Depreciation Hit - Lower on Newer Truck or Older Truck?

I am looking at picking up a Tacoma to pull around a trailer for a year across the country for a project I have coming up next year. I will be pulling a 13ft. Scamp and living in it as I do a few different documentary shoots. I have settled on a 4 cylinder Tacoma for MPG and reliability.

My question comes on depreciation. I will use it for a year and most likely sell it after the project comes to a close. Do you think it would be better to spend 11k on a newer 2008 PreRunner with 28k or would it be better to buy an older 2002-2003 2WD around 90-100k? I anticipate putting on 20-25k over the course of the year. I just don't know if the mileage hit on a newer truck will depreciate it faster than an older one or if it is worth the extra money up front for the reliability of something newer? Thoughts?

 

I don't think anyone can answer that..... it all depends on YOU!! For the most part, tacomas hold their value. If the value drops - it'll probably be because of the mileage you've racked on it.

For example:
If you shop around and find a nice 1st gen from a private seller who's desperate to get rid of it and you haggle to get a better price.....VS buying that same truck from a dealer who'll rape you.

Then -in 2 years.... turn around and sell it privately and find someone who wants it bad and willing to pay top dollar for it .... VS ... Trading it into a dealer who gives you nothing for it.

If this is something you're only gonna use for 2 years.... it'll only be worth it if whatever you buy....is PAID IN FULL. Doesn't matter what you get, first gen or 2nd gen..... DON'T GET A LOAN or you'll get raped for interest.

 

A Scamp 13Ft. is pretty small. It weighs about 1,000lbs. Amongst Scamp owners there is a guy who is averaging 22mpg with his.

 

It will be paid in full. I will be buying from a private party versus a dealer. I am just unsure how much of a hit it would take from mileage.

 

Per US gallon.

 

Well the older the vehicle the more it has likely depreciated and the less it has left to depreciate. If you do not plan on keep the truck for the long run you would probably be better off buying the older truck. That is if the older truck is still in good mechanical condition and won't cost a lot to keep on the road. Plus and older vehicle is generally cheaper to insure and license.

 

Instead of asking, use Kelley Blue Book online calculator. This way you get average pricing for your region. Check the private seller value for a 2008 PreRunner with 28k vs 50k. Then check the same for a 2003 2WD with 90k vs 113k.

 

The best you can do...is do some research online at private sellers ads and find out what trucks are going for with XX mileage.
www.cars.com
www.autotrader.com

But honestly? Why worry about the depreciation? If you have a task to perform and you need a truck to do it.....just get it done.

 

If the documentary is for commercial purposes the costs of the truck might even be tax deductable in some way. (Caveat: IANAA, nor do I play one on TV)

 

Very good point...look into the tax angle.

IMHO...the 2nd Gen is a better tow vehicle.

6 cyl versus 4 cyl for a trailer the size of a Scamp might be a mute point, depending on the terrain; i.e. might want the extra power if a lot of mountainous territory will be traversed.

But the 4cyl/5spd is uncomplicated and very dependable; tows both my 7x12 flatbed trailer loaded with 3 ATVs (about 2500 lbs total) and my 6x10x7 high enclosed cargo trailer (about same weight loaded, but add wind resistance) without a problem. The wind resistance seems to make the biggest dent in fuel mileage.

Additionally, if you anticipate being in wintry conditions, consider 4WD.

As far as depreciation, these trucks hold value very well. As already stated here, look at KBB/NADA/Edmunds. Determine the book value difference for like trucks with various mileage. Figure the ratio, and then plan to loose about that when you go to sell it in a year or so.

That's my two cents...