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Discussion Starter · #22 ·
Not a lot of places to put your money these days. I have some money in MICs (private mortgage investment corps), paying a steady 7+% dividend, for decades actually, even through the 2008/9 housing bust. I get my next report from them today or tomorrow. Will see what they are saying now.
I just got my qtr end statement from my MIC. They actually increased their dividend to 7.55%. So that was a pleasant surprise.
 

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Discussion Starter · #25 ·
Well, another big market hit today with the bad inflation numbers and more interest rates hikes on the way. Means that less money available for everyday non-discretionary living expenses not to mention major large purchases such as new cars. And this is on top of losing the tax credits in the US, and new car prices going up further. Bad enough that we have these delays and now it is going to cost more with less money available. Financing and lease costs also going up.

So how does this affect your Soterra buying plans? There was a lot of discussion in the past about the poor charging specs. Now you will have to pay more for a lesser car with less money in hand. Do you still want to buy a Solterra?
 

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Here’s my opinion…

Interest rates and inflationary pressures span every consumer market, so in the overall scheme of things, all EV models are in the same boat.

And, while the bZ4x/Solterras don’t have great recharge specs or ranges, its really not an issue for folks charging overnight at home that only drive locally <= 175-200 miles daily.

While it may force some buyers out of the market, unless there’s a major meltdown in the market, there appears to be sufficient demand for almost any EV model to sell out the available supply…at least in the next year or so.
 

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Discussion Starter · #27 ·
I agree that it is available supply, or more precisely the lack of, that is the major problem at this point. But would have to think that demand will also fall with less money available to buy. The big question is by how much, and will it be enough to let supply catch up. And would like to believe that supply will increase as well, as these chip and battery components production will increase. But that doesn't seem certain either.

So my query is on the demand side. I am wondering if these economic and market conditions are causing some to drop their plans to buy a Solterra.

Related to this, I have a friend that is a spec house builder. He has pretty well totally stopped building, as buyers have dried up. And his building costs have gone through the roof. So there is no doubt that inflation and interest rates are having a huge impact to his business.
 

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Discussion Starter · #28 ·
So my query is on the demand side. I am wondering if these economic and market conditions are causing some to drop their plans to buy a Solterra.
I also posed this question to my local dealer sales manager. He believes that a lot of people on his Solterra list will drop out. But that won't happen until prices are announced (in Canada) and buyers will have to firm up orders. And some (like myself) won't make a final decision until they see and test drive the vehicle they want to buy.
 

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The bZ4x/Solterra faces many headwinds…

A botched market introduction caused by a near-immediate stop-sale/recall, extended production stoppage with no end in sight, supply chain issues, inflationary pressures, an unknown “fix” date, etc.

Those ”negatives” will definitely have some impact on demand, but just how much, I dunno.

I just don’t think there’s going to be a massive “drying up” of demand to the level we will be seeing lot fulls of EVs of any brand sitting at dealerships anytime soon.
 

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And, while the bZ4x/Solterras don’t have great recharge specs or ranges, its really not an issue for folks charging overnight at home that only drive locally <= 175-200 miles daily.
My only concern is charging speed, since I'm taking long road trips regardless. Range is fine, especially since there's a heat pump to help during cold weather. But, I need to see the following tested in the Solterra (not bZ4X):

1. 0-100% charge with specifics of SoC every minute and every %SoC along the way, and the kW all along the way to gauge exactly where the sweet range in the curve is. Again, Solterra, not what we've already seen with the pre-production bZ4X.

2. A 70 mph range test where a baseline highway mi/kWh efficiency can be determined.

Then, I can estimate how long it may take to put 100 miles of highway range into the battery, of course adjusting for conditions like temperature, wind, elevation, a/c usage, etc.

Until all the relevant information is known, and maybe however it turns out, I'm probably all in on the Solterra. Although it's a collaboration with Toyota, it's still a Subaru. And I want to support them since I love them, and they're a natural for the transition to electric.⚡
 

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Czech Republic - basically no information about Solterra on web. I am on newsletter, but nothing there.
On one hand I would like to have Solterra, but without information it is hard to tell. Also predefined equipment version doesn't sound nice for me. Not sure if I would be able to choose :)
I want to change car in about two years - older used Impreza. As we still have sparse public charging, sometimes we are doing trip to more rural areas where is even lower possibility to charge.
On the other hand with my year amount of driving, expected prices of Solterra and current gas prices it doesn't sound like logic choice.
The "challenge" of switching to electric car in my area and doing some trips with it sounds interesting, but probably will go with e-boxer, probably XV, which will cost me about one third of Solterra and after about 5 year with it hopefully I will get Solterra gen 2, or something like that.
 

