3 Ways The Popularity Of Second Generation Toyota Prius Could Increase The Resale Value
Everyone has their opinion on what cars should cost. The thing that I believe most do not understand is when supply is short and demand is high, prices go up.
Thinking about the ever-increasing popularity of the second-generation Toyota Prius, will supply run short, and demand run high? I came up with three ways that I believe the resale value of 2004-2009 Toyota Prius will climb as the years move on.
Reason One: Extreme Durability
It is no secret (insert cheaper secrets story) that Prius has become a household name. So what has made Prius so successful over the past 20 years? The first thing I think of its durability.
I am involved in many groups on Facebook, Twitter, Instagram, and other social media places where Prius owners come together to chat. I often see loads of questions that Prius owners ask. A common one I find is for people who are looking for their first hybrid car.
Owners of Prius typically reply that owning a second-generation Toyota Prius is an excellent starting point, and I very much agree. The stout car has proven itself for hundreds of thousands of miles and requires essential maintenance. While many people are concerned about the hybrid battery failing, there are many places to get training and help with an aging battery.
Durability is my first reason to own a Gen2 because I know it is every bit as reliable as my old Tacoma pickup. It just keeps running. The other thing I would like to point out is that if it does break, the problems are super common, and repairs are easy and pretty darn affordable. I believe that because Prius is so durable, people who want one will learn this. The demand for an excellent used Gen2 will go up due to demand. Just a theory, of course, but I think it is a very plausible theory.
Reason 2: Low Mileage Well Maintained WIll Become Harder To Find
News flash, 2004-2009 Toyota Prius is not made anymore. That means all the little old ladies that were buying them ten years ago have probably died. That also means that the low mileage ones are starting to disappear.
The fewer cars there are to choose from, the more people will ask for them. I would put money on it that a clean 2009 touring edition Prius with low miles (less than 100k) will sit around the 7 to 9 thousand mark. I would also bet it will do that it will continue to do so as long as there is not a stable continual supply of them, which there no longer is.
You have to remember that not every Prius owner cared for the car as much or as little as you probably would. I have worked in dealers and independent shops as both a tech and service manager. I can tell you that a vast majority of Prus owners I have dealt with hardly ever wanted to maintain their car.
When the car finally broke down, it had been because of extreme neglect. The owners could not figure out what had happened. The owners did not want to pay the cost; the car was sold and went to another owner. The scenario that I have described happens all the time. If the owner would put a few extra dollars here and there into the car, it would last significantly longer.
This ever-increasing rate at which Gen2 is getting battered and beaten is a sign that the low mile clean ones will suffer a similar fate. It is the lifecycle of any car, but it does make it harder for people who want to own a good clean one to search more.
Reason 3: Simple Supply And Demand
If you have ever taken an economics class, this will make sense. If not, well, it still should make sense. If you have a product that is in high demand but supply is low, the cost of said product will increase. Simple, basic economics.
If you do not believe me, try and find a clean low mile Toyota Tacoma. Find a 2004 loaded one with low miles and beautiful, I would bet you it is going for 10 to 15 grand. Sounds silly, but it is the truth. Prius may not have a super high resale value like the Tacoma, but I think for what the car is, it will have a relatively steep price tag.
Anyone who has ever owned a Prius can tell you that the car was more than likely one of their favorites to own. I have owned four and still own 3. They are great first cars, good student cars, and ones that can be handed down from generation to generation.
These are my reasons why I think Prius will have a continual good resale value. What are yours? Drop me a line on Twitter @the_hybrid_guy and let me know what you think. Your idea could be in my next story.
Thank you for reading. I look forward to seeing you in my next article. Portland Cat Converter Thieves Get Caught
Watch the 2021 Toyota RAV4 Plug-in Hybrid Prime video presentation and click to subscribe to Torque News Youtube channel for daily automotive news analysis.
Peter Neilson is an automotive consultant specializing in electric cars and hybrid battery technologies. He holds a Bachelor of Science in Automotive Service Technology from Weber State University. Peter is also an Instructor of Automotive Technology at Columbia Basin College. Peter can be reached on Linkedin and you can tweet him at The_hybrid_guy on Twitter. Find his page on Facebook at Certified Auto Consulting. Read more of Peter's stories at Toyota news coverage on Torque News. Search Toyota Prius Torque News for more in depth Prius coverage from our reporters.