What's going on with used 24-row planters?
Are used 24-row planters piling up on implement dealer lots?
Well, anecdotally I'd say yes. I took more than a couple of phone calls late this winter from folks reporting they were seeing an incredible number of 24-row planters stacking up on dealer lots. The calls seemed to be emanating mostly from the central to north-central region of the U.S., namely Iowa.
New equipment sales have obviously been more than brisk the last 18 months, including new planter sales. Hence a high level of trade ins.
But you know me, I don't want to hang my hat on strictly anecdotal evidence. I want cold hard facts. So let's take a quick look at recent auction sale prices on various makes and models of 24-row planters. In the data table below I've plucked out examples of 24-row planters I've seen sold at auction going back to November 2007, exactly when used farm equipment really began shooting higher.
What jumps out at me?
Some signs of softening values. Take the 2007 model JD 1770 sold December 16, 2008, in southeast Iowa. It was listed in 'like new' condition and sold for $105,000. Then look at the 2007 JD 1770 listed right above it in the table, another one in 'excellent' condition sold March 11, 2008, in west-central Kansas for $92,500.
Compare those 1770s to the 1770 sold February 15, 2007, on a sale in northeast Nebraska for $112,500. It also was in 'excellent' condition, always shedded, one owner.
From $112,500 in early 2007 down to $105,000 and $92,500 in 2008. As I said, some signs of softening used values on 24-row planters.
Just more proof of what I've learned over 20 years of tracking used farm equipment values - Things are always changing. Used values can depreciate at seemingly normal rates or have sudden steeper drop offs. Or used values can climb, climb and climb some more. So when you're to the point of being ready to buy, sell or trade a piece of used equipment, any type of used equipment, it can really pay to be plugged in to current trends.
Perhaps you've heard mentions of Twitter, "twittering" and "tweets" in the news media here lately. Me too. Falls under the heading of social media. Recently actor Ashton Kucher and CNN host Larry King engaged in a playful/competitive race to become the first Twitterer to have one million followers. Kucher nosed out CNN and good old Larry and his suspenders to win the race to one million followers.
That same week Oprah joined the Twitter fray and I read she had over 150,000 folks sign up to follow her tweets in one day.