car, there are much cheaper ways of doing it. I suspect you dodged a bullet with this one.

 

I say so because of coming across an article similar to these once.
6 Tips for Buying a Rental Car | Money Talks News
Is It Smart To Buy A Used Rental Car? | Bankrate.com
http://www.autotrader.com/research/article/car-tips/213379/buying-a-car-is-it-ok-to-buy-a-former-rental-car.jsp

Now some individual rental places may not be as dilligent, but the ones that are will keep records. it helps with the resale, but more importantly it is required for tax deductions. Maintaining the car is a justifiable business expense for them.

 

I rented a Prius from Liberty Toyota when my 2010 was in the shop. It was in good condition and clean as it was also for sale. I did not drive that car any differently than I drive mine. I even added some air to the tires.

How many here have abused the Prius they rented? What did you do to it?

Spending money you don't have for a car you want doesn't make sense. Borrowing money to buy the car can make sense. Is your rate of return higher than the loan's interest rate?

Selling the old one instead of paying for the pending maintenance isn't going to bring top dollar. The buyer is going to factor in the price of tires, the pump, and the cosmetic damage.

Don't count on the Gen3 getting better fuel economy. How much driving do you do now and how much do you expect to do when you retire?

I vote for maintaining the Gen2 including a set of LRR tires. Let it absorb as many of the pre-retirement miles as it can then when need be get the new(er) one.

 

I'm sorry we made you feel old.

I can't imagine retiring. I really enjoy my job.

Anyway, here's an issue relating to rentals that might be worth considering. Again, I don't know whether this is the case in America, but in Australia, if you want a hybrid from a rental company, you have to specifically order one, and it costs a lot more than your basic Elantra or Focus or Cruze or whatever. So anyone who's rented a Prius has rented it because they're an eco type or a fuel-economy type or both. And that means they'll probably have driven it carefully, and it's likely to have taken less of a hammering than a normal rental car.

Does that make sense?

 

Did you read my post back at the bottom of page 1? Re. 2014 leftover trim level 2 at 0% for 60......

What do you owe on your 07, and what's your monthly budget..

 

I'll admit perhaps my opinion is tainted by my personal experience with rental cars.
I do know people that have purchased "rental" cars and have been very happy with them. So I don't think it's impossible.

My above quoted experience, coupled with perhaps a cynical outlook, that is I think it's part of human nature to NOT be as careful of something when you think it's presense in your life is only temporary.

You might have to go a way's to convince me that for most rental firms "regular maintenance" is much more than just "maybe" changing the oil.

But then again most rental car vehicles are so new...that just changing the oil is really all that is needs to be done.

 

Yeah, that won't work then. You would possibly end up upside down as you owe what the cars worth possible more depending what they give you.

And 25k, I hope that's for a level 3 or 4??

21-22k is about right for a leftover level 2 trim. Unless they are inflating your trade value and giving you a bum deal on the prius. 21-22k would prob be about right for no trade no fuss deal. It's all a crappy game of numbers..

Either way I hope you end up happy and it all works out for you.

Edit: look into a leftover Chevy cruze eco. One can be had for 18-19k (huge incentives a couple months ago) brand new (manual trans). It doesn't quite get the mpg as the prius (I owned one) unless you do tons of highway but a darn nice car that is fun to drive and feels a lot nicer than what you pay for.

Or get a corolla or a yaris? Cheap, great mpg, and new with warranty....

You can always sell your 07 privately and make out a little better but remember that you only pay taxes on the difference if you trade at the dealership. Plus you save yourself the aggravation of selling privately.

 

Your employer matches your 40% IRA contribution?

 

Admit it....
You have Prius Envy!

At least you're not going to overpay for the G4 when it first comes out.....er....if it ever does come out.

Good Luck with the car!

 

You're anxious....and the dealer can smell it.
If they're selling this unit on the used car side of the new car lot you're dead-bang guaranteed to be paying too much for it.
Ask them right now if they have an additional "admin fee" that they're not telling you about yet.

My adivce: Figure out your top price....or hack a thou off of what they want right now. Leave them that figure and your phone number.

Walk.

The two huge advantages you have right now are a properly working G2 and time.
You're pissing that away if you rush through this.

The two advantages they have over you are your impatience and income tax returns. You picked a bad time to get the new car itch.

Leave then an OUT THE DOOR figure and walk.

Good Luck!