Great Time to Buy a Used Hybrid

According to Kelly Blue Book, there’s never been a better time to buy a hybrid—if you buy it used.

As you might expect, KBB’s case is a hyper-rational economic argument that calculates the purchase of a hybrid solely as a means to save money at the pumps, with a consumer expectation that a relatively higher upfront cost must be quickly recouped.

As we’ve argued many times, consumers are usually not rational, and saving money at the pumps is only one of many reasons to buy a hybrid. Other vehicles segments—such as high horsepower cars or trucks with towing capacity—are not put through the same return-on-investment schedule. (Even when that horsepower and towing capacity is barely used.) Yet, a hybrid buyer’s desire to invest in cool new technology, use less petroleum or reduce emissions is seen as economically irrational, where performance or luxury items are seen as desirable features worth the money.

Nonetheless, KBB has a good point: Used hybrids are a great deal these days. Here’s the argument:

  • Historically, hybrids have retained their value, outpacing the overall market. In fact, $4 gas meant huge hybrid premiums and dealer mark-ups. The times have changed.
  • Low gas prices are a major factor. Steady prices at the pumps have resulted in a relative lack of demand for new hybrid vehicles.
  • At the same time, technological improvements in gas-powered cars, like the Ford Fiesta and Chevy Cruze, are giving hybrids a run for the money in the new car market—especially during the recession.
  • This has put a downward pressure on hybrid residual values and prices on used hybrids.
  • In this period of low gas prices, spending less on a used hybrid—rather than a new one—means a quicker payback period.
  • KBB says the payback period on used Honda Civic Hybrid is reduced to five years, rather than 16 years supposedly required for a new purchase. (Yet, despite lower gas prices, the premium on a Toyota Prius apparently has held firm and doesn’t help the used buyer as much.)

According to KBB, consumers are recognizing the good deals on used hybrids—which allow car buyers to protect themselves against future gas spikes, while obtaining the environmental, geo-political and high-tech advantages of a gas-electric vehicle at a lower price. The proof? Monthly web traffic for used hybrid vehicles has recently increased by as much as 20 percent.

More Hybrid News...

  • bagsok

    good!!! thanks for your sharing

  • Anonymous

    used civic hybrid is probably taking a big hit due to stories of battery issues

  • veek

    Yes, thanks for this article. It’s hard, though, to find used hybrids where I live — most owners seem to keep driving them, and the Toyota dealers we visited were charging new-car prices for their used ones.

    Buying a used hybrid may have several other cost advantages. Depending on your state, you could save considerable sales tax and registration fees, and probably will save on insurance costs as well. Consumer Reports seems to indicate they hold up well,and it would seem they are driven conservatively and maintained well, although a previous Hybridcar article mentioned some Civic owners reported mileage may decrease with age, and any CVT repairs can be expensive. I’m glad that an alternative to new hybrids exist for those who do not choose to pay for a new one.

  • BoilerCivicHy

    2 years ago I had to drive 2 hours to find a used Ford Escape, as it was one of the few hybrids that offer enough room for a family. Used hybrids can be hard to come by, but well worth it.

  • Timmm

    Hybrid cars are the future.

  • Hybrid cars advantages

    I’m so amaze with hybrid cars. The features makes me realize many things like instead of contributing pollution from everyday driving,why not drive but not affecting the environment.

  • Prius

    I’m in agreement with KBB. From a purely monetary based decision, it’s a great time to buy a used hybrid. Without big government incentives,it’s hard to justify alone, the environmental benefits. But with a price more inline with the savings, then it’s a much better argument for buying a hybrid car compared to a conventional one.

  • jayabaya

    I think, before buying hybrid cars, try browsing and look at reviews hybrid cars on the review sites. That’s very nice, to be able to find information a good place to buy hybrid cars.

  • tapra2

    a hybrid buyer’s desire to invest in cool new technology, use less petroleum or reduce emissions is seen as economically irrational, where performance or luxury items are seen as desirable features worth the money.Top VPS Hosting

  • sandy

    I appreciate, lead to I found exactly what I used to be having a look for. air duct cleaning

  • Anonymous

    Your music is amazing. You have some very talented artists. I wish you the best of success. photo slideshow maker

  • Anonymous

    Thanks for the post and great tips..even I also think that hard work is the most important aspect of getting success.. loans rated

  • jay11

    Thanks so much for this information. I have to let you know I concur on several of the points you make here and others may require some further review, but I can see your viewpoint.
    best apps for Google Chrome

  • jay11

    Positive site, where did u come up with the information on this posting?I have read a few of the articles on your website now, and I really like your style. Thanks a million and please keep up the effective work.
    eben pagan guru product blueprint

  • jay11

    I am very much pleased with the contents you have mentioned. I wanted to thank you for this great article.

  • Anonymous

    Very interesting blog. Alot of blogs I see these days don’t really provide anything that I’m interested in, but I’m most definately interested in this one. Just thought that I would post and let you know.
    salutations –

  • jay11

    Thanks for taking the time to discuss this, I feel strongly about it and love learning more on this topic.
    Western Sky Loans

  • jay11

    Thanks for the nice blog. It was very useful for me. I’m happy I found this blog. Thank you for sharing with us,I too always learn something new from your post.
    convert mts to mov

  • Aasdsdsaddsas

    Pretty good post. I just stumbled upon your blog and wanted to say that I have really enjoyed reading your blog posts. Any way I’ll be subscribing to your feed and I hope you post again soon. Big thanks for the useful info. 5 best free apps

  • vswebspace

    These type of articles keeps the users interest in the website, and keep on sharing more … good luck.bollywood songs