What ever happened to the Ford "cracking down on" ADMs?

[KAlexander]

I've been calling like 15 dealerships and the lowest markup is 10k.
This is ridiculous. There was all that hooplah about Ford cracking down on this. What happened to that?

Prairieville Ford in Louisiana rep was all about MSRP in the other DH at MSRP thread now his managers are going to mark them up too.

80-90k for a DH??? Might as well get a mid C8 or a GT500 at this point.

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[KAlexander]

PS. If you're on here and you're a dealer and you're marking up prices,
Ya moms a hoe.

 

[shogun32]

There was all that hooplah about Ford cracking down on this. What happened to that?

it was a 10 second soundbite over a 15 minute shit-storm on TikTok/IG. You were supposed to be mollified by the stern countenance of the CEO and his words. See, problem solved. No go bury your nose in your personal tracking dis-information device and and let naked greed run the table.

At least Ford is "increasing production of popular models" but this too is probably just to game the stock market with a forward-looking statement.

 

[Q6543]

Welcome to SCAMERICA!!

 

[ShaBoingBoing]

A dealer by me wanted a 6k markup on a GT Premium and that’s only if I financed through them

 

[Blueberrystang2000]

Well the fact ford is limiting dealerships 1-6 dh allocations in a 18 month span and there’s customers calling in trying to put in a deposit offering the dealership adm just because they want to get one that bad isn’t helping the situation

 

[Dub347sbf]

Well the fact ford is limiting dealerships 1-6 dh allocations in a 18 month span and there’s customers calling in trying to put in a deposit offering the dealership adm just because they want to get one that bad isn’t helping the situation

My question is, when those cars come in, and the interest rates are 6-7% or more on top of the ADM, are these people really going to take the car? I think it is going to be an interesting situation.

 

[roket]

I've been calling like 15 dealerships and the lowest markup is 10k.
This is ridiculous. There was all that hooplah about Ford cracking down on this. What happened to that?

Prairieville Ford in Louisiana rep was all about MSRP in the other DH at MSRP thread now his managers are going to mark them up too.

80-90k for a DH??? Might as well get a mid C8 or a GT500 at this point.

i agree, these ADMs are the worst
my dealer got something like 3 or 5 Raptor R allocations and sold them all at something like $45-$50k over MSRP, and i guess there's plans to sell the first of our 10 dark horses at $15k over, which has forced me to wait until "pricing cools down" or give them the extra $15k on top of the ~$77k mine might cost, the latter of which is 100% not happening, because at that point, i would rather get a Porsche 718 Cayman GTS for a similar price

the good news is, at least at my dealer, ADMs might not last long, as only a few months after the Lightnings came out, any abandoned orders/stock units have no markup

 

[MachMe]

My question is, when those cars come in, and the interest rates are 6-7% or more on top of the ADM, are these people really going to take the car? I think it is going to be an interesting situation.

My thoughts exactly. The Fed just declared a guaranteed several more rate hikes coming and at even larger basis points than before. While I want to be confident I won't be one of the millions of people that will be laid off, it makes me question even harder if this is the right decision for me with the ADM. I can wait out a not so great interest rate and refi in a year or two. But adding $10K to the hole with no added appreciation to the car would be an unwise purchase.

I'm still waiting to hear the numbers from my dealer in the Atlanta area but they've already admitted they're going to add a little something because "everyone's doing it but we're not going to add $15-$20K like them". I'm sure the DH will still get purchased despite the $20K markups which is kind of proving them right. They can charge whatever they want and there's still a sucker or someone rich enough out there to buy it. I'm definitely not the latter and hoping not to be the former.

 

[Q6543]

My question is, when those cars come in, and the interest rates are 6-7% or more on top of the ADM, are these people really going to take the car? I think it is going to be an interesting situation.

that only applies to people that can’t cut the check.

you gotta figure 1/3 homes sold are all cash. People with the cash don’t give a F about interest rates, (except the opportunity cost on their cash)

 

[Dub347sbf]

that only applies to people that can’t cut the check.

you gotta figure 1/3 homes sold are all cash. People with the cash don’t give a F about interest rates, (except the opportunity cost on their cash)

Fair, but people that can cut the check in general buy high end cars ive noticed. Plus, in general most can't. So i would argue, most probably will care.

 

[Q6543]

Maybe, we will be in peak recession fear around delivery time, could help some

 

[Blueberrystang2000]

You’ll be amazed about how many people don’t be caring for rates , they are going up and people are still buying 5% is becoming more and more normal a percent or two for a car they know people will barely will be able to get would make them want it more

 

[seanuf99]

You’ll be amazed about how many people don’t be caring for rates , they are going up and people are still buying 5% is becoming more and more normal a percent or two for a car they know people will barely will be able to get would make them want it more

Like the lady who bought the 98 escort for $289 a month for 84 months? Nuts!

 

[Dub347sbf]

You’ll be amazed about how many people don’t be caring for rates , they are going up and people are still buying 5% is becoming more and more normal a percent or two for a car they know people will barely will be able to get would make them want it more

I predict it is going to be much higher than 5% by the time the cars are delivered. The Fed/Powell comments yesterday have the markets pricing in more and faster rate hikes that will hold longer. I think 5% will be a dream even for those with excellent credit.

I'm sure people will still get one that can't truly afford it, I'm sure the rate of default and repossession will also be higher.

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