Is 2020 the last year for the GT350

[cib24]

I love your "analysis" (if you will).
We're saving up to trade my wife's ecoboost in on a GT since it's going to stay her daily, then we're either going to save up for me to buy a dedicated track car, or save up to trade my GT + cash for a 350.
No more car loans for me. I'm done with that shit.
But I just can't stay away from cars. So...I'll just wait until I can pay cash. Maybe in a year or so the 350s will have come down even more.

I think you have a pragmatic approach. Stay away from bad debt and if you can use cash. Debt itself is not a bad thing to have if you use it properly. Debt on a car is never considered good debt unless your are taking out an interest only loan on something like a Ferrari F50 which is only going to go up in value, like a house in a good area. Everything else isn't a great idea unless you have spare funds and absolutely have to have that car...and even then you should think about it.

I am merely pointing out that most people don't operate that way, and debt is too easy to get so people get it, and then shit eventually goes wrong. Especially when the global economy starts to fall and people start losing jobs.

I like your approach! Keep it in mind as you move forward!

Sponsored

 

[5.Oh Crush]

Well, the global economy is slowly heading into a recession. We may already be in one and don't yet know it judging by recent economic data in the US, Europe, China and elsewhere despite stock markets continuing to rise (before the fall like last time). Weak Christmas sales in many countries is a strong signal as people simply aren't spending like they used to. Furthermore, the car market is way too overheated. Dealers are handing out cars on 7-8 year loans at a variety of interest rates to anyone with a pulse in order to shift units, and car makers are struggling with guaranteed values at the end of the lease term as too many models flood the market on cheap finance and depreciate hard, hurting the auto company's balance sheet.

The people with these loans are not able to get out from under those loans because there is no positive equity in them to trade the car in and get something like a refreshed 2020 Mustang GT 350. As we know, most people don't have even $400 of spare cash in a month to spend on an emergency so where are they going to find $5,000-10,000 to make whole on their existing auto loan and somehow trade up into a newer car?

The used car investment market has softened tremendously as well also and speculators are starting to hurt on anything that isn't super exclusive like a Pagani Zonda, and that market isn't exactly as liquid as it was 18 months ago either.

Combine the economic slowdown and overheated car market with stricter environmental legislation globally, and it's almost seen as a bad investment by many of the newer generation to buy a gas guzzling V8 compared to a Tesla Model 3 Performance or something at least more efficient than a 5.0L motor.

The next 5 years is going to be very interesting as the world changes.

I'd still go for a GT350 or GT500 if I could. They might be the last of the V8 variety.

Thanks! I have not studied the national market recently, so very interesting take. Some signs of slowing are showing. I don't think the trade war or new tax changes (SALT) in US are NOT helping. My state just passed extra deduction to offset. When the Gov pushes and manipulates economy and inflation, its a recipe for failure. I do recall from foreclosure crisis that UK had 40 year/2% mortgage situation (but owe full price if foreclosed on). Seems like something US could benefit from to avoid fraud or volatility. We need to get back to slow growth. Less the smoke and mirrors.

But, losing the V8 will certainly cause prices go up. This is just like Demolition Man movie. Haha.

 

[Voodoo Velocity]

It seems expected. A power add or interior refresh would help. You would think the 2019 changes would increase sales.

I think the 2019 leftovers are a timing issue. The 2019's suffered delays and part supply holds and they just trickled out in the 1st half of 2019. It seemed it was August before they were in any delivery stream. That is late in the year. Several members here who had ordered months early even speculated about cancelling and aiming for a 2020. Add to the GT500 launch (and likely the C8), I am sure that paused many potential buyers to wait and see, All that said I bought mine expecting the life of the GT350 with a NA V8 and manual to be fading from our choices.

 

[H@mmer]

I think you have a pragmatic approach. Stay away from bad debt and if you can use cash.

I am merely pointing out that most people don't operate that way, and debt is too easy to get so people get it, and then shit eventually goes wrong. Especially when the global economy starts to fall and people start losing jobs.

I like your approach! Keep it in mind as you move forward!

Correct. The vast majority of people I have contact with (co-workers) think "affording" something means "can I make the monthly payment?"
Crazy.

 

[cib24]

Correct. The vast majority of people I have contact with (co-workers) think "affording" something means "can I make the monthly payment?"
Crazy.

Unfortunately, yes. Debt is not always a bad thing. In fact it's good if you use it correctly or use it when you absolutely need it (so long as it's structured in a way that doesn't make it un-affordable for a short period to get you out of a bad situation).

 

[Twin Turbo]

Will the GT350 see the '21MY?

It'd be a shame to see it go, but with rumors of the Mach 1 returning for the '21MY, you have to wonder if it'll be too close to the GT350 in the line-up. The Mach 1 is also rumored to use the GT350's Tremec manual (hopefully the 10-speed will also feature).

Ideally we'd still have both.....GT350 as the track car, Mach 1 perhaps more suited to the drag strip/street.

With the very limited "Heritage" package available on the '20 GT350, I did wonder if that was giving purists a last chance to get the classic GT350 colors.....

Only time will tell.

 

[Wildcardfox]

Will the GT350 see the '21MY?

It'd be a shame to see it go, but with rumors of the Mach 1 returning for the '21MY, you have to wonder if it'll be too close to the GT350 in the line-up. The Mach 1 is also rumored to use the GT350's Tremec manual (hopefully the 10-speed will also feature).

