Did you recently take on (or consider) a loan of 84 months or longer on a car purchase?
A reporter would like to speak with you about your experience; please reach out to PR@Edmunds.com by 7/22 for details.
Options

Midsize Sedans Comparison Thread

1167168170172173235

Comments

  • lahirilahiri Member Posts: 394
    Why does Aura weigh that much more?
  • captain2captain2 Member Posts: 3,971
    think of it this way - if Toyota would, for example, use the same technologies (dual VVTi etc.) that it has used in the new V6, then the 2.4 4 cylinder would put out 185 hp/180 ft lbs. with the same efficiency (HP & T/CI). Don't think it should be necessary to push a 4 banger to 8000 rpm or force air into it to get the better hp and torque. And as Toyota has recently illustrated with its new V6, FE might actually improve. Need to flatten out the torque curve a little to improve drivability? - fine bump the displacement a little and now you end up with 200/200.
    And before you engine theorists get too upset, I do understand that it doesn't exactly work this way - but, I'll contend if you put the real masters of the 4 cylinder engine (they probably work at Honda/Toyota) - something that can be done.
  • beantownbeantown Member Posts: 228
    My sentiments too. Consumer Guide has the road test for the 2007 Altima on line now. According to them the car still has "pronounced" torque steer.

    yet another review refutes this issue:

    www.familycar.com

    I kept trying to induce torque steer with little success. Backing away from a front-wheel drive car because of torque steer is no longer a valid excuse. On the twisting mountain roads, I had to keep reminding myself that this was FWD. Unless I pushed the Altima to its limits, I simply couldn't tell. Cornering was flat and controlled without a major impact on ride quality.
  • captain2captain2 Member Posts: 3,971
    current MT and C&D also both have tests (MT and CVT) and both of them mention specifically that the TS has been 'engineered away'. My wife's 03 3.5SE sure does, however - a trademark of Nissan V6 sedans for years, hopefully they have minimized the 'tugging', my better half will be on my case to buy her a new one soon enough!
  • thegraduatethegraduate Member Posts: 9,731
    What I don't understand is why you buy a larger engine if you never need to use it?

    The point of having our 4-cylinders is lower price and better FE. If the car needs to rev up to merge, so what? I rarely top 3,500 RPM when I merge on my daily commute (uphill ramp, merge in a 70 MPH zone), and I have 130 hp Accord as well as a 166 hp Accord. The 166 hp car is so smooth at 6,000 RPMs, and not particularly loud, that I struggle to see the fault in winding these smooth engines up every once in a while.

    By buying the 4-cylinder version, I didn't overbuy on the engine. I bought something that I plan to use fully, and have some power reserve left on tap for extreme emergencies (never had to floor the 166 hp car in its life). If I had bought a V6, I'd have more engine that I could ever use. I don't have the need to hit 60 in 8 or so seconds, which my car is capable of, much less 6 seconds. I'm just not aggressive enough to need more horsepower than a late-model Mustang (260 hp), or to run a 14 sec quarter mile. I just can't use that in metro Birmingham.
  • captain2captain2 Member Posts: 3,971
    never needing to use it, now that is an absolute statement and also not likely.
    about a year ago, cruising along on the highway left lane at 65 or so. Notice an idiot trying to merge from my right - he is doing maybe 40 and decides not only to cut the guy off in the right lane but also continue his merge into my lane. My reaction was to accelerate hard while swerving into the breakdown lane on my left - cleared him by maybe 10 feet and by the time I got off the gas I was probably at 90 or 100 mph. Ended up being a 5 car accident that I likely avoided because I happened to be in a car with 'too much' engine. Admittedly something that may never happen again, guess you never can tell when you 'never need to use it'?
    And the point of the story - within some constraints, a more powerful car is also a safer car.
  • rgyiprgyip Member Posts: 43
    1. Everyone's needs are different.
    2. The Honda Accord's 4 cylinder engine is phenomenal, most 4 cylinders aren't as good as that one.
    3. Every engine has it's trade offs, it's just more noticeable due to the lack of power in a 4 cylinders.
    4. Torque is most directly related to displacement, which is related to fuel economey. Making a bigger 4 to flatten out the torque curve or increase HP, you might as well get a 6 IMO.
    5. "High tech" engine technology doesn't necessarily make a better engine. Examples are Nascar or the HEMI engine.
  • kamdogkamdog Member Posts: 28
    60 mph is 88 ft/second, so, a .8 second difference at 60mph = 70 feet. So, if the Camry stops exactly when it hits 60mph, the Saturn is doing comfortably less, and it will take probably at least another 50 feet before it hits 60 mph.
  • captain2captain2 Member Posts: 3,971
    and I agree with you generally on all 5 points - but

