Buying a used 2006 Toyota Prius

[FreedomInc]

I will be graduating college in May and have the opportunity to buy a used 2006 Toyota Prius from my parents as a first car. The car has about ~115k miles and is in good condition. At what price point would this be a good mustachian deal for me?

Thanks for your feedback!

[Mother Fussbudget]

I've purchased two (2x) used Toyota Prius [Pre-i?], so what do you think I'm going to recommend... ??? ;-)
1) Gen1 2003 w/160K miles - still running trouble free after 4 years.  Gen1 battery replaced prior to purchase @ 100K miles.
2) Get3 2010 w/85K miles - still running trouble free after 3.5 years. 

I did some checking around in my area, and with Kelley Blue Book - used car pricing from a private party:
Retail price:  $7,360
Fair Market Value:  $5,847 - $8,072

Things I would check:  Has this Gen2 (2006) vehicle it had it's 100K mile checkup where the spark-plugs are replaced? 
The plugs are known to commonly break off when removed because the factory did not use anti-seize on the plug threads - this servicing is best done at a dealership, or a service place that knows Toyota Prius's.
You do not have to worry about the Gen2 battery - it was greatly improved over the Gen1, and should run fine for 300K+ miles.
Go to the PriusChat forums if you have specific questions about your parent's car.

[homestead neohio]

First, do you need a car?  If so, what are all the things you need it for?  Will the 2006 Prius meet those needs well?  Assuming it is something you actually need that meets your requirements...

Look at tire tread life, if it is on the second set of tires they are probably ready to replace, there may be lots of life left if it is the third set.  Expect to pay $400-500 for a good set of four tires installed, be frugal but not cheap with tires.  I'd also consider exhaust system condition if you are in an area with snow and salty roads.  That is a predictable major expense if the system is nearly rusted through.  We decided to trade in our Gen1 Prius when it came time for a new exhaust at 110k miles.  The exhaust, only available from Toyota, was $1800 before installation, no aftermarket available.  These things have elaborate emissions control systems.  It also needed tires and had the original gen1 battery. 

Will your parents be cutting you a deal?  When I was younger I bought my dad's old truck when he replaced it.  He secretly fixed a few things on it before it came to me and he told me to name a price.  He accepted my initial offer.  I think he would have accepted a bag of oranges. 

If you have no idea how to approach price with them, I would be honest that you don't know what to offer and give them the private sale blue book values and any anticipated maintenance costs, then hear their thoughts.  Obviously lower is better, but you don't want to take advantage of them and have any hard feelings.  But if they want to help you out by offering a slightly low price, that could be ok, depending on the family dynamic.  If this fosters dependence or they will lord it over you, don't look for a break, maybe even buy a different car.  If they would otherwise just take it to a dealer for trade, offering to buy it from them at the same price the dealer offers will probably be lower than $6k and a good deal.

[FreedomInc]

I've purchased two (2x) used Toyota Prius [Pre-i?], so what do you think I'm going to recommend... ??? ;-)
1) Gen1 2003 w/160K miles - still running trouble free after 4 years.  Gen1 battery replaced prior to purchase @ 100K miles.
2) Get3 2010 w/85K miles - still running trouble free after 3.5 years. 

I did some checking around in my area, and with Kelley Blue Book - used car pricing from a private party:
Retail price:  $7,360
Fair Market Value:  $5,847 - $8,072

Things I would check:  Has this Gen2 (2006) vehicle it had it's 100K mile checkup where the spark-plugs are replaced? 
The plugs are known to commonly break off when removed because the factory did not use anti-seize on the plug threads - this servicing is best done at a dealership, or a service place that knows Toyota Prius's.
You do not have to worry about the Gen2 battery - it was greatly improved over the Gen1, and should run fine for 300K+ miles.
Go to the PriusChat forums if you have specific questions about your parent's car.

Sorry it took me so long to reply! Thank you for this advice. I've read through that forum and it seems to be incredibly helpful. My parents say it has had all of the maintenance/repairs done on schedule, and they are taking it to the 100k mile checkup soon.

It's great to hear about the gen 2 battery, that was my main concern with owning a 100k+ prius.

[FreedomInc]

First, do you need a car?  If so, what are all the things you need it for?  Will the 2006 Prius meet those needs well?  Assuming it is something you actually need that meets your requirements...

Look at tire tread life, if it is on the second set of tires they are probably ready to replace, there may be lots of life left if it is the third set.  Expect to pay $400-500 for a good set of four tires installed, be frugal but not cheap with tires.  I'd also consider exhaust system condition if you are in an area with snow and salty roads.  That is a predictable major expense if the system is nearly rusted through.  We decided to trade in our Gen1 Prius when it came time for a new exhaust at 110k miles.  The exhaust, only available from Toyota, was $1800 before installation, no aftermarket available.  These things have elaborate emissions control systems.  It also needed tires and had the original gen1 battery. 

Will your parents be cutting you a deal?  When I was younger I bought my dad's old truck when he replaced it.  He secretly fixed a few things on it before it came to me and he told me to name a price.  He accepted my initial offer.  I think he would have accepted a bag of oranges. 

