1951 Mercury Woody Wagon 3rd Generation

For 1949, Mercury introduced its first postwar model line. The first Mercury of the combined Lincoln-Mercury Division, the Mercury Eight now shared its body with the Lincoln (instead of the Ford). Keeping its 118-inch wheelbase, the Mercury was sized between its two divisional counterparts. In place of the updated prewar body, Mercury adopted a "pontoon" body, ending the use of running boards entirely, along with separate fenders. The 239 ci Flathead V8 was carried over, producing more power than in its Ford counterpart.

In a change to the model line, the four-door station wagon was replaced by a two-door model; the design of the wagon body structure had shifted to steel, relegating wood to body paneling (still manufactured at the Ford Iron Mountain Plant). An 8 tube AM radio was introduced as an option; full instrumentation was added to the dashboard. A new overdrive system was optional, activated by a handle under the dash.

The shift of the Mercury to the Lincoln body proved successful; alongside its Ford counterpart, Mercury broke sales records for 1949.

For 1950, the Monterey name made its first appearance, as Mercury introduced a high-end two-door coupe, similar to the Ford Crestliner, Lincoln Lido, and Lincoln Cosmopolitan Capri; the Monterey was intended to compete against the two-door hardtop coupes introduced by General Motors in 1949. The front suspension was independent with stabilizer bars.

For 1952, as Mercury redesigned its model line, the Monterey was established as a stand-alone nameplate, with Mercury renaming the Eight as the Mercury Custom.