Lots of rust. Fenders rocker panels, rear wheel arches.
Electrical problems like low output from alternator (it still passes the test at the parts store, but only 51 amps).
Windshield washer pump failed, old switch and wires only supply 9.4 volts to aftermarket pump.
Battery drains down over night, but I added a quick disconnect to prevent this without spending a fortune on new wiring harness and other parts.
Passenger power window wouldn't work, but I fixed it myself.
Power door lock doesn't work.
Back seat is jammed and I can't fold it up.
The big 460 makes 400 ft lbs @ 2200 RPM, and when you rev the engine the whole truck shakes. It will cruise around town between idle and 1500 RPM, but guzzles gas at a rate of 8 MPG. The engine runs out of steam before 3000 RPM (like a NA diesel), and highway mileage is 12 to 14 MPG depending on speed and load.
I thought parts would be cheaper and easier to find, but that's not the case for fuel injected 7.5 L Fords. They changed the engine so much that parts do not interchange with different years of manufacture (92 is the worst year as some parts are different on engines made after April like mine).
The fuel injection makes a huge difference on drivability, as there are no problems starting on really hot or cold days, and it won't stall like earlier carbureted engines.
The 4 speed automatic transmission works great, and the overdrive switch on the shifter comes in handy on hills (it's a big improvement over the AOD trannsmissions that could only be shifted down into second instead of third). I don't have to ride the brakes like other drivers down all the long steep hills in my home town.
The rear ABS brakes work well enough.
Without 4 wheel drive or a locking rear end, the truck doesn't do well in the slippery stuff. There's no aftermarket lockers for the Ford 10.5 inch 12 bolt, unlike the earlier 9 inch or Dana 60 rear ends.
All in all, with prices so low on 1997 and newer models right now, I would suggest you buy a newer F series truck for daily use (5.4 L or diesel as the 4.6 L is weak and the V6 blows head gaskets). And leave these older trucks for occasional use, or as beaters or farm trucks.
I used mine daily for a few months, then only for hauling stuff and it has been just sitting in my driveway for the last year and a half. Gas prices are the main reason I don't drive it. Living downtown it's cheaper to take a bus or cab than pay for gas, insurance and parking. I like mine enough (and I could really use it right now) that I'm going to fix it up. But it would make more sense to buy a newer truck as they've made so many improvements over these older trucks.