Why is used pricing higher than new?

As someone who’s in the market, my question would be why is the used Tacoma pricing more than new? I assume for the impatient buyers or lack of research this can be profitable however if simply doing homework one can see there are still dealers with no markup, given a 1-2 months wait you can have new.

As an example I can comb my local Craigslist and easily list 5 2018-2020 TRDOR’s with 20-30k miles for 45k+. On the other hand ordering a brand new 2022 is ~41k depending on options. In my case, tech package and minor accessories.

Other than waiting 2 months, why would anyone opt to pay anywhere from 3-6k more for a 2-3 year older truck with 20-30k more miles just to get it now?

Am I missing something here or are the pool of potential suckers bigger than I thought as there sure are no shortage of higher than new priced Tacos for sale.

 

I think the main reason is supply and demand. People who have the money and want or need something now as opposed to waiting for a new car to be built/arrive. For some people it’s worth the extra money to be able to have it now.

 

Lack of supply. The American way is to want it right now. Toyota is cutting back again on production as well

 

Keep in mind some (shady AF) dealerships also tack on a "demand premium" post-sticker price so "list price"+ usual TTL fees isnt always the OTD price

 

Def agree with supply and demand. But to the ones that need it “now”, perhaps rent yourself a truck for 1-2 months, even if paying 2-3k of rental fees you’ll get yourself a new 2022, no miles and warranty. Still far from understanding here but hoping for good discussion.

 

Guilty as charged. Supply and demand is one thing, but it’s not like lead times are 8-12 months here like other unfortunate commodities. People are willing to give up a substantial amount of money for a used truck when a cheaper and brand new is just around the corner.

 

It’s funny because it was kind of the opposite when I bought my truck. I purchased mine in the last week of 2021 right before everything with prices went crazy.

I actually wanted a used Tacoma but it was cheaper to buy a new one and I found one with every single option I wanted sitting brand new on a dealership lot. Several thousand less than all the used ones I was looking at. 15K miles later it’s true love lol

 

I wonder how many people will total a vehicle this holiday weekend and begin searching for that replacement vehicle starting this week?

Only to find that there is a very limited supply of new vehicles to purchase.

 

I am at month 7 of waiting and it continues. I can see people not willing to wait that long and just paying the premium price for used to get it today.

 

It's not a new phenomenon. Back in '08 a friend of mine was shopping for a new Taco here in So.Cal. and found that used ones were selling for more then the new ones. This was obviously before any Pandemic or supply chain issues. Seems counterintuitive but must make sense to some people.

 

Ive been all over. Ive only found one dealer in my state selling at MSRP but they aren’t getting that much allocation.

I ended up having to order a higher trim lever than we wanted on a hybrid Highlander. Im paying over msrp but also getting more for the 4Runner I have then I would otherwise so its a wash.

 

Great point. However depending on insurance coverage (rental expense) and any other means of temporary accommodations I’m not seeing this as a complete justification for all that’s sacrificed. But def good point.

 

Geographically dependence wasn’t something i factored in. But here locally and in CA in general it’s not as difficult.

 

I wonder with the chip shortage if new Tacomas that are allocated are arriving with less options. Maybe a used loaded Tacoma with lots of options is commanding high prices.

 

Because all of the second gens are "used" at this point. Duh.

 

Another observation, this seems to apply mostly to Tacos. For example a 2020 F-150 is still substantially cheaper than a similar spec’d 2022.

 

Used was more than new at the beginning of the market change, but dealers caught on .

Now they are selling Tacomas with either ‘mandatory add-ons’ (eg. ceramic coating and wheel locks for $2500) or ‘5k market adjustments’ or both. Low supply means the wait can be months long .
Many even will only sell at specific pricing if you go thru their financing banks.
You want it now? Pay up .
Its just the high demand and low supply market. If you dont want to pay their price, there are a dozen people waiting that will.

They do it simply because they can.
It will be that way for a while. Id say once dealer lots nationwide start filling up on inventory, things will change.
But thats not likely to happen in the near future.

 

Dude. Go order a new one. You probably won't get it this year. Worth it? To each their own.

 

just bought a 2022 trd sport from a fleet manager yesterday. was only 1 of 2 he is getting in stock and they'll finish building the 2 by june 17. needless to say there's a lot of demand but no supply. i should see it around a month from now(hopefully)