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I'd like to suggest a slight re ordering of your list in two areas:
First you should agree on a price (and it should be at least 1k UNDER invoice) and then you should check on financing improvements from the dealer. Actually it seems this has already been covered, but it's worth repeating. Dealers LOVE to negotiate several things simultaneously (like financing, trade in, worthless extras like window etching, alarm systems, and under carriage rust proofing) and this invariably ends up a plus for them and a rip off for you. For example, often times the trade in value will change in the exact opposite direction and proportional to the new car price.
Second, you'll need the insurance before you drive the car home....so make sure you have that sewn up too.
Finally, I think you can't go wrong with either the toyota or honda...both make awesome vehicles, especially in the compact category.
-bear
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It's alot easier to ask for forgiveness then it is to ask for permission.
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