Dealership tells me I need a rear wheel caliper repair. Estimated cost of $500. Is this reasonable? I have Toyota Highlander 2003 model.
I'm going to assume that they charge a much more expensive price than anyone else would charge for the part. Also, they are most likely much more expensive labor rate than any shop that works on Toyota. So, in terms of a dealership price, it sounds like what I would expect to hear for the job.. The labor on the job is likely to be somewhere around 3.5 hours so if they charge 90 and hour then this would be $315 of that $500 bill that you're looking at.
Also, is it just a caliper replacement? They should be replacing both rear calipers (although it's not a must, it is considered goot practice). they should also be replacing the rear pads and also rotors (if they've been damaged from the caliper failure).