Anyone else considering not buying?!

[C J Cox]

Only if it’s never scheduled for production.

No intention of ordering a MY 2024 when the order bank opens in July 2023. Not interested in another year of disappointment.

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[commadorebob]

Of course. Until it shows up and I sign the papers, anything can stop the sale. Life happens and what seemed like a smart buy nine months ago may no longer look like one when it arrives.

That said, 5.5% would've matched my lifetime best rate until I got the 3.9% on the Explorer... I've yet to take home.

 

[Syntax Error]

For decades, automobile loan interest hovered around 8% and savings accounts paid around 5% Now, interest rates are 5-6% on those loans, and savings accounts are paying 2-3% (if you're lucky).

You should check this list if you're looking for savings accounts at around 5% - https://www.doctorofcredit.com/high-interest-savings-to-get/

Of course if the rates dip down again, these will dip down, but might as well take advantage while you can since it's risk-free and FDIC insured anyways.

 

[Deleted member 24770]

The number of people calling normal interest rates "crazy" is too dang high. What's crazy is almost 0% rates for over a decade.

And at $30k the monthly payment difference between 5.5% and 1% is only about $60. As they say, "if you have to ask you can't afford it "

 

[BuddyS]

A few numbers on borrowing $25000:

60 month loan at 6% =$414/mo.
60 month loan at 5% =$402/mo
60 month loan at 4% = $391/mo
60 month loan at 3% = $380/mo

And chances are, I'm assuming, with your down payment and trade your loan will be less than $25K. That said, you're looking at a $35/month spread from a "good" 3% loan to a "crazy" 6% loan (btw, even 6 percent is historically pretty damn reasonable - see below).

With a Maverick hybrid and its better fuel economy you'd probably spend $35 less in gas each month than you already spend with your current car. How much will one unexpected repair set you back? With a new Maverick you have a warranty.

These are all things to consider. But I have to be honest, if you're worried over a $20 spread on a loan payment you might be living too close to the financial edge. In that case, assuming you have no payment now, it might make sense to keep your current ride and, like others have mentioned, save what you WOULD be paying each month and build up some financial security.

 

[Last Truck Ever]

Upside of it taking a year to get a truck is more time to save for it. I've been paying myself a truck payment every month since I ordered, don't plan to have to finance enough to care that much about interest rates.

 

[Exranger]

Anyone else looking at interest rates and considering not purchasing their Maverick? I have a June 12 build date and at this point the lowest interest rates I've seen are 5.5% which is crazy! I have two different trade in scenarios 2020 Soul ($5000 profit) OR 2017 Jetta (KBB $13k - all profit). Either way I'm sitting at a $430-$580 a month payment on a $30k truck. Maybe it's because I've never had a truck payment but that just seems very high to me.

Truck build, nothing special. Inlaws have property/cattle we're starting to get involved with so needed a few extras.

HPR - Ecoboost - Fx4 - 4k tow - SIBL/Rail

I watched rates climb for 7 months since I ordered. Got 4.99 and while not happy I am thrilled to finally mav! Plan to pay 436 per month and refi when rates come back down.

 

[JimParker256]

Great advice for younger generation to follow. Sadly, most people live by the principle of if I have a hundred dollars and need something that costs two hundred dollars, I will buy a better one that costs one thousand dollars. As we get older, we season a bit. Thankfully we were able to get our home paid off very quickly, went debt free for many years, although we did buy a new Maverick a few months ago, but will pay it off quickly.

And that's probably why 42% of Americans have less than $1500 in savings accounts these days...

 

[Ranchero]

I've considered buying now/soon because of higher interest rates. I thought that by now the higher rates might strand Ford dealers with unsold Mavericks that had been ordered but not delivered due to higher rates. I don't see that any more vehicles are available; the greater interest expense doesn't really seem to matter. So I am surprised.

I'm interested in XL EB - pretty basic. But I do not want to and will not jump through Ford's bizarre current ordering system. When there are five unsold XL EBs on the Ford dealer's lot I'll take a look. I'm in no hurry; will prefer to buy when it is much easier to do so.

