Certified 06 Or New 08?

[firewire]

I am planning on buying an RX400H as soon as my '03 Sequoia sells (just listed last week). If I can get $2000 more selling it on my own I will.

But my question is that 2006's are coming off of lease and Lexus is offering 3 year/ 100K warranty on all Certified Used Lexus's.

I can get an 08 2wd, Nav, & Preffered + pkg for $46.5K (Sticker is $49K). Or do I buy basically the same thing in an '06, but with AWD and 24K miles on it for $36K???

The only differences I have found have been cosmetic except for the Nav screen resolution. My wife is pushing for New, but I am still trying to accept that a new one is worth $10K more. I am finding used '06's for $36-$38K with Nav and between 15K-30K miles.

Any thoughts or help as to which direction is make more sense all things considered?

[Jim Clark]

When we bought our new '08, the price difference between used and new wasn't even that much, it was more like $6k. That made the decision pretty easy, at $10k we would have thought about it more.

You're paying extra for the CPO. There is probably at least 1.5 years left on the factory warranty, maybe 2 or more, that means it's really only getting you 1-1.5 years extra beyond the factory warranty. If you'll drive a boatload of miles, the CPO might be worth it, but Lexus's are so darn reliable you'll probably never need it.

Whichever you choose, get it loaded including AWD and Nav, any future buyer will want both. I think the dealers order them all with the Preferred + pkg and you definitely want it.

2006 was the first year for the 400h but I haven't heard of any major or recurring problems with them. I'm not sure what changed from 2006-2008. Our '08 has certain gadgets that we were used to and wanted including memory seats, auto-dimming mirrors, etc.

[SOMEONE ELSE'S GOT MY NAME]

I am planning on buying an RX400H as soon as my '03 Sequoia sells (just listed last week). If I can get $2000 more selling it on my own I will.

But my question is that 2006's are coming off of lease and Lexus is offering 3 year/ 100K warranty on all Certified Used Lexus's.

I can get an 08 2wd, Nav, & Preffered + pkg for $46.5K (Sticker is $49K). Or do I buy basically the same thing in an '06, but with AWD and 24K miles on it for $36K???

The only differences I have found have been cosmetic except for the Nav screen resolution. My wife is pushing for New, but I am still trying to accept that a new one is worth $10K more. I am finding used '06's for $36-$38K with Nav and between 15K-30K miles.

Any thoughts or help as to which direction is make more sense all things considered?

You can do better on a used '06. Example of successful sale here:

http://cgi.ebay.com/ebaymotors/ws/eBayISAP...em=330232016116

That's what we did, and then we paid $1,600 to have it shipped to our MT address. Even after shipping it was still a great deal. "CERTIFIED" ?!? Don't get suckered into that term. If it aint new, heck I'LL 'certify' that it's used :P

If you get an '06 it'll likely have under 48K miles . . . maybe on average, under 30K miles. Certify it your self ! As long as it has less than 4 years or 48K miles, Lexus will let you buy an extended warranty / service contract. Our extended warranty from Lexus was $2080. Zero deductable, bumper to bumper. 7 years, 100,000 miles. You'd have to be REALLY slow (and I know you're not) to not understand that a dealer saying a car is 'Certified' is simply giving you an extended warranty, then building it into the price. And some 'certified' thingie may not even be as good a deal as just buying the Lexus extended service contract.

Anywho, whether you buy '06 '07 or '08 ... heck buy it used ... let someone else take the hit paid on 'brand new' and you'll save a bundle. Ours was an early lease return, with less than 10,000 miles, and it was just 3 or 4 months old, i believe.

Good shopping! You'll love your 400h.

[firewire]

Thank you for the replies! I've been watching ebay too. I didn't know you could buy an extended warranty outside the dealer (if I understood the post correctly). I have found a really nice '06 with just about everything except RES from an individual and I am leaning towards it over the brand new '08.

There seem to be quite a lot of nice used ones. :)

[jrober]

For what it is worth, only $2500 of the sticker price is not that great of a deal. You could probably do better with a little negotiating. I purchased a 2008 Rx400h earlier this year for $4000 off the sticker. I negotiated with the three nearest dealers from my home and ended up buying from the 2nd closest dealer. I did almost all the negotiating over the internet with the Internet Sales Managers (very painless). I called them and spoke to them in person initially and after that, all of our communications were by email.

This internet thread helped me with my negotiations. http://townhall-talk.edmunds.com/WebX/.ef79a27/426

This post was especially helpful. http://townhall-talk.edmunds.com/direct/view/.ef79a27/259

I was only able to get this price when I emailed the dealer with my calculations on the "true dealer invoice" including the dealer holdback, wholesale financial reserve and Toyota dealer advertising numbers (all available on Edmunds.com). I think they then knew I had done my homework and was willing to buy it somewhere else. I then offered $4000 off the sticker price and one dealer agreed to it by email.

There is nothing wrong with buying new but these cars hold their value very well (especially the hybrids) and in the end it may not make too much difference. I am assuming a ownership cost for myself of about $5000 per year (very rough numbers, excluding gas, etc.). Whether I paid $50,000 (with tax) for a new car and drive it 10 years or pay $40,000 for a 2 year old car (with tax) and drive it 8 years, it isn't a huge difference. There are good arguements for buying used. I would also wonder though, how well the initial buyer cared for a leased car that he knew he was going to dump in 3 years. If nothing else, the tire tread is now half gone. There is some piece of mind with buying new if you are going to keep it long term. Personally, I wouldn't buy a leased car but that is just me. Good luck.

[firewire]

Wow, what a great forum and replies. I greatly appreciate the input. It is VERY helpful.

[firewire]

I am officially part of the club! Came home today with our new RX400H.

[RX400h]

CONGRATULATIONS and welcome to the club!

[UCLAAlum]

Hubby & I knew that the color we wanted wasn't offered in 2008 or 2009 versions, so we looked for a CPO and got what we wanted, all the perks of platinum CPO purchase, AND got an extended warranty upon signing! The low mileage on the CPO was the deal-maker (just shy over 19k). Woohoooo! :D

[Gryphon]

Hubby & I knew that the color we wanted wasn't offered in 2008 or 2009 versions, so we looked for a CPO and got what we wanted, all the perks of platinum CPO purchase, AND got an extended warranty upon signing! The low mileage on the CPO was the deal-maker (just shy over 19k). Woohoooo! :D

Gee, whatever possessed you to choose blue? :P

Tom

[UCLAAlum]

Hubby & I knew that the color we wanted wasn't offered in 2008 or 2009 versions, so we looked for a CPO and got what we wanted, all the perks of platinum CPO purchase, AND got an extended warranty upon signing! The low mileage on the CPO was the deal-maker (just shy over 19k). Woohoooo! :D

Gee, whatever possessed you to choose blue? :P

Tom

Oh tanks for noticing

It goes well with all my outfits and shoes ... My 400h is my favorite accessory ... LOL