David Cockey
Bronze Member
montelatici said:"that generally the more you spend the more the depreciation will be, and the larger the loss if and when you do sell"
That is the problem. Since some of us are older and have gone through at least one tractor, we know better. Farm tractors don't really depreciate in money terms, like automobiles. I sold a 1985 Kubota B-5200 last year (to buy a BX24) at a slightly higher price in dollars than I paid for it. (sure the dollar was worth more then). I watched Ebay sales and I noticed that the same tractor with a FEL was selling at twice the price of the same tractor with a FEL at the time. I could have bought the FEL with the B5200 at the time, for a bit extra. I didn't and adding it on a year later was too expensive. Two years later it was even more expensive, etc., etc. until you couldn't find the FEL anymore.
That's why I said "generally". I agree that tractors don't depreciate as fast as automobiles, but they still depreciate once inflation is adjusted for.
A FEL may be a good investment if you resell the tractor, though I suspect it would still not pay off if you never used it and kept the tractor for more than a couple of years. The FEL we bought with our BX2350 was around $2000 extra (round numbers). If we sell the tractor after three years I'd need to get more than $2000 over what the tractor would have sold without the FEL to break even assuming I don't put any value on owning the FEL. Otherwise I would have been better off putting the money used to buy it in a savings account or money market. However, the FEL is very useful to us and I expect if we do decide to sell the tractor sometime (we tend to keep things for a long, long time) the $2000 will be considered well spent.