Ideally we'd still have both.....GT350 as the track car, Mach 1 perhaps more suited to the drag strip/street.

With the very limited "Heritage" package available on the '20 GT350, I did wonder if that was giving purists a last chance to get the classic GT350 colors.....

Only time will tell.

This is the last year.

 

[thill444]

I think the 2019 leftovers are a timing issue. The 2019's suffered delays and part supply holds and they just trickled out in the 1st half of 2019. It seemed it was August before they were in any delivery stream. That is late in the year. Several members here who had ordered months early even speculated about cancelling and aiming for a 2020. Add to the GT500 launch (and likely the C8), I am sure that paused many potential buyers to wait and see, All that said I bought mine expecting the life of the GT350 with a NA V8 and manual to be fading from our choices.

That's some good insight and thinking. Timing can be everything especially with Cup2 tires and winter fast approaching. If sales pickup and inventory shrinks considerably in Spring/Summer perhaps Ford will continue to make them. But they have made over 20K of the things and it seems people flip them pretty fast (used).

I don't think the concerns about engine reliability is helping things either.

 

[svttim]

everything points to this being the last opportunity to get a new 3fiddy. 2020

 

[lenFeb]

I'll be very surprised if Ford will go beyond 2020 with GT350. IMO 2020 is the last year for GT350 as we know her.

 

[CoolHandLuke]

I feel the same way. With the Corvette going DCT only it even further limits the option pool.

But it's pretty clear that Ford is starting to hit a wall with sales. I know even with the big discounts, there are lots of 2019's for sale and we are also seeing dealers discount R's which commanded ADM up until very recently. At some point dealers won't want to order GT350's if they only way they can sell them is with big discounts and having them sit for months on end.

It's too bad so many dealers got greedy with their outrageous $5k-$20k plus addendums as this eliminated a lot of potential buyers from obtaining one of these fantastic cars. They could've easily sold every one at sticker (including Rs) and there would still be a shortage five years later instead of a glut of cars being blown out at huge discounts...simple economics.

 

[Hack]

Well, the global economy is slowly heading into a recession. We may already be in one and don't yet know it judging by recent economic data in the US, Europe, China and elsewhere despite stock markets continuing to rise (before the fall like last time). Weak Christmas sales in many countries is a strong signal as people simply aren't spending like they used to. Furthermore, the car market is way too overheated. Dealers are handing out cars on 7-8 year loans at a variety of interest rates to anyone with a pulse in order to shift units, and car makers are struggling with guaranteed values at the end of the lease term as too many models flood the market on cheap finance and depreciate hard, hurting the auto company's balance sheet.

The people with these loans are not able to get out from under those loans because there is no positive equity in them to trade the car in and get something like a refreshed 2020 Mustang GT 350. As we know, most people don't have even $400 of spare cash in a month to spend on an emergency so where are they going to find $5,000-10,000 to make whole on their existing auto loan and somehow trade up into a newer car?

The used car investment market has softened tremendously as well and speculators are starting to hurt since they can't shift cars they bought for any profit. The only things still making people money are super exclusive cars like a Pagani Zonda, and that market isn't exactly as liquid as it was 18 months ago either.

Combine the economic slowdown and overheated car market with stricter environmental legislation globally, and it's almost seen as a bad investment by many of the newer generation to buy a gas guzzling V8 compared to a Tesla Model 3 Performance or something at least more efficient than a 5.0L motor.

The next 5 years is going to be very interesting as the world changes.

I'd still go for a GT350 or GT500 if I could. They might be the last of the V8 variety.

I don't think very many people in the US where we have the best economy in many years are going to base a car buying decision on the failing Chinese economy or a turn down in Europe. Yes, overseas conditions could eventually change something here, but people have been predicting a turn down or recession in the US for the last 4 years and they have been wrong, wrong, wrong. They have been the opposite of correct - many people predicting recession and then we've seen better growth than has happened for years. Unemployment is at 50+ year lows and we are seeing good positive upward movement in wages.

I do agree with some of your thoughts on car prices versus people's salaries - most people can't afford new cars. And having a loan longer than the warranty period is foolish.

I have to admit my personal finances are impacting my decision on whether to buy new. I think that cars have been really good for quite a few years, and I can be satisfied with a used car. It will save me a lot of money that I can use for track days and consumables. I am quite a hypocrite - wanting Ford to keep making the GT350 when I don't think I'm going to buy one (at least not a new one).

 

[thill444]

If you took economics in college it's called the economic cycle. We have been in a peak for awhile and will experience a correction. It's inevitable. Whether the correction is minor and short or major (recession) and long (depression) is anyones guess and you would be a billionaire if you could predict the date and time.

But it's inevitable.

 

[CoolHandLuke]

If you took economics in college it's called the economic cycle. We have been in a peak for awhile and will experience a correction. It's inevitable. Whether the correction is minor and short or major (recession) and long (depression) is anyones guess and you would be a billionaire if you could predict the date and time.

But it's inevitable.

Sure, we're headed for a correction which is both healthy and inevitable for sustained long term growth but to hear people speak of a full on "recession" or even a depression without any relevant catastrophe occurring is pretty comical...

 

[L8APEX]

My personal thoughts are that Ford wouldn't make changes for the 2020MY just to have it for 1 year only. I could see 2021MY as being the final year though

Sponsored