Crunching the numbers... for the frugal, like myself

Sounds like you've convinced yourself. We don't have a lot of work here to sell you on the Prius.

 

Just want to say -- excellent handlename.

 

I don't think you really fit into the frugal mode as you would have been brown bagging it for lunch in the first place.

A frugal person would never consider buying new and would either a) rebuild or replace the smoker engine with a used one and continue driving the corolla or b) "splurging" and buying a used prius.

For economy, I always suggest buying a used, low miles corolla, install some cheap 80K mile tires and drive it into the ground. Would it make you smile every time you get it in? Would strangers stop and ask you questions about it? Would you have great pride in ownership? Would you have fun while learning to improve your MPG's? Is the Prius the answer?

No, No, No, No, and Yes.

 

Buy one now! Keep it for 10 years!

 

good move on the smoking. yours and the corolla's.

 

I call myself frugal. My wife calls me frugal, with miser tendencies. The Prius is an excellent value IF you keep the car for its lifetime and maintain it well using DIY when able. In that context buying used or new is far less important.

 

Solution for you....
Leave early in the morning and take a drive in your old, smokey Corolla to Manassas, Virginia. As of this morning, they have 19 2011 Prius' left in stock. Pick out the one you want and make your deal and drive home, happy.

In my local town, 40 miles south of Manassas, the local dealer, owned by the Manassas dealer, is totally out of Prius now.

Do a GOOGLE SEARCH on Miller Toyota Manassas and that will take you to their website.

I also checked Ourisman Toyota in Fairfax, Virginia and they have 32 Prius in their inventory.

Good Luck

 

I don't know if I'd use the words "frugal" and "new car purchase" in the same thought...but on the other hand, if you can afford it---why not?

Good Luck with the new car (when it gets here!)

 

ETC,

As I wrote, I am frugal and do not consider new car purchase an oxymoron. I figure a new car will last 20 years, so the capitalization cost is about $1250 a year. How much is a 3 year old Prius less than new ? Pick your number, I'll say 1/4 less, or about $6000.

That sounds like a winning difference for the used car option, but there are additional costs to consider in the used car: first, you have to pay for a mechanic examination. Second, include the extra time spent shopping for a good used car. Third, you take on the increased risks of errantly buying a problem car, or taking on a car that has been maintained poorly that leads to a shortened life or increased repairs. Lastly, you forgo the value of the new car warranty.

I am not one to argue the "peace of mind" nonsense, but really, how much of the above do you want to take on for savings up to 6000/240 = $25 a month ? I am not against buying used cars, but it is not a no-brainer. I think people with mechanics skills and free time can make a good argument for buying used, as can accident prone drivers.

 

What model year is your Corolla, and how many miles does it have. I'm surprised it burns that much oil.

 

Add some hidden some other savings and pluses:
- new car is likely not give you trouble for 5 years (how many times you needed tow in last 5 years?)
- you will not need new battery
- new tires, good for 40K miles
- no repairs, no brake jobs, etc
- more space to throw in you tele and gear

 

These are good points.

 

Up until recently, I always bought used and never had a problem. I would think most Prius are well maintained, and not driven hard like say a Camaro might be. But yeah, resale value right now is pretty high, so there's not a huge savings unless you're talking over 40K miles (out of main warranty). Which is what I always did until the last 2 cars. My wife's Honda was 2 years old when we bought in 2005, and it's still running fine, no problems whatsoever. I don't think mechanical skills are even part of the equation anymore for buying used vs. new unless you're expecting a real junker. A visual inspection is enough for that (I've heard you should get it checked by a mechanic, but I've never done that either. I don't know anybody who has ever done that, maybe brought a friend along who knows a thing or two about cars to help look it over.)

But Judas Prius (yes, I love that name) is planning on cutting food expenses and other "luxury" items. I planned on that in the past, and it never went as well in practice as on paper. But I was never truly hurting, and things worked out anyway, I just maybe didn't pay off my student loans as much ahead of schedule as anticipated for instance. Buying clothes is overrated too, you can go a year without any purchases there. Maybe a pair of socks occasionally.

But I'd definitely try to make a bigger down payment to reduce the monthly payments (less interest paid, and less prolonged pain). Also make sure you can pay the loan off early if you get the chance. I dropped a quarter percentage point by tying it to automatic payments from my bank, but then it stretched for an agonizing five full years, even though I could have made extra payments after about half way in.

Basic rule of finance: always put your money wherever the higher interest rate is. Thus, credit cards pay in full every month, no exceptions.

 

A truly frugal method would be to cut your expenses now, and put the savings towards a larger down payment in the future, when perhaps the prices for Prii may drop.

 

Concur. I should have made myself a little more clear, as I was responding to the OP's specific situation.
As a matter of fact....IIRC....my last used car purchase was in the 80's...(83?)
Whether or not a new car purchase is compatible with frugality depends on the person who is writing the check...or checks, if you have to do the lease/finance thing.
I personally think that you're better off getting a base vehicle new, rather than an optioned out vehicle used---especially since pimped out vehicles in the same class tend to loose a greater portion of their resale value over a given period. You may intend to keep the car until the wheels fall off, but we're all just one teenager with a cell phone away from having to factor our current vehicle's ACV against a new (or used) car purchase following an accident or other calamity.
As you pointed out, there are also the advantages of warranty coverage, and being able to ensure that the vehicle is properly maintained, instead of just adequately serviced.
As you also pointed out, you can save even more money getting a more humbly appointed car used rather than new, but then you're bumping up against the law of diminishing returns...and for me new is just working out better than used for the last few decades.

Like we're both saying...frugal is in the eye of the beholder. You can certainly pick a worse car to buy than a new G3-II, even at today's inflated prices.

 

and, 20 years from now, you'll still be brown bagging it, off the butts and cable! bonus!