If you have no idea how to approach price with them, I would be honest that you don't know what to offer and give them the private sale blue book values and any anticipated maintenance costs, then hear their thoughts.  Obviously lower is better, but you don't want to take advantage of them and have any hard feelings.  But if they want to help you out by offering a slightly low price, that could be ok, depending on the family dynamic.  If this fosters dependence or they will lord it over you, don't look for a break, maybe even buy a different car.  If they would otherwise just take it to a dealer for trade, offering to buy it from them at the same price the dealer offers will probably be lower than $6k and a good deal.

Thanks for the advice. I'll definitely check with them about the tires. This is in the Puget Sound region so there's not a lot of snow on the roads.

My parents will cut me a deal, although probably not a significant one. From what I've seen online, you can buy a similar vehicle online for $7000-$9000, so I'm expecting maybe $6000 at best. However the dealer trade-in value is around $4000, so I'm not sure how to interpret this. They will be getting back to me with a number.

I'm definitely considering my options, as I think I could get an old reliable civic/camry for about $4000 as well, although the fuel prices would be slightly higher, and the car might not last as long as the prius. What attracts me to the prius is that there are reports of people reaching ~300k miles on these vehicles, and if I can get it at a bargain purchase price this is an amazingly frugal opportunity.

I honestly don't know a lot about cars, so this has been a very valuable learning opportunity for me.

[jawisco]

Its a good solid car and you are getting it from an honest source at a bargain price.

I wouldn't hesitate.

[aceyou]

We just got two Prius's this Fall:

Mine:
2007
160k miles
$5200
leather, owned by meticulous rich guy who was the only owner and kept an inch thick portfolio with every record of maintenance he'd ever done on it. 

Wife's:
2008
164k miles
$6200
cloth seats, was bought at a dealers auction in chicago by our friend who owns a dealership.  He sold it to us at his cost, plus $200 for his time.  This one has had a couple problems that have cost us a couple hundred dollars, but now is working fine. 

[FreedomInc]

We just got two Prius's this Fall:

Mine:
2007
160k miles
$5200
leather, owned by meticulous rich guy who was the only owner and kept an inch thick portfolio with every record of maintenance he'd ever done on it. 

Wife's:
2008
164k miles
$6200
cloth seats, was bought at a dealers auction in chicago by our friend who owns a dealership.  He sold it to us at his cost, plus $200 for his time.  This one has had a couple problems that have cost us a couple hundred dollars, but now is working fine.

Interesting, thanks for sharing those stats! I guess you guys like Prii. What were the cars you had before?

And if you don't mind me asking, what were the problems with the 2008 car?

[Mother Fussbudget]

Cars I had before the Prius's... 

Used to be a gearhead.  I drove a 1999 Porsche Carerra, then a 1999 Porsche Cabriolet.  Those were ridiculous cars - paid cash for both.  I ordered the Cabriolet, drove off the lot in the Carrera, and drove it until the cabriolet arrived.  Sold the carerra for more $$ than I paid for it (!) that never happened for me before or since.  Downsides of the Porsches:  Seattle roads were too bumpy for the 2" profile tires, traffic was too crowded to get up to speed, and I got sick of 'rowing-thru-the-gearbox' on Seattle hills.  Those cars were the best of times, and the worst of times - turned me off performance cars for good.  Driving a powerful car like that in traffic is a total waste of horsepower.  Fun for a while, but the cost of EVERYTHING related to these cars was ridiculous.

2005 Toyota Corolla - automatic.  35mpg.  Bought this because I had a 1988 Corolla that I drove until the head gasket failed at 300K miles.  Biggest downsides were the 2005 had manual windows (galley-slave windows) and manual locks. Hard to get used to after driving a german car for 5 years.  (new - drove for 6 months)
2005 VW Passat TDI - automatic.  38mpg. Biodiesel. Car was too big, fancy, and didn't get the mileage I thought it would. (new - drove for 6 months)
2003 VW Jetta TDI - manual.  40-45mpg. Biodiesel. Great car. Drove it until a rock popped up from the road and put a hole in the oil pan. (used - drove this car from 2006-2011).

[TheThirstyStag]

I bought one of our cars from my SO's parents with a simple price - we paid them exactly what the dealer was offering them for a trade-in.  I think that's fair for everyone.  You're getting a deal because trade in value is lower than private party value, and they get what they could get with no effort.

Maybe you should offer trade-in value with this rationale.

[FreedomInc]

I bought one of our cars from my SO's parents with a simple price - we paid them exactly what the dealer was offering them for a trade-in.  I think that's fair for everyone.  You're getting a deal because trade in value is lower than private party value, and they get what they could get with no effort.

Maybe you should offer trade-in value with this rationale.

Definitely considering that, but how do you find the true trade in value? Do you just research online, or do you actually go to a dealer and see what they'll offer?

[TheThirstyStag]

I bought one of our cars from my SO's parents with a simple price - we paid them exactly what the dealer was offering them for a trade-in.  I think that's fair for everyone.  You're getting a deal because trade in value is lower than private party value, and they get what they could get with no effort.

Maybe you should offer trade-in value with this rationale.

Definitely considering that, but how do you find the true trade in value? Do you just research online, or do you actually go to a dealer and see what they'll offer?

In our case the dealer that sold them their new car gave them a quote for their old one.  You could accomplish the same thing by asking Carmax what they would give.