Are tractors and equipment a good investment right now?

[JudeSaunders]

I've been tinkering with tractors for as long as I can remember, and let me tell you, when it comes to reliability and efficiency, Fendt is where it's at. I've had the pleasure of chatting with some seasoned diesel mechanics, and they all sing praises about Fendt being the top dog in the game. These machines are like the superheroes of the farming world, packing more power at lower RPMs than anything I've seen before. And you know what that means? Less fuel consumption and quieter operation, which is music to any farmer's ears.
If you're still itching for more info on whether this investment is right for you, I stumbled upon this blog about Waveup NYC VC that really sheds some light on the topic. So why not give it a read and see if it helps you navigate your decision-making process?

 

[aircommuter]

They don’t have an industrial line.

 

[CliffordK]

As far as an "Investment". If you buy new, the resale value of your tractor will go down.

So, should you buy a 50 year old tractor? Well, that depends.

If you have a time critical job, or are working with customers that need the work done now, then you might prioritize dependability. So, getting something relatively modern might be good.

Does using the tractor make you money?

On the other hand, if you can do the work on an old tractor, and it fulfills your needs, then a well used one might be the right answer.

There are a number of industries that will be flipped upside-down in the next 20 years or so. Farming and Tractors will be one of them. We're beginning to see a few electric tractors hitting the market.

I probably wouldn't buy electric right now as they're evolving quickly. But, in 10 years one might not want a diesel tractor, or perhaps one would decide that one wished one had bought a diesel before they all disappeared from the market.

Or perhaps one would decide one wants a pre 2010 or so tractor before the DPF and DEF.

Some answers will depend on the urban/rural interface, ice/snow, way out in the boonies, large/small tractors, your needs, etc.

 

[Yander]

As far as an "Investment". If you buy new, the resale value of your tractor will go down.

So, should you buy a 50 year old tractor? Well, that depends.

If you have a time critical job, or are working with customers that need the work done now, then you might prioritize dependability. So, getting something relatively modern might be good.

Does using the tractor make you money?

On the other hand, if you can do the work on an old tractor, and it fulfills your needs, then a well used one might be the right answer.

There are a number of industries that will be flipped upside-down in the next 20 years or so. Farming and Tractors will be one of them. We're beginning to see a few electric tractors hitting the market.

I probably wouldn't buy electric right now as they're evolving quickly. But, in 10 years one might not want a diesel tractor, or perhaps one would decide that one wished one had bought a diesel before they all disappeared from the market.

Or perhaps one would decide one wants a pre 2010 or so tractor before the DPF and DEF.

Some answers will depend on the urban/rural interface, ice/snow, way out in the boonies, large/small tractors, your needs, etc.

This has not been my experience on a couple of my tractors. I bought two of them and used them for a period of time 2 - 5 years and got more from them than I paid when I sold them.

 

[CliffordK]

Ok, I was browsing Greenworks chainsaws over the last few days. But, I also bumped into their lawnmowers. I'm not ready for the purchase yet, but it is food for thought.

Ok, so they're rather optimistic on their price comparisons. And that is driving the mower almost continuously. Golf course, or several golf courses?

However, if I was a manager for commercial mowers, I'd carefully consider whether electric would suit my needs better than gas/diesel.

And, if the prices between electric and gas/diesel would get closer, then the electric would become much more price competitive.

This will also impact other tractors over time.

So, gas/diesel tractors long term? It is hard to say... but they could change very quickly.

 

[rScotty]

I look at tractors and implements as a long term investment in yourself. With a tractor, a person gets more done with his time, and it reduces the strain of heavy work.

When it comes to buying anything, the investment metric is always "value vs cost". My personal value system is that half the value of any investment is in what I can do and the rest in what I learn.

So to maximize both doing and learning while minimizing cost, I would say to buy a good used one at first and expect to learn how to maintain it and do repairs.

rScotty

 

[Hay Dude]

I've been tinkering with tractors for as long as I can remember, and let me tell you, when it comes to reliability and efficiency, Fendt is where it's at. I've had the pleasure of chatting with some seasoned diesel mechanics, and they all sing praises about Fendt being the top dog in the game.

Another amazing thing about them is how much money they bring as used tractors. A 300HP used Fendt with 10,000 hours will sell for $125,000

 

[CliffordK]

This has not been my experience on a couple of my tractors. I bought two of them and used them for a period of time 2 - 5 years and got more from them than I paid when I sold them.

Did you purchase them new or used?

The used market will be tied to the new market. If it is going up quickly, that will impact the used market. Perhaps the showroom floor depreciation isn't as high as I might otherwise expect.

Also availability and waiting lists will impact the used market.

 

[Yander]

Did you purchase them new or used?

The used market will be tied to the new market. If it is going up quickly, that will impact the used market. Perhaps the showroom floor depreciation isn't as high as I might otherwise expect.

Also availability and waiting lists will impact the used market.

Both were used. Yes, lots of variables affect the used market. I think the used market is much more of a buyers market right now. I see some good prices.

 

[CloverKnollFarms]

Ok, I was browsing Greenworks chainsaws over the last few days. But, I also bumped into their lawnmowers. I'm not ready for the purchase yet, but it is food for thought.

Ok, so they're rather optimistic on their price comparisons. And that is driving the mower almost continuously. Golf course, or several golf courses?

However, if I was a manager for commercial mowers, I'd carefully consider whether electric would suit my needs better than gas/diesel.

And, if the prices between electric and gas/diesel would get closer, then the electric would become much more price competitive.

This will also impact other tractors over time.

So, gas/diesel tractors long term? It is hard to say... but they could change very quickly.

Im in the market for a stander, but theirs is like $24k... I can buy a new commercial gas for $8k