Machinery Pete: Used round baler values falling
Values on used round balers are down.
They were down in 2009 and have been getting softer so far here in 2010. Haven't been many (any?) soft spots in the used farm equipment market here the past 3-5 years. But I began to notice auction sale prices paid for round balers falling last year. Certainly understandable given the difficulties in the cattle and dairy sectors.
Values have been falling on both older model round balers and also late-model used round balers. Let's start with older iron and work our way up to the newer models. On Tuesday (April 20th) on a large auction in north-central North Dakota, a 1985 model Vermeer 605G round baler in good condition sold for $1,300. Compare that sale price to these 605Gs:
- $3,500: sold 4/6/08 in south-central Minnesota, good condition
- $2,300: sold 7/22/05 in east-central North Dakota, good condition
- $1,800: sold 4/7/03 in north-central North Dakota, fair condition (1981 model)
The numbers tell a similar tale with values on JD 530 round balers, a staple of decades gone by. These figures from our "Calculator" pricing tool at Machinerypete.com:
Average Auction Sale Prices on JD 530 Round Balers
- 2010: $3,330
- 2009: $3,325
- 2008: $3,564
- 2005: $3,807
- 2004: $4,619
- 2003: $4,450
- 2002: $5,283
Now let's shift gears to newer, late-model round balers. Back to Vermeer for a look at 605XL model round balers. I've seen (5) sell at auction in the last 12 months. Sale prices have ranged from a low of $6,500 (sold 3/5/10 in northeast Nebraska, good) to a high of $9,250 (sold 3/6/10 in southeast Minnesota, excellent, done 2,600 bales). Average auction sale price on these last (5) 605XLs = $7,670.
One of those (5) 605XLs sold was a nice 2004 model that brought $7,600 on an auction in south-central Kansas on 11/19/09. That 605XL had done 4,300 bales. Compare to these 605XLs sold during stronger times for hay equipment values:
- $10,100: sold 1/26/08 in northeast Missouri, 2001 model, good, done 17,000 bales
- $12,000: sold 11/29/08 in northwest Illinois, good
- $9,700: sold 2/13/07 in west-central Nebraska, good, 2001 model
- $10,000: sold 3/1/06 in northeast Kansas, good, 2001 model
- $14,500: sold 4/21/06 in northeast North Dakota, 2002 model, excellent, 4,134 bales
Other makes of late-model used round balers have also dropped in value. On a nice farm auction February 23, 2010 in southeast Iowa, a 2008 model JD 568 in "like new" condition that had done only 2,594 bales sold for $20,250. Back in early 2009 a nice JD 568 would have sold in the high $20K to low $30K range, easy. Don't believe me? See for yourself: