I paid $4000 at a dealer for my 2008 with 183000 miles. I did a quick KBB check (buying from dealer and maybe skewed to my West Tennessee ZIP code), and $5000 looks like a fair price. Fair market range was $4600 to $6300; fair purchase price was $5500; suggested retail $6200. I really like my 2008. Good luck.
Location is very important and condition is the overriding factor in the value of any car. That being said, the price seems a bit high for a dealer and very high from an individual. An individual would likely get less than $2000.00 for this car as a trade-in - barring those $3000.00 minimum trade push, pull, or drag scams.
Seems a little high to me, but certainly depends a lot on the condition of the vehicle. Also I tend to personally avoid buying from dealerships so that adds money right there. I just bought an '04 AWD for 2900. It is in (as far as I can tell) good condition and has very little rust (unusual for a 12 year old car up here). I paid about KBB for it, but consider that an AWD Matrix from the same year Blue books for 3900... This was also all private sale. Do they have paperwork for how the car was maintained? That can be a huge plus as far as knowing what you are getting into.
2004 AWD Vibe -- slowly being built into a soft adventure vehicle.