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I'll just let the numbers do the talking. Sold on an auction December 14, 2007, in northwest Iowa: 1993 Case IH 5240 MFWD tractor with 1,814 hours, excellent condition, sale price: $53,000. Sold September 19, 2009, on an auction in north-central Ohio: 1996 Case IH 5240 MFWD tractor with 1,841 hours, excellent condition, sale price? $42,000.
So did the Case IH 5240 sold recently in Ohio for $42,000 go on the cheap? Hardly. A sale price of $42,000 is in fact the second highest auction sale price I've seen in the last 13 years on a Case IH 5240 tractor (100 horsepower). Rather, what these wildly varying sale prices show us I think, is where the used farm equipment was and where it is now. Note the sale date on the Case IH 5240 sold for $53,000 in northwest Iowa, December 14, 2007. That was about one month into the great surge in commodity prices. Almost two years down the road now, as I sift through the auction sale price data my company compiles, a clear picture takes shape. Late in 2009 used equipment values are still strong, especially on very good condition low-hour equipment, but values are down a bit as we're coming off a record high period for used equipment values. That record high period was November 2007 to December 2008. More proof for you chiseled from the auction sale price data I compile. |
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| Case IH 1063 corn head values | ||||||||||||
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Data from Machinerypete.com.
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| John Deere 4430 tractor values | ||||||||||||
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Data from Machinerypete.com.
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| John Deere 9600 combine values | ||||||||||||
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Data from Machinerypete.com.
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| Westfield 61' x 10'' augers | ||||||||||||
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Data from Machinerypete.com.
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Just a few examples here. While it's easy to look at these figures and say used equipment values are falling, remember to keep things in context. See in each example I've provided that used values this year, while down from highs in 2008, are still very strong compared to two, three and four years ago. I forecast we'll see more of the same the rest of 2009 on into 2010, strong used equipment values. . . just not quite as strong as 2008. So $42,000 for that 1996 Case IH 5240 MFWD tractor with 1,841 hours sold 12 days ago on the auction in north-central Ohio? Nope, not $53,000, but still awfully good money in my book. Click on the links below to view more of my auction price data on Case IH 5240s and other 100 horsepower tractors. |
