I have an opportunity to purchase a 2005 Escape Hybrid, with all the options, with about a 2,250 discount. I'm torn between taking that or waiting for a 2006. I expect I would get a similiar discount on a 2005. Does anyone have any opinions on the pros and cons? Here's what I have come up with so far:
2005
pro: currently available (in stock and like the configuration and color)
pro: 2005 tax incentive
pro: good price
con: first year model

2006:
pro: premium option package include heated seats (have on another car -
really like this option)
pro: second year model with any corrections learned from 1st year
con: no tax incentive at this time, unknown if will be

 

I'm sure others can tell you in more detail what differences there are, but from what I've heard so far I believe there aren't any major changes to the 2006 models (in terms of the hybrid systems)... so I don't know that you'll really gain anything in that respect.

Also, regarding the tax incentive issue, the federal and most state incentives I've heard of apply to the year (date) that the vehicle is purchased. So if you buy a 2006 model in 2005, you should qualify. So no real difference there either.

It looks like it boils down to the discount and immediate availability versus the premium package options.

 

You can discount the tax incentive because you will get the same $2,000 deduction on the 2006, and a long shot even more if Congress can get it's act together this year on an agressive energy bill. We know that you can get delivery of the 2006 within 6 weeks or so if you act now. The base price is about the same. We know that the main bug in the 2005 is lack of passive anti-theft alarm (which we hope Ford will fix soon). The 2006 has this. We know there have been some upgrades in PCM software in the 2006. It really depends on what you want in options (better in the 2006). In the 2005 you will save a couple thousand and save a few hundred on your insurance a year early and maybe some more on plates because of being a year older. Balance that with the built in depreciation. You want my best guess? Do you really care about a couple of thousand? I would wait and order the 2006 is it was MSRP or less. If they wanted any premium I would keep shopping or go back to the 2005.

Hope this helps.

Mike

 

The tax incentives go by the year in which you purchased the Hybrid or other "Clean Fuel" car. It does not matter what model year it is, so as long as you take delivery in 2005 you will get the 2005 tax year incentive.

 

Quick note on insurance:



Double check with your insurance agency. I currently drive a 2002 Taurus, and I called to find out how much my insurance would change if I bought a 2006 FEH. (Well, they still list the 2005 as new, so I didn't get a 2006 comparison, but I assume it will be the same.) My insurance only goes up by $5 dollars per 6 months...that's it.


I might be the execption to the rule, but just check it out.