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Toyota appears to be giving customers one more reason to choose a used car over a new one this July with better interest rates on select factory-certified preowned vehicles. Here in Los Angeles, these APR deals involve 1.99% APR for up to 60 months on the Corolla, RAV4, and Camry, including both gas & hybrid models.

To put that into perspective, the lowest rate on a new RAV4 is currently 2.9% for 60 months. In a more extreme case, most new Camrys feature no APR deals whatsoever in Southern California amid a supply crunch when buying new instead of used.

That’s a big deal because new car rates have typically been lower than used vehicles. Unfortunately, a gradual slide in manufacturer incentives has made scoring a deal on a new Toyota increasingly difficult as demand outstrips supply.

Toyota prices remain very volatile amidst an inventory shortage in both the new and used car markets. Consumers should expect to find higher prices than usual, with preowned prices reportedly managing to somehow exceed those of new cars.

As a result, those in the market to buy a car should be sure to weigh the benefits of buying a Toyota at a time when prices are extremely high. In what may be a prime example, the brand’s dealers here in Southern California recently told the automaker to stop advertising lease deals in what our records indicate is an unprecedented move.

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