Steve -
I've always done it your way. My boyfriend was just arguing the opposite way - that by buying new you get the full warranty and the zero financing and incentives. He feels that dealers have a lot of benefits they throw at you to get those new cars out. So from his point of view you don't gain much in a lower price by buying used, your interest rates are higher, you lose the warranty, and the no-damage state of the car. Someone else could have treated the car in a way you don't agree with.
We were just on a Toyota lot and used Priusses with 80k miles were going for pretty much the same price as new ones, and with none of the same "new car" financing / benefits. So maybe this car in particular holds its value.
