It you are in the market to nab a lower priced Apple iPhone, the word is AT&T stores in the New York area have stock of refurbished 16GB Apple iPhone 3G handsets which they are pricing at $149.00 with a new two year contract.

There’s no real confirmation of whether this rumour is fact, but the guys over at BGR think the info looks legit, although they are reluctant to go with any confirmation.

These refurbished 16GB Apple iPhone 3G’s are apparently not available as an upgrade, so you will need a new activation at the AT&T store, and is apparently limited to one per customer.

Source – BGR