    -while it is certainly true that bigger engines do usually eat nore gas then how do you explain the Toyota 2GR engine - a 15% increase in displacement, a 30& increase in HP/T, and 10% increase in FE.
    Sure some of those differences are due to the relative age of the 3.0 it replaced but is also similarily more efficient than the other engines in this class. Because of obviously technology that, at least to this point, has proven extaordnarily reliable.
    My question was if they can do this with the 6 then why not with the 4. If I was a betting man - expect such a thing from both Honda and Toyota within the next few years. The 'US' mfgrs. have neither the money or the expertise to develop such a thing. Don't think the preference for 4 cylinder engines in cars this class is going anywhere anytime soon, even if idiots like me can't understand why ;)
  • rgyiprgyip Member Posts: 43
    Good questions; I will try to answer as much as I know...

    I didn't say that Toyota couldn't do a dual VVTi in their 4 cylinder engine, because I am sure they can. However, gas consumption also largely has to do with gearing as well. The new Camry has a 6 speed tranny (opposed to the 4 speed it replaced), which puts the engine as it's happiest state more often (i.e, low rpms). Also, the more often the torque converter can lock, the less the drivetrain loss and more efficiency akin to what manual transmissions are accustomed too. It is the torque converter that steals that steals more of the power from the motor and that's why in general, automatics get worse mpg than manuals.

    The Accord engine IMO is a better engine than the Camry 4 cyclinder. The Accord has i-Vtec which can not only vary the duration of the valve lift ( the "i" part), but it can also vary the lift (the "vtec" part). The Accord I4 also can vary the intake and exhaust timings which are found in the DOHC models (unlike the SOHC model in the V6). Of course, the Camry could make a comparable engine as they have dual VVTL-i, which does the same thing (lift and duration), however they just don't have an engine in America that does now.

    AFAIK, no Big Three company has an engine that can vary the lift, just the duration (variable valve timing). However, that doesn't necessarily mean their engines are inferior. There is an Ecotec NA engine that puts over 172 HP....
  • rgyiprgyip Member Posts: 43
    Also, I am sure there is some increased efficiencies in the engine that the 2GR-FE has that increase the fuel efficiency. If you get a chance to read about engine technology, you read about how important the "swirl" of the fuel being injected into the intake manifold making a huge diffence in both power and efficiency. Find the right valve timings and lift makes a difference too. In many DOHC engines, only 2 valves out of 4 work in low RPMs to maximize fuel efficiency as well.
  • kdhspyderkdhspyder Member Posts: 7,160
    There's nothing inherent about Ford that means lower resale. Lower resale has been the result of poor quality, high rental fleet sales and overproduction.

    This is specifically the point. Fusion may be exactly as good as the Camry/Accord but if Ford Corporate decides that it needs to move more with huge rebates and needs to supply huge quantities to rental companies/fleets then the actual market price of the vehicle on resale will suffer.

    This has nothing to do with the vehicle it has everything to do with Corporate.

    What is going to replace the 100K+ units of revenue that the Taurus generated? Is Ford just going to walk away from $1.5 Billion in sales ( Taurus )?
  • kdhspyderkdhspyder Member Posts: 7,160
    Yes I do. A lot of cars on dealers lots do not come from off-lease auctions. It all starts with supply and demand, not dealer auctions. High supply and low demand will kill the price at the auctions, not the other way around.

    This is exactly the case. It's this dynamic that determines what the day-to-day buying price of any given trade-in is at any dealer. Noone at any time ever looks at the ALG residual values when assessing a trade. EVER!

    The primary criteria is 'at what price level can the vehicle be turned into cash the very next day'. That's the true value of any trade in vehicle, not the residual, not the potential resale value, not the NADA value. The ACV is the only valid price, beyond this value you always have to add something else, financing, clean up, inspections, repair, commissions, profit etc. etc.

    Anything above ACV is subjective and extremely variable.

    Until the recent months most estimations were that used Ford products had to be 'bought' at $1000 - $3000 'behind book', meaning the auction values. With Ford's new vehicle sales policies being what they were there was no good way to guess what the Used vehicle sales price should be.

