Ford Pricing during Covid

[Doobster6]

Are there any lawyers here? This sounds like a class action lawsuit to me. Ford is selling these cars knowing they’re gonna go down in value. And then unsuspecting customers owe money for that car, and they can’t drive a brand new car every 3 years. Seems shady.

Ford doesn’t control the resale value of used cars, the market does. Sadly, in the day of rampant mis and dis-information, countless anti-EV messages are ‘flooding the zone’ and making buyers wary of buying one, which reduces demand for used ones unless the price is attractively low. Given the true/real data arriving about the longevity of EV batteries and their range, and the reduced operating costs and maintenance for these cars, their 3-year resale value should be higher than ICE-cars, or at least as good, but sadly the widespread internet-of-ignorance currently has the upper hand.

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[Blue highway]

Just a guess, but at that rate, I'm suspecting you maybe rolled some negative equity into the new loan with your trade? And paid a dealer markup. And possibly got a really bad interest rate. If not all three, then at least two of them.

Depreciation is one thing, but if you also made bad buying decisions on top of that, you're just compounding the issues.

Again, just a guess - but I've read a ton of these stories and typically the people that are REALLY upside down on their loans made some really terrible decisions when buying. I really hope you have GAP insurance.

Magic 8 ball says that if you add the above to a ridiculously long loan term and like magic, you owe lots more than its worth... Magic!

 

[SonicBlue]

Ford doesn’t control the resale value of used cars, the market does. Sadly, in the day of rampant mis and dis-information, countless anti-EV messages are ‘flooding the zone’ and making buyers wary of buying one, which reduces demand for used ones unless the price is attractively low. Given the true/real data arriving about the longevity of EV batteries and their range, and the reduced operating costs and maintenance for these cars, their 3-year resale value should be higher than ICE-cars, or at least as good, but sadly the widespread internet-of-ignorance currently has the upper hand.

Well, we’re just gonna have to agree to disagree, I guess.

I don’t want to live in a country where people can’t upgrade to a new car every 2 or 3 years. There should be a law which allows us all a do-over if the car depreciates by 50% within 3 years. I feel so terrible for the OP. He’s stuck in a three year old car that’s losing value!!

 

[ack154]

EDIT: I guess it's time for lunch if my brain isn't going to function.

 

[Clockwork]

This is honestly an absurd thought. There are plenty of places our government could help to keep people from making poor financial decisions - ESPECIALLY with auto purchase/financing - this is 100% not one of them. OP got a good rate, appears to know what he signed and agreed to purchase, and is now feeling the pain longer than he maybe anticipated. Live and learn.

Of course a 3 year old car is losing value. Just like a 1 year old car or a 10 year old car. That's what they do! I mean, if you want to argue that point, why not say we need a law to guarantee 95% of the value of a new car within the first 6 months? Everyone knows depreciation hits the hardest driving it off the lot - so let's just ban that all together. No more depreciation on cars! Or maybe make a mandated depreciation schedule! After 1 year it must still be worth "x", after 3 years, it must still be worth "y". That will certainly keep people from making stupid purchasing decisions and save them from themselves!

I think you missed the sarcasm.

 

[ack154]

I think you missed the sarcasm.

I think I might have. This is why we have /s. For people like me.

 

[Chuck]

I bought my 21 MME Premium in nov of 21 during the “shortage” but I really needed a car and love it. Unfortunately I still owe 45k today. After price drops and such it looks I made a 20k mistake. Anyone run into this or have a possible solutions. Want to trade up to a newer version but can’t just eat 20k to do it.

It's not a mistake if you need to sell it. It's only a paper loss.

 

[Stanmckinney]

I paid more than $700 for a stainless steel Apple Watch. Apple offered me $50 on a trade for a new one. The band costs more than $150
I bought my 2023 Mach e at sticker by ordering it and got X plan. I also got the $7500 tax credit.
I have no loss on either unless I trade them.
It’s capitalism pure and simple. We just have to accept that.

 

[mtjrfa2233]

I bought my new car at the end of 2023. Two months later, they had a significant price drop. Now, I’m seeing 2023 models selling used for $25,000. I find it incredibly surprising.

The dealer tried to convince me not to lease the car and instead opt for Ford Flex Pay. They claimed that Ford leases were terrible at the time. I now feel like I made a mistake by purchasing the car at that time and place.

 

[rhougey]

No negative equity and less than 3% on the loan. With it being a new car, even for ford, they just took advantage and jacked up the price.

I bought the same model in late April 2021 for under $53K. If you paid more than $53K, you were too anxious, did not negotiate, bought from the wrong dealer, or a combination.
Then I took advantage of $13K in discounts, tax credits, and rebates from various sources, making my cash cost to me under $40K. I bought it to drive, and I’m driving the wheels off of it. I usually keep my cars at least 10 years, and I plan to do the same here. Current value has no bearing on my life. Just enjoy your car!

Later edit: I encourage everyone I know to learn how to negotiate on large purchases. It’s worth thousands of dollars each time. The last four new cars I’ve purchased were fully negotiated at my terms before I set foot in the dealership or set eyes on the sales rep.

 

[the golden eel]

I think I might have. This is why we have /s. For people like me.

I'm thinking you looked just like your avatar once you realized the sarcasm. ?

 

[ridgebackpilot]

No negative equity and less than 3% on the loan. With it being a new car, even for ford, they just took advantage and jacked up the price.

You didn’t have to pay a jacked up price with ADM. When I bought my two Mach-Es in 2022, I found dealers willing to sell them to me at MSRP or below.

The only car I’ve ever sold for more than I paid new was my Tesla Model 3 during the pandemic, when no one could buy a new one. I don’t expect to ever see that again!

 

[ack154]

I'm thinking you looked just like your avatar once you realized the sarcasm. ?

It's that 1000 yd stare...

 

[4sallypat]

Well, we’re just gonna have to agree to disagree, I guess.

I don’t want to live in a country where people can’t upgrade to a new car every 2 or 3 years. There should be a law which allows us all a do-over if the car depreciates by 50% within 3 years. I feel so terrible for the OP. He’s stuck in a three year old car that’s losing value!!

That's why leases exist !

 

[steelwheels]

I bought my 21 MME Premium in nov of 21 during the “shortage” but I really needed a car and love it. Unfortunately I still owe 45k today. After price drops and such it looks I made a 20k mistake. Anyone run into this or have a possible solutions. Want to trade up to a newer version but can’t just eat 20k to do it.

the new ones are no better than the one you have. I have driven 2 new 2024 loaners and stil love my 21 . 4X model.

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