Interesting. I would bet the stickers have nothing to do with demand in w ay that would affect lot time. We dont have stickers like that as a hybrid benefit in Houston, and the lot time is zero days here pretty much ( all presold or bought same day truck unlaods em).

Those dealers marking up like that will do so until they cant move the car at their asking prices anymore.

 

I'll agree, they are oppurtunists. But every single carsalesman I spoke with (and fleet manager) said the main reason is for the sticker, at least that's what they people say when asked why.

Two of the fleet managers (the two I mensioned) actually advised me to wait until after the sticker expire before purchasing it because the price will be more "realistic".

It could also be the tax credit, as well, which will start to diminish about the same time the carpool stickers are used up.

About the only thing I see left other than FE is the high gas prices which will probly come down a little in the future.


Thanks,
Shawn

 

Now this might have some impact.

 

Nope. The full tax credit on the HCH will last well into 2007. On the Prius it may begin to be phased out in the fourth quarter of this year. I would assume that once the tax credit on the Prius evaporates and the HCH still has it, there will be more demand for the HCH.

 

Good point. They are doing the tax credit based on the manufacturer, when the manufacturer produces 60,000 units the tax credit begins to phase-out. Honda started after Toyota.

It is one of the reasons why I'm choosing the Civic Hybrid over the 2006 Tacoma to replace my 2000 Tacoma. I'm not a car person, but after having done a mixture of research and soul-searching I've decided the Civic Hybrid works for me; in part because of the $3k gas savings annually I'll receive, in part because it looks like a normal car, and in part because of the tax credit. The tax credit has a lot to do with my decision.

Maybe I'm selfish but the way I see it, a car is not an investment. It's a money pit. Thus I want to spend as little of it as possible (in the long-run) and the Civic Hybrid and tax credit seems the way to go. (Keey in mind, I have to be happy with the car, the Insight and Prius aren't my cup of tea).


Thanks,
Shawn

 

You aint selfish. You are tellin like it is brother!

 

The credit went into effect for all manufacturers at the same time, with cars sold beginning January 1, 2006. To figure how long the credit will last you have to count all the hybrid models built by the manufacturer. For Honda it's the HCH, Accord, and Insight. For Toyota it's the Prius, Highlander, Lexus RX 400H, and now the Camry hybrid. Toyota will pass the 60,000 mark by June, but the rollback begins three months AFTER they get to the limit. Honda won't pass the limit this year.

 

I paid $23,499.95 for my Navigation equipped Civic Hybrid including Destination at P.S. Honda in Manhasset, NY.

vs.

$24,200 MSRP with Destination.

The Tax Credit HAS NOT been set yet for 2006. I spoke to Honda in Torrance and they have until the end of 2006 to submit it to the DOT & IRS. At that time we'll find out the exact credit amount (up to $3,400; the Prius is $3150 for 2006)

The amount you may see is based on the 2003-2005 model.

I spoke to the IRS as well on this.

Mode details as I get them....

Michael

 

One more note on the tax credit:

Just to clarify:
If the manufacturer hits the 60,000 vehicle mark in any calendar quarter, the quarter following that quarter will allow users to take the full tax credit based on the vehicle type and schedule. So if the manufacturer sells 60,000 vehicles on January 1, 2006, and even sells 2 Million (all these numbers are hypothetical) more by March 31, 2006, everyone who purchases that Hybrid model will get the FULL tax credit if they buy on or before June 30, 2006. Even if the manufacturer hit 60,000 vehicles on the last day of a quarter, then buyers in that quarter and the following quarter would be eligble for the credit.

The quarters are IRS defined calendar quarters that begin January 1, April 1, July 1 and October 1 of every tax/calendar year. So it is not 90 days after they hit, but rather the tax definition of a quarter...theoretically the full break could be in place for 182 days after the manufacturer hits the 60,000 sales number of hybrids. (Assuming it happened on the first day of a 92 day quarter followed by another 91 day quarter).

From the IRS:
Taxpayers may claim the full amount of the allowable credit up to the end of the first calendar quarter after the quarter in which the manufacturer records its sale of the 60,000th vehicle. For the second and third calendar quarters after the quarter in which the 60,000th vehicle is sold, taxpayers may claim 50 percent of the credit. For the fourth and fifth calendar quarters, taxpayers may claim 25 percent of the credit. No credit is allowed after the fifth quarter.


Disclaimer: Of course, always check with your professional tax adviser on matters such as these.

One more note, the 2006 Civic Hybrid has not yet been certified, however contact to Honda in Torrance California have assured me they are working on the paperwork and will have it submitted before December 31, 2006 (actually probably in the next month or so) which is the IRS and DOT deadline for submission.

Michael

 

Well, I was getting quoted through Penske Honda of Ontario, CA $26,900 for the Mag Peral Civic Hybrid w/NAVI, Splash Guards, dimming mirror, floor mats, and wheel locks via Costco membership auto services.

I got a phone call from Pacific Honda, San Diego via an internet sales inquiry via edmunds.com (if my memory serves) and they are quoting me (for the exact same as listed above) $26,023 to get the keys plus they have the option of a custom sunroof (which I really want), Penske will not put in a sunroof.

I changed my order to Pacific Honda for the $900 savings. It should arrive about the same time as the other would have, June 1st or so.

Silver was my second color choice for both dealers.


Thanks,
Shawn