Used Toyota cars can cost more than new ones

Used Toyota cars can cost more than new ones

July 19, 2021 0 By autotimesnews

You may want to reconsider your plan to buy a brand new model from the Japanese Toyota brand.

Funding rates for new cars are usually better than used ones. It has always been that way. However, CarsDirect found that buying a factory-certified used Toyota in July this year could be more expensive as used car prices are high.

In the CarsDirect report, the 60-month funding rate for used Corolla, RAV4 and Camry vehicles is 1.99%. This applies not only to gasoline engines. Hybrid models have become part of deals with relatively low annual interest rates, which could force a reconsideration of Toyota’s new car purchase plans.

By comparison, the new RAV4 currently has an annual interest rate of 2.9% for 60 months. In some cases, such as the new Camry, the annual percentage rate does not apply.

One of the reasons cited for this peculiar case of funding rates is the lack of new Toyota vehicles. This made it difficult to get manufacturer discounts on the new Toyota. This is to be expected given that demand exceeds supply.

CarsDirect even cited another bizarre and unprecedented move by Toyota dealers. Dealers reportedly ordered the automaker to stop advertising lease deals. Inventory shortages have impacted the price tags of Toyota vehicles, both used and new. Car buyers can expect high prices, with some used cars being more expensive than new cars.

Read also that the Japanese automaker Toyota has teamed up with renowned tuning companies to unveil several different redesigned versions of the 2022 GR 86 sports coupe.