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Discussion Starter · #32 ·
Well, another 75 basis point bump in interest rates and brutal market drops this week. Can't be good for those wanting to finance or lease a new vehicle. And with EVs costing more now, and no $7500 tax credit in the US, have to believe some are rethinking their Solterra purchase plans.

I know many are unhappy with the delays and looking at alternate EVs to buy. But who is thinking of dropping or delaying plans to buy any EV at this time due to rising interest rates?
 

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Well, another 75 basis point bump in interest rates and brutal market drops this week. Can't be good for those wanting to finance or lease a new vehicle. And with EVs costing more now, and no $7500 tax credit in the US, have to believe some are rethinking their Solterra purchase plans.

I know many are unhappy with the delays and looking at alternate EVs to buy. But who is thinking of dropping or delaying plans to buy any EV at this time due to rising interest rates?
Since I will be financing my purchase, and all the alternatives I would consider are in the same price range anyway, interest rate hikes affect all my choices more or less equally. It just makes the whole proposition a little more expensive.
 

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Discussion Starter · #35 ·
Since I will be financing my purchase, and all the alternatives I would consider are in the same price range anyway, interest rate hikes affect all my choices more or less equally. It just makes the whole proposition a little more expensive.
What it comes down to, is if you well off enough to afford the extra expenses, incl your other living cost increases. But for some, it comes down to priorities and maybe putting some needs above the wants.

Another consideration, is that some new car components, like batteries and chips, are more expensive now driving up the current cost of new cars. This could change in the next couple years, as supply pressures ease, and demand also drops with the higher interest rates and impending recession. So holding up to buy at this point in time, could put you ahead in the future. And not too mention, there will be many more EV choices then.
 

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Like it or not, purchasing an EV right now is a game for the "well off" or better. According to the July issue of Car and Driver, the cheapest EV being sold right now is the Leaf, at around $28.5K, and nothing else breaks the $30k barrier, with the 10th cheapest vehicle (the ID4) north of $42k. And those are base models (and in the case of the Leaf, dated tech). You can get a fully loaded, top trimline version of many ICE vehicles for that money.

As the market for EVs matures, prices may come down (or the same price will get better features, which tends to be the way the automotive industry operates), and better tech will become available. If you can afford to wait, or want to wait, the outlook will always improve over time. That's common sense with car buying in general.

It also doesn't apply in my case. I needed a new car back in June, when my trusty 2007 Impreza gave up the ghost. We're currently juggling to manage 2 vehicles for 3 people who work full time and also go to college / grad school part time. Since I can afford it, I'm not buying another ICE car, now or ever. Early adopters provide the cash flow and sales numbers necessary to make those future versions a reality.
 

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Like it or not, purchasing an EV right now is a game for the "well off" or better.
Looks like some people are opting for the purchase of an e-bike:


Right now, I commute to work by a plain old human powered bicycle. But the closer I get to my retirement, the more handy an electric power boost will become.
 

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Discussion Starter · #38 ·
Looks like some people are opting for the purchase of an e-bike:


Right now, I commute to work by a plain old human powered bicycle. But the closer I get to my retirement, the more handy an electric power boost will become.
Haha, I resemble that. I prematurely sold my Kona EV this spring which I owned for 3 years and loved, thinking I wouldn't have to wait too long for my pre-ordered Solterra and Ioniq 5. So now my wife and I have to share our only car, a 2018 Crosstrek. BUT I have 3 e-bikes and been making good use of one during the summer for short trips. Worked out pretty well, actually, and for the most part, it has not been too bad with the sharing. However, winter is not far off, and I don't expect my e-bike will do well in the rain and slippery streets.
 

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Discussion Starter · #40 ·
Markets now lower than at the end of 2019 and start of 2020 prior to the pandemic, wiping out all the gains of the last 3 years. And the outlook going forward does not look good with the recession fears. So with high inflation, wages not keeping up, and net worth of individuals plunging, hard to believe that we won't see a major pull back on new car buying.
Dow falls 500 points Friday as stocks book third straight quarterly loss, set new 2022 lows
 
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