Electric vehicles are coming. The government is making it a serious agenda item and the manufacturers are pumping up the factories. By the way, did you know it requires less manpower and fewer components to build an electric vehicle? Yes, it is cheaper to build. Now the components might be higher priced but one would assume that as the volume of production rises an economy of scale should bring down those components, though the cost of mining some of the materials may never be reduced. As my economics teacher would remind us, higher demand means higher prices.

At any rate, I was on a dealer lot recently, a Ford lot, and having read about the new electric F150, their best-selling vehicle, I thought I would look for this new model. Sure enough, they had a couple.

It’s a sleek looking vehicle and outwardly does not look much different than the gas powered F150. But look at the price!

Yup that’s $112,000!

So a little research…. With 20% down, and an interest rate of 5% your monthly payment (over 84 months) would be about $1300. If you preferred to pay over 72 months the payment goes to $1473 per month.

I don’t see us buying an electric vehicle in the near future, but at these prices, I wonder what percentage of vehicle sales will ever go to electric vehicles.