Machinery Pete:

Agriculture.com Staff 04/27/2006 @ 1:00pm

More horsepower, but worth less?

Yep, seems odd, but the used tractor market can work that way. Take the venerable Deere 40 Series tractors, which were manufactured from 1978 to 1982. Check out our figures below, which highlight current values on a few of the 40 Series models, based on the auction sale price and dealer advertised price my company compiles.

JD 4840 VALUES (180 HP) Average auction price this year: $14,061 Average dealer ad price this year: $22,538

JD 4640 VALUES (156 HP) Average auction price this year: $16,747 Average dealer ad price this year: $20,850

JD 4440 VALUES (131 HP) Average auction price this year: $20,996 Average dealer ad price this year: $21,973

I don't have the exact figures from 25 to 30 years back, but I believe when they were new, 4840s list price was in the mid to high $50K range. The 4640s listed out new in the mid $40K range. While 4440s listed new for in the mid to high $30K neighborhood.

But look at our current auction sale price data and see how values have flipped, with 4440s worth significantly more than 4840s. Look at those 4440 values. Wow, so far this year they are selling at auction ($20,996) for 95.5% of the average dealer advertised price ($21,973).

What got me thinking 40 Series values was getting word of the 1982 JD 4840 in nice condition with 7,149 hours that sold recently in north-central Oklahoma. It only brought $8,000. Guess that's just our market-based system at work. Put it up for sale and the potential buyers judge how much they're willing to pay.

Click on the links below to view what a few other older 130 horsepower range tractors have been selling for at auctions around the country.

More horsepower, but worth less?

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