    For indications.. a 2006 V6 SE Fusion, no leather, no roof is worth about $14000 on trade ( Mannheim and Black Book ).
  • explorerx4explorerx4 Member Posts: 20,723
    i don't know what technology the 2.3 in my focus has, but it can drive in 5th gear at 40 mph and accelerate to whatever with no problems. it also has no shake in the shift. the fusion has a more powerful version of it.
    2024 Ford F-150 STX, 2023 Ford Explorer ST, 91 Mustang GT vert
  • akirbyakirby Member Posts: 8,062
    What is going to replace the 100K+ units of revenue that the Taurus generated? Is Ford just going to walk away from $1.5 Billion in sales ( Taurus )?

    You people just don't pay attention. Ford has already publicly said that it would "walk away" from the Taurus fleet volumes. They aren't going to chase market share with rental fleet sales that yield little profit and lower resale value.

    They're already selling almost all the Fusions they can build right now - they don't have a lot of excess inventory to move by dumping into rental fleets or offering huge incentives. And they're keeping it that way.
  • zzzoom6zzzoom6 Member Posts: 425
    take a look at the tsx which comes in at around the same weight as many midsize family sedans (3356 lbs)...one of the most advanced 4 cylinder engines on the market (205hp, 164 lb/ft torque at the crank, not the wheels) and even with a 6 speed manual tranny, it's still doing 0-60 in around 8 seconds. put in an auto, and you're likely looking at around 9 secs. for the way most people drive, this is perfectly adequate and not unsafe. but to really get that car moving, many reviewers have said that getting the tach north of 4k rpms is necessary (same can be said for the SI).

    now if diesels can be made to run cleaner, perhaps we have something. good low end torque that is great for driving in town, and great fuel efficiency. Honda hasn't released the specs on their new diesel that they have said they will release in the US market in a couple years, but this is one technology that is not entirely high tech, but adresses the issue of keeping a 3400 pound car motivated. I, for one, can't wait! I just hope they don't find a way to charge through the nose for this...
  • akirbyakirby Member Posts: 8,062
    The estimated residual value IS the estimated wholesale (or ACV as you call it) because that's all the lease company can expect to get for the vehicle when it's returned.

    I agree that supply and demand AT THE DEALER LOT will determine the retail pricing, which will in turn affect the auction prices. Every residual value is an estimate because nobody knows for sure what the future will hold.

    If ALG says the residual value for a 2007 Fusion SE is 49% after 3 years that means the lease company expects to be able to sell that car at auction after 3 years for 49% of the selling price. That's how a lease works.
  • jaxs1jaxs1 Member Posts: 2,697
    On a TSX, running the tach to 4,000 RPM is no sacrifice. It doesn't make an ugly, grating noise like many cars.
    Some cars run so smoothly at high RPM, that it is easy to inadvertently hit the rev limiters (RX8 etc.)
    On other cars, you need earplugs at 4,000 rpm.
  • zzzoom6zzzoom6 Member Posts: 425
    no question, the tsx is a pleasure to drive as is the rsx with a similar engine. but keep in mind, the hp rating of 205 does not come into play until 7k. I'm just saying that if the rated HP comes at a point that most drivers aren't interested in reaching, then it's not a very valuable/important #.

    in some respects, I am agreeing with el capitan in that a 6 cylinder has hp and torque #'s that are much more useable in day to day driving. at 4500 rpm, you're looking at about 60% of peak HP in a honda 4 cylinder engine and at 6k rpm, 70%. now some, including me, might find buzzing around at 5k rpm all the time fun, but most people would, I think, find this tiring and likely irritating. in normal driving though in a typical 4 cylinder engine in this class, a pound to hp ratio of 30:1 seems a bit high.
  • kdshapirokdshapiro Member Posts: 5,751
    "If ALG says the residual value for a 2007 Fusion SE is 49% after 3 years that means the lease company expects to be able to sell that car at auction after 3 years for 49% of the selling price. That's how a lease works"

    But this has nothing to do with real world values at the aution 3 years later. And that's the point. The ALG residuals are only estimates, not guarantees. The price fetched at auctions is determined by a number factors having nothing to do with the ALG residual.
  • elroy5elroy5 Member Posts: 3,735
    A diesel Accord would be a huge hit. Honda will probably only have diesel engines in Acuras to start out with, and the price will be high. By the time I am in the market for a new car, hopefully there will be an Accord diesel.
  • booyahcramerbooyahcramer Member Posts: 172
    I seriously doubt that a non pipe-smoking Acura shopper will opt for a diesel.
  • guestguest Member Posts: 770
    You have said this about 4x now that Ford is going to get out of the rental business. I beginning to wonder if the Honda/Toyota crowd wants to throw doubt into anyones mind about buying a Ford Fusion.