 

[Ponchsox]

The way you combat total interest is making an extra car payment or two a year.

Like others mentioned, 1% interest on a car has minimal effect on your payment, unlike a mortgage.

What’s more important when financing a new car is putting a big chunk down and not trading negative equity. Negative equity is what’s causing insane car payments for people.

 

[maverick33]

Shop around. Might be able to do a little better. Start saving $ now to help with down payment. With a June build date you aren't getting the truck until July-August. Every 1k put down will lower the payment ~$20/month.

At the end of the day if you can't really afford it or it would make life tough then it isn't worth it. We've worked really hard to be able to pay cash for vehicles and then we hold on to them while saving for an eventual replacement. The Maverick will likely change that unless we have to reorder for 2024. We bought one for our son and I liked it enough to convert his hybrid order into an EB for me. Goal will be to only pay interest for 6 months or so.

Soap box:
Can't stress enough how much better life is without large amounts of debt. We have our house and even that is getting paid off quickly. We don't fully subscribe to the Dave Ramsey method but we follow most principles that he has laid out. Buy a good vehicle. Pay it off before you do mods. Hold on to it for as long as you can while setting that payment money aside to save for a future vehicle or pay off other debts. It's life changing.

When I purchase new I hold between 7 and 9 years goal is to get 50% or more for it. I then pay cash for the replacement vehicle. It work recently sold a CR-V 2015 for $18,500 and bought My 2023 Maverick XLT out the door $28,000 using (DAV) discount.

 

[MakinDoForNow]

My old dad taught me a lesson I have used during my 76 years of living. It is a three step approach to finances.
1. Buy only what you need, not something you want and do not HAVE to have.
2. Buy only what you can afford.
3. Buy what you want ONLY if you can afford it.

As far as APR goes, most people would be lucky to get 5.5%. I think that the best rate Ford has now is in the sevens.

My father always said "Do not buy any vehicle you cannot afford to walk away from at next intersection". I bought my first edition lariat loaded at MSRP in March 2022 at 2.25% APR. Is hard to calculate true APR as the interest on funds that's transferred into the savings account the mav loan is auto paid from now earn more than the 2.25%. I learned in the 1980's that even 22.8% interest was not a problem if I could get a house built, sold, and closed within a week of completion. It not the rate that hurts it's the time you have it borrowed that matters. Consider volunteering for overtime at work and apply the extra money monthly to your regular scheduled payment. I have a nephew that many years ago bought a $200k house, wrote a check for every how much money over his monthly budget that was in his checking account. He had his house paid off in 41 months.

 

[jcartwright99]

I ordered a 2023 in September. I got in an accident in the end of March. In mid April my insurance company decided to total it. A few days later I got my build date for June 19. I had to buy a car though, no getting around it.

Finding a used vehicle was the worst car buying experience I ever had. Wasted four full days and found a decently priced Suburu Forester. I don't really want to eat a bunch of money on trading in this Forester. Not sure if I will but that might deter me from taking delivery of my Maverick. It is nice not having a car payment and coming from 0% interest loan on my previous vehicle these interest rates are absurd. We shall see.

 

[MM Mav]

Yup, I've thought long and hard about whether I'll take delivery based on available financing rates if mine gets built. Tough to pay over 5% when I've never had to pay that kind of interest rate for a car loan ever.

 

[Ponchsox]

I ordered a 2023 in September. I got in an accident in the end of March. In mid April my insurance company decided to total it. A few days later I got my build date for June 19. I had to buy a car though, no getting around it.

Finding a used vehicle was the worst car buying experience I ever had. Wasted four full days and found a decently priced Suburu Forester. I don't really want to eat a bunch of money on trading in this Forester. Not sure if I will but that might deter me from taking delivery of my Maverick. It is nice not having a car payment and coming from 0% interest loan on my previous vehicle these interest rates are absurd. We shall see.

Funny you mentioned because I sold my 2019 Forester to get my Maverick. I made money after paying off the loan.

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