melvimbe
FRF Addict
There was a lot of stupid money being spent last year and a lot of auto loans being approved based on the stupid money. This is a big reason the default rates are going up. Another reason for the high demand was the increase in prices for used cars and people trading in and upgrading based on the equity they were finding in their autos.
There were some people doing trades based on the uniqueness of the used market values, but overall, I think people spending stupid money did so because they had stupid money. A lot of folks were in the market because they needed a vehicle or because it was just the right time for them for personal finances, despite overall market.
With the bubble starting to burst in the used car market and the rising default rates with all the government handouts ending (rent assistance, cash assistance etc.,) I believe the demand for these types of autos (raptor) is starting to dry up. And I haven't even gotten to the increasing interest rates.
I don't think many people in the Raptor market are relying on government handouts. Could be wrong. As far as interest rates, they are still way below inflation, so unless you have a good investment in mind, you're better off buying now then letting your money sit under a mattress.
There might be some introductory high ADM's, but I am sure they will be either gone completely or at least cut in half by the time these trucks are actually manufactured. Just my opinion. I could be wrong though.
We don't know what ADMs are now, since there are no sales, so you can't really say they will be cut in half by the time they start selling. It's all just guesses at this point. But I do think Ford is going to be careful at keeping supply somewhat limited. They don't want to flood the market and then hurt sales of the reg Raptor. The thing that really have to worry about is make sure people believe the R is that much better than TRX or reg Rap.