Incentives: Purchasing a New 4Runner

[solargroovy]

I'm new here but I've been lurking for a while as I get ready to purchase a new V6 Sport 4Runner. I have a bunch of questions, but let me start with this. Can anyone help me with how the inventive programs usually work from Toyota. Here in Houston the current incentive (until 28 February 2006) is $1500 off or 2.9% financing (but the fine print says that is for a 60 month loan, yuck). After the 28th, will Gulf States Toyota likely come out with another incentive program? Is there a decent chance next months' (how long do they usually run?) program will be better? Or should I take delivery before the end of the month to take advantage of this program? I may not be able to because I don't have the purchase money together yet, but I'd like to know a little about how these incentive programs work.

Thanks.

 

[Uneek]

Not sure about Texas. But for reference, in CA, the rebate was $750 in Nov '05, $1000 in Dec '05, $1500 for both Jan and Feb '06. Most offers last until the end of the month. I don't recall Toyota pushing many incentives around March to May. They usally start them up again around June. I could be wrong though. It's possible on Feb 28, your sales rep may already have information in regards to the upcoming rebates. My rep told me what rebate amounts were for the following month when I was placing an order for my truck. If he has the information and is willing to give it to you, you could decide if this month or next is a better time to buy. Wouldn't matter too much to him, as the sale is the most important to him.

Not having all the money together should be ok. I wrote my dealer a check on two different cars and both times asked them to hold the check for a week before they cash it. I remember being offered this option with other dealers as well.

Good luck.

 

[Kensho4rnr]

Michigan has $1,000 for Feb

 

[icsfsedod]

If you can qualify for the 2.9%, then there is no reason not to take it. Not sure why it matters if the term is 60 months or not since the note is simple interest with no early payment penalties. I took the 2.9% for 60 months to get the good rate, and will simply pay it off in 2 years instead of 5. No big deal, I get the good rate and short Toyo Motor Credit on their expected interest.

Banks in Central Texas aren't even close to the 2.9% rate (generally around 5.5% for 60 months) and with the Fed saying they will probably raise rates again, I would expect Toyota will end this soon as well.

As another member said, cars sell good March-May, so most deals and rebates are reduced or eliminated during those months. The cold winter weather works in your favor since many buyers aren't willing to deal with the bad weather to look at cars.

For example, take the current deal, 1500 cash back or 2.9% for 60 months.

Assuming a financed amount of $30,000
Taking the $1,500 cash back and financing at the current bank rate of 5.5% for 60 months you get:
Monthly payment of $544.38
Total Paid at 60 mon.: $32,662.99

Taking the 2.9% for 60 months from Toyota you get:
Monthly payment of $537.73
Total Paid at 60 mon.: $32,263.72
or a Monthly Savings of $6.65 and a total savings of $399.27.

While that isn't much, I'll take the free $400 and put it into my truck.

 

[gRunner3]

When I bought my 4Runner last June in Houston I seem to remember the incentives for a V8 being about the following:

April: $800 - $1000 rebate or 3.9% for 60 months
May: $1000 rebate or 3.9% for 60 months
June: $1000 or $1500 rebate or 0% for 60 months


I special ordered my vehicle in April and received it in June, meaning I got the incentives that were available in June. Worked out pretty well for me since it was better than what I'd have gotten in April. By the way, I took the 0% financing since I calculated that as saving me more money than taking the rebate and using a credit union to finance at something like 4.15%.

 

[solargroovy]

Thanks for the replies. A loan with no prepayment penalties makes me feel a lot better. But it sure would be nice to have a crystal ball and know for sure what kind of incentives (if any) Toyota will be offering in March.

I drove a Sport V6 last week and know this is what I want (except I have a list of options to add ). And thanks to this forum, I know to get different tires than the stock Dunlops. :

I'll keep y'all posted and send a pic when I finally drive off the lot.