May13
When automakers first began offering hybrid models at the turn of the century, it was hard to validate the car’s higher purchase price — when compared to gasoline-only counterparts — against the relatively low cost of gas. However, as gas prices continue to rise, the case for purchasing a hybrid vehicle is becoming stronger.
With national gas prices hovering around $3.70, the time it takes for a hybrid to pay for itself has been drastically reduced. Just a few years ago, the higher sticker price of a hybrid took five or more years to be offset by fuel savings. But with gas prices at record highs, some hybrid will pay for themselves in just two or three years, according to USA Today.
Based on driving 15,000 miles a year, Edmunds figure that the $889 premium the hybrid Toyota Camry commands over a comparably equipped gasoline Camry will only take 1.7 years to be offset by fuel savings.
And as gas prices continue to climb, the payoff only becomes more attractive. When fuel prices averaged $3.61 earlier this month, it would have taken a Toyota Prius buyer 3.5 years to recoup the price difference from not purchasing a similarly equipped Camry. When gas prices rose to $3.67 per gallon last week, that figure fell to 2.6 years. Today’s fuel average is $3.71, meaning the time to break even has fallen even further.
On the flip side of the coin, high fuel prices are increasing demand for hybrid vehicles, which is ultimately making them more expensive at the dealership — offsetting some of the cost savings. But even so, the break even time is far less than even a few months ago.
But not all hybrids are equally attractive. The Toyota Highlander Hybrid SUV will take about 12.7 years to break even while the Saturn Aura Green Line will take 24.3 years. However, both of those hybrids are far more cost-effective than the Lexus LS 600h L, owning which would take 102.6 years to break even.
And when the gas bubble pops, the time goes right back to where it was. Plus, there is the total cost to the planet to make these things… I still think it’s a fad.
It is definately a fad. Gas is going to have to hit much higher than $5/gal to make these things worth it.
On the other side of the coin… the Tahoe Hybrid is supposedly the best one around in terms of return of investment. You save a lot more money going from 15MPG to 20MPG than you do going from 40MPG to 60MPG. Simply b/c you but more gas.
I’d like to think it’s a fad too, but clearly the evidence at least based on demand says that’s not the case. If the figures in the article are correct, the hybrid Camry is quite a bargain. On the other hand you have to laugh at the LS 600 and it’s 102.6 year break even point. It’s a good thing image is worth more than practicality when you’re among the affluent.
Retarded when you look at the fact that those batteries will take 100 year plus to go away. Hydro is the way to go sooner than we think. The hybird is only a temperary solution to a problem. Diesel is a better solution untill we get the hydro. Cant wait untill this fall within one year we will see a huge turn to diesel cars and light duty trucks in the US.
I’m gonna have to go with foster1 on this. Diesel really is the better temporary solution to the problem until fuel cell cars are in play. The only downside to that is Diesel, atleast around here in Iowa, is significantly more expensive than gas — like 60 cents per gallon more.
They’re the “flavor of the month” right now and will continue to be as long as gas stays high relative to wages. Too bad because the dolts who buy these things have no idea the cradle-to-grave drawbacks nor do they consider their break even point. Johnny…remember the Minivan and SUV fads..? They too driven by blind demand…
Funny story…I have a friend who was going to trade in a Cayenne on a Prius…not only was he going to take a hit on the Cayenne, he was paying a premium for the Prius, to the tune of $15k combined. When I asked if he had considered where the battery comes from, and where it will end up, along with doing the math for him, he stuck with the Cayenne and bought a 3yr old Mazda 3 for his commute, and still ended up “ahead”.
ive driven my prius 53000 miles in 16 months and have more than offset the marginal higher price and couldnt be happier. even if the battery were to crap out(no sign at all at 53k), the car still will get low to mid 30’s per gallon. the common misconception is that if the battery goes, you are sol. not true. the car will simply run on the gas engine alone. ive always driven gm, but i saw these rediculous gas prices coming and had to do something. even if the bubble bursts and gas drops back to 2.50 again, it makes too much sense for me to pass up this car with the mileage i put on. anyone who has driven this vehicle knows it is NOT a fad. combining it with diesel or hydro technology will create even better mileage. the technology is awesome and the so called “battery” crisis is a load of crap. these batteries will be RECYCLED and not just dumped at a landfill like the tree huggers want to believe. cows farting pose a bigger threat than these batteries….
How do you break even AFTER buying a new battery pack ?
I think truckers need to go on strike. There’s no reason diesel should be 60 cents higher than gasoline, NONE.
foster- fuel cells for hydrogen vehicles are also hard to dispose of.
Actually the name of the article is misnomer. It is not break even it’s recoup of price difference between two models. There is no price differnce with Prius since there is no equivalent non-hybrid. With Camry one assumes that when selling or lease ends investment of $900 into hybrid option will not be build into selling price of used Camry. After 3-4 years the second owner may appreciate the gas savings as well and may shell extra $900 for the pleasure. There is no price difference then. It is like diesel: Used Golf/Jetta with diesel sells for over 2500 then gasoline, not to mention it is pain to sell Golf/Jetta without diesel. Original price of diesel was $2000 (or I recall $1800).
What happens with battery pack is an obvious question mark, since no one knows the price of that expenditure. However, I would expect owners of original Prius to start lamenting by now about cost of replacement, but they don’t. I have 2 neighbors with original Prius and they are going strong after 6-7 years.
prius’ are dumb
Murphy, only 17% of an automotive battery can be recycled.
If I had a Pious (sic), it would get infinite MPG because I would never want to be seen driving it!!
The internal combustion engine was great in its day, but the societal and technological pressures and forces are such that it’s only a matter of time until it gives way….
I have great news for everyone who does not like Prius: prices on Hummers are way down. You may score two for the price of one. If GM is not you thing EVERY manufacturer provides tens of thousands rebates on most of V8. The bigger V8 the better rebate.
The Prius isn’t priced any higher than your ordinary car out there. And the milage in real world driving still doubles what most cars can even dream of. This is total non-sense that these cars are priced any higher. And the Prius is fully equipped in most cases with more luxury’s than cars costing $35,000.
Ignorant people who think the Prius are dumb are the dumb ones. Try going 450 plus miles on one tank of gas in any other car. And then fill your tank with only 8 gallons of gas. It’s not going to happen in a regular car. Know the facts before commenting with ignorant remarks.
The battery packs are warrantied for 100,000 miles, so you don’t need to buy a new battery pack.
There has never been a problem on a prius battery, going bad and toyota not taking care of it over 100k or not. Even thow they only warrentie it for 100k. The battery is reliable. But they cannot reuse then type of battery it is it has to be thrown away. But the prius is a realy hybrid made for just SULVE and MPG the Corrolla gets. almost just as good as gas milage with the manual. The TDI Golf 2005 gets just as good as the Prius. ANd is less money. And is fun to drive.
The Prius has been on sale since 1997, one would think that if there were any serious battery reliability problems, we would have heard about it on for example this site.
Or you can just make more money to offset the money loss on your V8 powered car.