Used Toyota Hybrids Are Selling For More Than New — Here’s Why

Most cars suffer worth nan infinitesimal they time off a dealer’s lot. The RAV4 hybrid gains it.

Used, late-model versions of nan RAV4 hybrid often database for much than their original sticker prices, moreover pinch thousands of miles connected their odometers. In immoderate cases, they costs much than a caller 2026 exemplary caller from nan Toyota Motor Corp. factory.

The value inversion seems to defy a earthy rule of used-car economics. But it illustrates immoderate of nan astir powerful forces driving nan US car marketplace this year.

The Iran warfare sent state prices surging, pinch nan nationalist mean for regular good supra $4 per gallon. Some car buyers person responded by snapping up utilized electrical vehicles, which often waste astatine a steep discount from their original price. Others who are either unwilling aliases incapable to spell afloat electrical person turned to hybrids, which brace an electrical centrifugal pinch a gas-burning engine. Long considered a niche merchandise successful nan US, they’re now highly coveted.

And for nan infinitesimal astatine least, location aren’t capable caller hybrid RAV4s to spell around.

Production deed a lull past twelvemonth arsenic Toyota stopped building nan 5th procreation of nan compact SUV and started making nan sixth. With less caller RAV4s reaching showrooms, galore would-be buyers person been stuck connected waiting lists. Used versions — arsenic agelong arsenic they’re from a caller twelvemonth and successful bully style — bid a premium, moreover topping nan database value of a caller car.

The hybrid RAV4 gets upwards of 40 miles per gallon, good supra nan US new-car mean of 27.2 mpg. It’s celebrated capable that Toyota discontinued each non-hybrid versions of nan RAV4, starting this exemplary year. And Brandon Wingate of Albany, Georgia, decided it was conscionable what his family needed.

He and his woman were sold connected its roominess, Toyota’s estimation for reliability and nan hybrid’s committedness of savings astatine nan pump. Wingate paid $32,000 successful February for a 2024 RAV4 pinch 44,000 miles connected it — a car that listed for $38,735 erstwhile new. He drove astir 5 hours crossed nan authorities to test-drive it aft spotting it online and was only capable to haggle nan trader down $500 to compensate for a mini model crack.

“There’s nary negotiating anymore — you fundamentally salary nan asking price,” said Wingate, 42, an IT technician. “I’m conscionable gladsome to person bought erstwhile we did, because prices for nan aforesaid conveyance are up anyplace from $6,000 to $8,000 since then.”

Indeed, CarMax precocious advertised a 2024 RAV4 Hybrid XSE pinch 29,000 miles for $46,998, which is higher than that trim’s original $38,735 sticker price.

Carvana listed a 2025 RAV4 Hybrid Limited pinch 5,606 miles for $48,590. That’s a cool $6,040 supra nan manufacturer’s suggested unit value erstwhile it was new. It’s besides much than nan $43,300 sticker value of a 2026 Limited model.

The shortage fueling those precocious prices should extremity arsenic Toyota scales up production. “We person a very methodical cadence of ramping up to guarantee precocious quality,” Cooper Ericksen, Toyota’s North American caput of merchandise readying and strategy, said successful an interview.

For now, however, Toyota has little than 5 days’ worthy of caller RAV4 hybrids successful its US showrooms, acold beneath nan company’s wide inventory of astir 15 days.

“We’re trading each 1 we person successful banal and person rather a fewer pre-sales” said Ryan Redding, wide head astatine Jim Norton Toyota successful Tulsa, Oklahoma. Customers unwilling to hold often look for utilized RAV4s, he said, which intends they’re besides successful precocious demand. “Most of nan time, we don’t waste supra nan original MSRP,” Norton said.

Consumer Reports warns that caller 2026 RAV4s are trading for astir 4% much than their sticker prices. Managing Editor Jeff Bartlett, successful a caller blog post, wrote that prices should separator down arsenic accumulation revs up, but “because elevated state prices whitethorn support liking successful nan RAV4 high, don’t expect discounts immoderate clip soon.”

With nan mean transaction value of a caller car successful nan US now astir $50,000, utilized cars person surged successful popularity. So excessively person hybrids, which not only trim substance costs but fto drivers usage road carpool lanes successful astatine slightest 12 states. Once constricted to a fistful of models for illustration nan original Toyota Prius — pinch a style often compared to a food wedge — hybrid drivetrains are now disposable successful astir each people of rider vehicle, including nan Ford Motor Co. Maverick pickup, nan Kia Corp. Carnival minivan and Stellantis NV’s Jeep Cherokee SUV.

Some of those hybrids bid precocious prices used, though not arsenic consistently arsenic nan RAV4.

Carvana, for example, lists respective Honda Motor Co. hybrids pinch asking prices adjacent their prices erstwhile recently sold. It precocious advertised a 2024 CR-V Hybrid Sport Touring type pinch 14,000 miles for $40,590, conscionable beneath nan original guidelines sticker of $41,595. Data from CarGurus, a website that lists vehicles for waste by dealers and different sellers, show that 2 of nan 3 types of 2025 CR-V hybrids database for astatine slightest 90% of their original MSRP, and each 3 trims of nan 2024 exemplary twelvemonth clasp 80% of their first value.

All utilized RAV4 hybrids from nan 2024 exemplary twelvemonth onward bid prices of astatine slightest 90% of their first MSRPs, according to CarGurus. Of nan 7 hybrid trims offered successful nan 2025 exemplary year, 4 now database for much than their original sticker prices.

“Toyotas are successful wide reliable to find, and hybrids are reliable to find,” said Kevin Roberts, head of economical and marketplace intelligence astatine CarGurus Inc. “If you’re struggling to find a caller RAV4 hybrid, you mightiness salary much for immoderate utilized 1 you tin get your hands on.”

While unusual, Roberts said that’s not unprecedented. Used-car prices spiked during nan Covid-19 pandemic, erstwhile automakers trim caller car accumulation and removed definite features for illustration heated seats owed to spot shortages.

Prices for utilized hybrids, however, person climbed precocious capable this twelvemonth that immoderate buyers opportunity they can’t warrant nan disbursal — moreover knowing they’d prevention connected gas.

Peter Aviles, a retired location inspector based successful Fort Lauderdale, tested a 2021 RAV4 hybrid successful April but alternatively bought a gas-only 2022 type for his picnic location successful Puerto Rico. He wanted a RAV4 because of its estimation for value and precocious resale value, but he wasn’t consenting to salary nan premium for a hybrid.

“It gets bully capable substance economy,” Aviles, 75, said. “And it tin grip nan potholes.”

Dawson writes for Bloomberg.