Jim Farley, the CEO of Ford, is a true car enthusiast, which sets him apart from many other top executives in the auto industry. He doesn’t just focus on business numbers; he deeply understands the passion of car enthusiasts.
He knows firsthand that sometimes our financial choices as car lovers aren’t the most sensible. In fact, he has made similar decisions in his own life, like when he decided to mortgage his house to buy a Shelby Cobra he found in a barn, paying $100,000 for it. This happened before he became CEO and started earning a substantial $26.5 million salary package.
Recently, Farley appeared as a guest on the Smoking Tire podcast hosted by Matt Farah. Despite his busy schedule, Farley made time for the show, likely recognizing the value of connecting with car enthusiasts through such platforms. Watching the interview, I found myself liking him more; it humanized him and made him more relatable, showing that even powerful CEOs can share their passion for cars. Maybe I’m a bit skeptical, but I think it was a successful effort.
Farley’s discussion on the podcast wasn’t just about his early days and buying the Cobra; there was more to it, and I recommend watching the whole interview. However, his decision to mortgage his house for a vintage sports car stood out the most to me. It shows he’s just as passionate and sometimes irrational about cars as many of us are.
Taking such a financial risk for a car may not be the wisest move, but in Farley’s case, it paid off. His $100,000 investment in the Cobra decades ago is now worth millions, although predicting such outcomes in the car market is notoriously difficult. Very few people, even in his position, could have foreseen the Shelby Cobra becoming such a valuable collector’s item.
Buying a vintage sports car with borrowed money might not be the most prudent financial decision, like taking out a Home Equity Line of Credit (HELOC) for an early Acura NSX, for example. But life is short, and as car enthusiasts, we sometimes make these irrational decisions out of love for cars. Farley’s story is a reminder that sometimes these risks can pay off unexpectedly well.
Jim Farley’s passion for cars goes beyond his role as CEO of Ford. His willingness to share personal stories, like mortgaging his house for a classic car, underscores his genuine connection to the automotive community.
It’s a risky move that worked out for him, highlighting the unpredictable nature of the car market and the allure of classic automobiles to enthusiasts. So, while it may not be advisable for everyone, sometimes taking a chance on a dream car can lead to unexpected rewards.
