A friend of mine had a first-generation Prius that she liked but finally that finally started having electrical problems. I don't know if that's common or if hers was a dud, though.

If you're looking to buy a small, serviceable car with good gas mileage, look at the Matrix. I have a Pontiac Vibe, which is the same car; both are essentially Corolla hatchbacks. It's rated for 32/36 but on open highway driving I've gotten up to 41 (which, if you compare, is still the best mpg estimate of pretty much anything in that size/price range). Not as good as a hybrid but it's less expensive to buy and will never have any hybrid-associated problems. They're compact and the back seats fold flat so you can haul stuff.