SugarRush

I am eyeing a CPO 07 RX350 AWD with nav, premium plus package and no Mark Levinson. It has 17,000 on the odo. Tried edmunds and KBB and both agree that the dealer-retail price of such vehicle should be around $38 - $38.5K and private party in $33-$35.5K range. Without any haggling, a second local dealer offered me $41,000 (around 500 above invoice) for a similarly equiped vehicle, brand NEW 2008 RX350 AWD.

Questions:
Is there any sense in going with the used 2007 above if the first dealer insist on $38K price? From my research, I am willing to pay $36.5K max for the CPO with 17,000 miles but nowhere the $38K. Too close to the price of new ones. Am i not realistic here?

Does the RX350 retain its value that well to have so little differences between buying new and buying one-yr-old late model used? I thought first yr deprciation of a new car is the highest?

What is the realistic price to start this negotiation? From past experience, I know i need to start low, as low as the private party value or even using the trade-in value?. Help/advice is appreciated

steiner

Before I bought my 07, I looked at used 06, 05, etc. Final analysis showed I would be bettter off with a brand new 07. That's what I went for. I had same types of question back then.

sportsfan8

Just buy new. Nothing like being the first owner of a new vehicle and smelling that "new car" smell.

mandyfig

Haggle the best price on a NEW 08, you will not be sorry. Otherwise, set a price for a used car that you will not go higher than. Then the hunt begins. Good luck!

SugarRush

Thank you for the replies.
I think i will follow mandyfig's suggestion first and see how long the hunt going to take....before i loose patience and buy new one.

Frankr66

its a lexus, you may find the high resale a pain now when buying, but you will be loving it when it comes time to sell!

Battousai

Here is my 2 cents:

depend on where you are located.
I purchased my 2007 RX350 in 2006 with AWD, full package with NAVs (no mark levsion, as this wasn't even available at the time)

MSRP was around 45k, quoted by different dealer around 41k and 40k (in another state)

I puchased my at 40800.

If I were you, I would not buy the used 2007 for anything more than 38000.
Think about it, the 2009 new model is coming out soon in less than a year. they are already given discount on 2008 that has never happened so deep before.

However, keep in mind that your 2007 is an used vehicle. what i said above applies to new cars only. Dealership has their ways with new and used cars. dealers tend to be more willing to sell new car than used car. Used car has longer shelf life at the lot, used lexus usually sell fast. demand is higher than supply for used car.

used car market is different than new car for lexus. the new 2009 model would not have any effect on the used 2007, only on 2008 new. lexus retain their value very well, given 1700 miles and it is still 2007. 38k is a great deal.

If you can't get your them to sell you at car then consider buying new.

The G Man

I would never buy a used Lexus just to save 3 or 4 thousand bucks. Either buy a 3 to 4 year old Lexus or buy a new one.

mandyfig

Good advice. A good price on a 3 year old Lexus still under warranty is your best bet. Then invest in an extended warranty for peace of mind.

SugarRush

Thank you guys.... I will post pic when I get her