I would have filed papers already for small claims court. This would be a good case for Judge Judy. I am sure this was not the first time [or the last time] this guy got over on someone.
Yeah I contacted a lawyer to see what my options were. He said I could sue for damages equal to the difference between what I paid, and what a 205k Tahoe was worth. Blue book for this 205k Tahoe is about 7-8k which is exactly what I paid.
If I paid the blue book value for a 125K Tahoe (~12k-13k) then i could take him to Judge Judy for $5k and then pretty much all of that would go directly to my lawyer. So yeah, at this point I paid what it was actually worth, didn't get the screaming deal i thought it was. My time and sanity is worth way more to me. Call me "nice", but I just don't care enough to dick around with BS like this. I learned my lesson. Won't fall for it again.
My research tells me that this is EXTREMELY common. Apparently people roll back odometers all the time. No idea how they do it, but estimates show there are millions of vehicles out there. They like to take a vehicle that has high mileage but is in great condition.
Side story: my dad meticulously maintained a prius and sold it at 250k miles and it was in fantastic shape for its age. Next day he saw it back on craigslist with 110k miles for 3x the price.