    Plus.. Ford can only build 300,000 total Fusion/Milan/Zeph out of the Hemi plant. This is REALLY good. I hope Ford keeps it this way. This will keep quality/fit/finish up.

    Plus, on the way home from work today. I saw 2 brand new Fusions and 1 new Milan. This is in a 22 mile trip. Had me wondering if people are reading about how good these cars are. :shades:
  • lilengineerboylilengineerboy Member Posts: 4,116
    I seriously doubt that a non pipe-smoking Acura shopper will opt for a diesel.

    I would concur, I would expect the Accord to go first, but not across the whole model line. They have an Accord Hybrid, they can have an Accord OilBurner...then maybe the minivan (torque is nice in a minivan).
  • thegraduatethegraduate Member Posts: 9,731
    I would concur, I would expect the Accord to go first, but not across the whole model line. They have an Accord Hybrid, they can have an Accord OilBurner...then maybe the minivan (torque is nice in a minivan).

    How about in the Ridgeline and Pilot? That would make sense. (Do they have a bigger one than the 2.2L though?)

    The 2.2L in the CR-V would be awesome.
  • kdhspyderkdhspyder Member Posts: 7,160
    You people just don't pay attention. Ford has already publicly said that it would "walk away" from the Taurus fleet volumes. They aren't going to chase market share with rental fleet sales that yield little profit and lower resale value.

    This remains to be seen. Any company that says it's going to walk away from $1.5 Billion in real sales is a little suspect as far as I'm concerned.

    This is a lot different than closing 100,000 units of excess production. The 100K units of rental/fleet sales definitely have buyers.

    When the bean counters see that revenues will drop by $1.5 Billion there is likely to be some rethinking in Dearborn. I'll believe it when I see it.
  • backybacky Member Posts: 18,949
    Well, looks like another opportunity for Toyota as they seek world domination by 2010. ;)
  • kdhspyderkdhspyder Member Posts: 7,160
    The estimated residual value IS the estimated wholesale (or ACV as you call it) because that's all the lease company can expect to get for the vehicle when it's returned.

    That's an incorrect statement. The residual value is what the leasing company guarantees the value of the vehicle will be to the lessee. It is not what the vehicle will be worth when it's sent to auction. Now the leasing company hopes it will be worth that, or more, but in nearly every case - with normal miles - the auction value is less than the residual. Weird situations can occur. Tacoma's and Corolla's and Civic's last summer come to mind.

    The residual is only a best guess 3 years down the road, but it's only a guess. Right now for example the Fusion is at 63% of MSRP after only one year. Do you really think that it will be 49% after 3 years? I won't buy your SE V6, no roof, no leather for $11,000 in 2 yrs. I'm certain that I could buy it for under $10,000. 37% is a huge hit already in the first year alone.
  • kdhspyderkdhspyder Member Posts: 7,160
    The Accord hybrid is finito. The diesel Accord which seems very very good is the answer to the Camry hybrid... but it's still two years away.

    Then... Honda has to educate the American public about the benefits of diesel vehicles; the Ody, MDX and Accord. It remains to be seen how long this education process will take.

    Go into any office/living room/kitchen and ask:

    'Honey, what do you think about getting a diesel Honda Odyssey?' Huh??? What are you talking about?
  • exshomanexshoman Member Posts: 109
    I think you've got a misperception about the power in 4 cylinder engines. In the 2006 Accord 2.4, max torque of is achieved at 4000 RPM. I don't have a true torque curve in front of me, but I wouldn't be surprised if 80% of the max is available at 2000 RPM.

    The sweet spot for this engine is from about 2500 to redline. That's one of the reasons we ended up getting the 4 instead of a 6. We come from a family that has typically bought V8s, and more recently high performance 6's (300M, Taurus SHO).

    My wife and I are both a bit of a leadfoot. No argument, a 6 has more grunt down low, but once you hit 2500, you've got plenty of go power. I'll typically cruise at around 1800-2200, and while it won't burn up the road accelerating from that RPM, it still accelerates well enough for 90% of the time. For the other 10% (or when we we're feeling the need for speed), we'll downshift a gear, and be in the middle of the sweet spot. On an automatic equipped car, that'll happen "automatically" (sorry, bad pun).

