Become a MacRumors Supporter for $50/year with no ads, ability to filter front page stories, and private forums.
Had forgotten about that option. What exactly is Apple's policy around all this? How long after a new release are the older models still available and how much of a discount is realistic (say on a MBP with 15" hi res screen). And reverse if I bought a current model now how does the exchange to the new version work exactly and how much does it usually cost to upgrade?

No restocking fees and you can return/exchange within 14 days no questions ask. Probably can't do it past the return date on the receipt tho (but I'm sure there is leeway the mgr can play with if it is close, and for product refreshes).

Old models probably just go to the refurb store online?
 
This is absolutely right.

EXCEPT that expectations of life cycle length can go wrong.

True. I waited for the March 2009 update. That was a 19 month gap since the previous refresh. Fortunately, I got xmas/birthday gift cards in December 2008, so I really only waited a few months. At the time, the threads about the new mini were EPIC. I just looked up the specs and really would have been just about as happy with the older model. What, a fifth USB port and better graphics? Weee!

BTW, I was running a Dell P3 733 Mhz win XP machine at the time (256MB).

I would like one of the unibody ones that are out now, but I'm happy with what I've got. Anyone waiting and needs a machine now, you might consider looking for a used one. Buy now and sell when the new one comes out. Old mini's are like a comodity and have inherent value. I've seen prices up around $300 for older ones (we're talking core 2 here), but I found one guy selling for $150. That's a steal in my book. He had it up for $200 and didn't get any takers. Find a deal like that and you might make money when you sell it.
 
Register on MacRumors! This sidebar will go away, and you'll see fewer ads.