Hey Steve,
I picked up a CPO 2004 last year and we love it. You may be able to do better on price, our's is loaded, all options except nav/dvd and leather, and it was $17.5K with 53K on the clock and the full factory warranty for 6 years/100K.
It is light years ahead in quality and ride of my sister's Tahoe. The Sequoia seems to be holding up better also, ours looks brand new inside still. MPG is not great, 15 around town, I have seen 20 mpg on long highway trips cruising at around 75. Towing is not an issue, I don't think I would even know that my 944SPEC car was behind me!