Drew,

I've done quite a bit of research and data collection on the resale value of hybrids. Of course - the big question is what gas prices will be like when you sell it. Obviously if they are down closer to $2.00 rather than current prices, the resale values will likely be less than they currently are.

What my data is telling me for two year old civics (2004's) is that in my area they are going for about $18,500 for a car that sold new for $20,800 (MSRP). That's about 89% of MSRP after 2 years. Most of my data is for cars on dealer lots - so selling privately would net you less and trading in would net you even less yet. But I still suspect you could get 16-17K (for a 2004) or around 80% after two years.

One of the main selling points of my decision to buy in February 2006 was that I expected resale values to remain strong - that along with the hybrid tax credits (federal and PA) meant that I would be paying next to nothing for depreciation over the next 2-3 years. Keep the depreciation low and the total cost of owning the Civic hybrid stays low (as gas costs are obviously below 98% of the cars out there)

Good luck with your decision.

Eric