    And as for high revving, I've made the mistake a couple times of cruising at 60 in 3rd gear. Not thrashy at all.

    If this was my daily driver, I'd get a 6, but then again, I'm one of those maniacs who wouldn't mind 300hp in these cars. Probably a bad analogy, but if the 4 is a sirloin steak, the 6 would be a nice rib-eye. A BMW M5, now that would be the filet mignon :shades:

    For a good source on the Honda 4, try Wiki:
    http://en.wikipedia.org/wiki/Honda_K_engine
  • mz6greyghostmz6greyghost Member Posts: 1,230
    Rememer that the 6 had 220 HP back then...

    In all truth, the HP numbers for the V6 in the Mazda6 haven't really changed. The drop of 5 HP (from 220 to 215) is most likely from testing using the new SAE standards, as well as driveline refinements. Besides, do you really think 5 HP will make more than a couple tenths change in 0-60 times? I doubt it.

    I've got an '04 with V6, and have driven the '05 and '06 a few different times, and I sure can't tell the difference in acceleration, or even overall performance.
  • mz6greyghostmz6greyghost Member Posts: 1,230
    ...then maybe the minivan (torque is nice in a minivan).

    A diesel minivan would be nice, but the trick is to make sure the wife remembers to fill the car up with diesel and NOT gasoline. A friend of mine did that to her fathers ol' Rabbit Diesel once... $5K in engine damage later, and she still can't live that down. :)

    The other thing with diesels is that it isn't located at every single corner gas station, at least here in upstate NY. Driving a few miles out of the way just to get diesel won't work for a lot of people, especially when they're surrounded by 18-wheelers and 10-wheeled dump trucks, with that awful stink pouring out of both the trucks and the drivers... :P
  • captain2captain2 Member Posts: 3,971
    the diesel technology is already here, courtesy of the Germans and already 45 state legal. Had the opportunity a few weeks back to drive the ML320CDI SUV, and it was quick with basically none of those objections that folks normally have about diesels - other than an unusual amount of compression braking when you let off the gas, no indication I was driving a diesel at all. Remarkable, as is the 27mpg City FE the owner was reporting in a 5000lb vehicle!
    If I had to take a guess, this is where the real future is - in diesels and diesel/electric hybrids - for all vehicles
  • akirbyakirby Member Posts: 8,062
    You've got this all backwards. Nobody is saying the estimated residuals dictate actual prices.

    What I'm saying is there are people in the industry whose job is to estimate what a car will be worth when it comes off lease. They look at sales rates, reliability, fleet sales, etc. and they make an estimate. This is an important estimate because if they estimate too high then it costs the lease company a lot of money when the car is turned back in. So they're not going to make it artificially high.

    The Fusion's ESTIMATED to retain 49% of it's value after 3 years - higher than Camry at 48% and lower than Honda at 52%. But it's right in the ballpark. As opposed to the Taurus which was probably closer to 40%.

    I guess we can come back in 2 years and see who was right.
  • akirbyakirby Member Posts: 8,062
    Do you even understand how a lease works? The customer pays for the depreciation plus interest - which is the purchase price minus the residual. The leasing company buys the vehicle, then sells it at auction after the lease. They make money on the initial sale and the interest. If the residual is more than the car gets sold for, guess who eats it? The leasing company, that's who.

    You act like residual values are just made up numbers that don't mean anything. Leasing companies have millions of dollars riding on the accuracy of residual values.
  • captain2captain2 Member Posts: 3,971
    as most of us know, the Taurus continued in production long after bringing out the Fusion. So if you really want an 06 Taurus, talk to Hertz, because that's where most of them went.
    The problem that Ford/GM/DC have if they want to be fiscally responsible and downsize, is the UAW. Because of those fat contracts that UAW has, they must keep a large portion of those employees paid whether they have cars for them to build or not. There are apparently a lot of autoworkers out there being paid to not work at all. As a result they have a lot of employees to build fewer and fewer cars which, of course, then encourages that employer and employee to make the job fit the time available to do it. Presto! a good way to improve at least initial quality while losing your butt trying to sell cars.
    Unfortunately the ultimate fallout from all of this is becoming that the American cars will no longer be made in this country, while the 'Japanese', largely unfettered by those UAW contracts, find out that it really is possible to make good cars with American labor/materials - and make money doing it!
  • akirbyakirby Member Posts: 8,062
    Revenue without profit is what got Ford into their current mess (among other things). They realize this and that's why they let the Taurus die on the vine. There's no profit in rental fleet sales and it doesn't help the image. It keeps the plants running but that's it.

