As car buyers research fuel-efficient vehicles in the wake of sky-high gas prices, more and more are asking if the price premium for a hybrid is worth the savings they'll realize in fuel costs. A recent study from NADAGuides finds "that only a handful of hybrid vehicles make financial sense." The group looked at ten different cities and a number of different driver mileage profiles to determine the true dollar value of hybrid savings.
Not surprisingly, hybrids pay for themselves faster when gas is more expensive. That being said, if you live in an area such as California, a hybrid makes more financial sense than if you lived in, say, Missouri, which has the lowest gas prices in the country as of today. But even given the local cost of fuel where you live, your commute distances should be taken into account.
"Drivers near major cities often have a wide range of commute distances, which means that the break-even point can be dramatically different from one person to the next," said NADA's Tara Baukus Mello, senior writer and lead market analyst for NADAguides.com. "For example, if a Houston-area commuter travels 12 miles one way to work, driving 10,000 total miles annually, while a Los Angeles-area commuter travels 25 miles one way, driving 15,000 total miles annually, the Los Angeles commuter recoups his investment almost 80 percent faster."
Even for the high-mileage California driver, however, only a few hybrids actually allow the driver to recoup the cost if they hold onto the vehicle for five years and track 15,000 miles a year.
The cars that have shortest time to break even are featured in the gallery above:
- Toyota Camry Hybrid
- Chevrolet Malibu Hybrid
- Nissan Altima Hybrid
- Toyota Prius
- Honda Civic Hybrid
The Prius's spot at number four on NADA's list is somewhat debatable as they used the four-cylinder Toyota Camry LE as a comparison benchmark for fuel, whereas we'd probably compare it to a Toyota Corolla instead.
Out of the above choices, which one would you earmark if you were shopping on fuel savings alone?
+ Top Hybrids by Fuel Cost Recovery (NADA)