    That's also why they're keeping volume relatively low on the new vehicles (500/Fusion/Edge etc.). Lower volume, higher resales, lower incentives, higher profit.

    Ford has repeatedly said this publicly (lower market share, less rental fleet sales). If you don't believe it then we'll just have to wait and see. They're closing plants and giving buyouts to UAW workers - things that have never happened in the past. It's not business as usual any longer.
  • w9cww9cw Member Posts: 888
    As an example of the fleet impact on resale values, specifically of the Taurus, I noted a 2006 Taurus in the local newspaper classifieds last night with only 22,000 miles - for sale by an individual - asking price was $8,695. I called him and went over and checked it out thoroughly, and it's in perfect condition. At first, I thought it might be a salvage vehicle, but no, he was the original owner. Such a shame, but a good deal for a prospective buyer.
  • captain2captain2 Member Posts: 3,971
    might of even had one of those 'legendary' Vulcan 3.0s? Doesn't surprise me at all in terms of price and underlines something that Hyundai is going to have to deal with on the Sonata as they endeavor to get as many American butts in one of their products as they can. The Sonata, IMO, something that shouldn't be as inexpensive as it is, but where resale values will continue to be depressed as long as they continue to needlessly discount the price and/or flood the rental lots with them.
  • w9cww9cw Member Posts: 888
    Yes, it was the pushrod Vulcan 3.0L V6. Still, a good buy for someone looking for a reasonably reliable car. Yes, the Sonatas are cheaper than they should be, and I agree on their resale. My next-door neighbor bought a new 2006 Sonata GL with the DOHC 2.4L I-4 last December for $14.5K, not including TTL.
  • kdshapirokdshapiro Member Posts: 5,751
    In two years, we'll see whos right. I'm saying now the value of Ford products will drop faster than the Japanese counterparts.
  • zzzoom6zzzoom6 Member Posts: 425
    I think I read somewhere that US laws regarding emissions from diesles are supposed to get more strict fairly soon. But it looks like Mercedes and Honda are developing new types of diesels that are much cleaner by trapping/neutralizing the pollutants before they go out the tailpipe. I think I read that the Honda one does not require maintenance or cleaning, but the Merc does (not absolutely positive on this). but Honda is saying that their diesel will emit as little as a gasoline engine (I wonder if it's as little as a ULEV).

    One comment that was mentioned was that the public needed to be informed about the benefits of a diesel before large scale acceptance would happen... maybe true, but since the technology has been around for quite some time, I doubt it will take long. all a manufacturer would need to do is tell people it is clean burning, has better acceleration at lower rpms, and flash high mpg #'s on the screen. the hardest thing I think is the limited availability of diesel. but I don't hear guys with big diesel pickups complaining that much (if at all) about not being able to find fuel. one argument that may be hard for manufacturers to overcome is the memory of those that bought some of the crappy diesels in cars 20 years ago. but with the reputation of honda and mercedes on the line, I would hope these guys will get it right.
  • kdhspyderkdhspyder Member Posts: 7,160
    I'm certain that I have at least as good an understanding as you. I've had 3 leases and do this for a living.

    The residual value is only an indicator, a best guesstimate, of the value 3 years hence. If you were in the business in the 90's then you would have seen Camry's and Accords and Taurus' with 3 yr residuals at 60-70%. These were artificially high in order to induce buyers to turnover every 3 yrs or so. But you are right in '99 and 2000 when these massive numbers of lessee's started turning in their vehicles the leasing companies were finding that they were eating up to $5000 per vehicle.

    Thus in Aug 2000 all the leasing companies started going to more 'realistic' residuals causing the artifically low lease payments to jump by as much as $100/mo. But even these more realistic residuals are still 'guesstimates' of future value. Now instead of adjusting the residuals to make payments fit into a budget they play with the money factors. Essentially they subvent the interest rate and give up potential income rather than take massive risks on the value of the vehicle in 3 yrs hence.

    Whatever the residual is it has no effect on what the real value of the vehicle is when it does come back to the Used market. Just becausse a 2006 SE V6 Fusion has a residual of say $11000 doesn't mean anything in 2009. If the vehicle is worth $14000 today it is not likely to be worth $11000 in 24 months, $8000 or $9000 is more likely. So yes this means that Ford Credit the leasing company is going to have to 'eat' $2000 or so when it's put through the auction line.
  • kdhspyderkdhspyder Member Posts: 7,160
    However as captain2 correctly noted above under the current contract situaion with the UAW those workers who are now making the Taurus will have to be paid whether they make any more Taurus' or not.

    I agree with everything you said about the new vehicles matching the demand and it does seem to be working.

    However these workers at Chicago Heights and other plants that will no longer make the Taurus are still going to be paid whether 100K or zero Taurus' are sold. I'm only saying that until the new contract is hammered out I'd be surprised if the Taurus doesn't continue. Pure bean counter logic.
  • kdhspyderkdhspyder Member Posts: 7,160
    ...but since the technology has been around for quite some time, I doubt it will take long. all a manufacturer would need to do is tell people it is clean burning, has better acceleration at lower rpms, and flash high mpg #'s on the screen. the hardest thing I think is the limited availability of diesel.

    This is the education that has to be done. But as Honda and Toyota have identified the primary decision maker in over 70% of their sales is the woman in the picture; wife, fiancee, girlfriend, mother.

    This is who has to believe and understand that she isn't going to have a 'stinky schoolbus' in the driveway that can be heard two blocks away. My guess is introduction in 2009 MY but that it will take a full 5 years before large volumes are actually being sold. This is very similar to the 'learning curve' on hybrid technology.
  • captain2captain2 Member Posts: 3,971
    the fact that US diesel has been historically 'dirty' has kept those European diesels out of the US. Effective this year, US diesel is now required to be the low sulphur type that has been in Europe for years. Hence, the diesel is now completely legal in 45 of the 50 states from an emissions standpoint. In the 320CDI I drove, the NAV system could even tell me where the closest 'clean diesel' station was in this area. The other 5 states, Calif. and a couple of NE states? With some additional exhaust gas treatment (believe it is called 'Bluetec' in the MBs) we are back to 50 state legal, next year I think.
    Since most of the volume of affordable vehicles is out of the Japan 'Big 3' and the Koreans, one or more of those mfgrs will likely have to get behind it for it to have a substantial impact.
  • captain2captain2 Member Posts: 3,971
    the primary decision maker in over 70% of their sales is the woman in the picture; wife, fiancee, girlfriend, mother.
    THIS has me grinning :) Hate to think that many cars are sold simply because they are 'cute' ;) Seriously though, this does surprise me, given that males do tend to have more 'mechanical' abilities/understandings. In my house the automobiles we drive are about the only decisions I get to make!
  • akirbyakirby Member Posts: 8,062
    However these workers at Chicago Heights and other plants that will no longer make the Taurus are still going to be paid whether 100K or zero Taurus' are sold.

    Wrong again. That's why Ford is offering buyouts to workers to get around the jobs bank until the new contract can be negotiated. The buyouts get the workers out of the jobs bank and off the payroll with a one-time buyout. That's part of the reason Ford's 3rd quarter loss was so huge (as will 4th quarter). But it's a one time charge, not a recurring drain on earnings.

    Without the buyouts you would be correct.
  • kdhspyderkdhspyder Member Posts: 7,160
    It surprised me too, until I got into the business.

    Can you imagine how many times a week I hear..
    'Let me check in with the boss...'
    'My wife keeps the money in order..'
    'I never make decisions like this without discussing it with..'
    'I've got to check with....( about color, style, safety..)'
    'What do you think, Mom?'

    This is in addition to all the individual women that buy vehicles on their own. 70% could be on the conservative side. I saw in the CRV forum that for that vehicle it was 80%+.
  • akirbyakirby Member Posts: 8,062
    Ok, so we agree on everything except whether the predicted residuals for the Fusion are accurate or not.

    You think that it will be lower because it has a blue oval on the grill.

    Why can't you acknowledge that the Fusion is different than previous Ford cars? It has best in class reliability, is selling well in reasonable volumes with small incentives and isn't being dumped into rental fleets.

    The recipe for low resale value is poor reliability, big incentives on new cars and high % of rental fleet sales. Unless something drastic changes I don't see that happening.

    It's not 1995 and we're not talking about a Taurus.
This discussion has been closed.