used tractor prices - wither they go?

[newbury]

Just ran across an article
Kubota Forecasts U.S. Tractor Market to Contract (Update1) - Bloomberg.com

to quote:

March 25 (Bloomberg) -- Kubota Corp., Asiaç—´ largest tractor maker, expects the U.S. market for the machinery will shrink 15 percent in 2009 as a recession saps demand.

The tractor market "may deteriorate further" unless a slump in sales stabilizes in the second half, Managing Director Tetsuji Tomita said in an interview. A 50 percent drop in demand for mini excavators in the U.S. and Europe may continue for the next six months, he said.

Maybe I should be looking at a mini-ex?

 

[EddieWalker]

I haven't been to a dealer lately, but I've been to the auction a few times this year with my brother, who's looking for a tractor. We've seen some really great prices on some almost new machines. We went hoping to find a good deal and were overwhelmed with too many to chose from. This is at the Noonday Auction Noon Day Tractor Auction

Dealers come from all over the country to buy tractors and equipment. We got caught up in how cheap everything was that we didn't buy anything. After it was over, we realized how many deals we missed out on. I saw a gas powered Club Car with hydraulic tilt bed that was very clean, only had a few hundred hours on it and watched it sell for $2,600. My brother couldn't decide on what he wanted and he let a 45 hp, 4x4 Branson with a loader on it and 400 hours sell for under $8,000. Two months later, he's still sick about missing out on that one!!! All the brands were there and there were dozens and dozens of them with just 100 to 300 hours on them.

I think people were dumping them because they are low on cash and a tractor is a luxury item for small acreage that they really don't need to be making payments on right now. This month, the prices were about the same, as was the selection. We didn't see anything as good as that deal with the Branson go through, but think that there will be more and more of those deals in future auctions.

Eddie

 

[newbury]

I'd been following IronTrader auctions and prices on used Kubota's were not that great recently, just slightly below Barlow's.

 

[California]

An observation here FWIW.

A Sacramento Valley firm that imported and repainted gray market tractors on-site has closed.

The firm's target customer was mostly weekenders, hobby users. They got top dollar for their immaculate tractors. Apparently that customer base disappeared.

 

[rutwad]

I haven't been to a dealer lately, but I've been to the auction a few times this year with my brother, who's looking for a tractor. We've seen some really great prices on some almost new machines. We went hoping to find a good deal and were overwhelmed with too many to chose from. This is at the Noonday Auction Noon Day Tractor Auction

Dealers come from all over the country to buy tractors and equipment. We got caught up in how cheap everything was that we didn't buy anything. After it was over, we realized how many deals we missed out on. I saw a gas powered Club Car with hydraulic tilt bed that was very clean, only had a few hundred hours on it and watched it sell for $2,600. My brother couldn't decide on what he wanted and he let a 45 hp, 4x4 Branson with a loader on it and 400 hours sell for under $8,000. Two months later, he's still sick about missing out on that one!!! All the brands were there and there were dozens and dozens of them with just 100 to 300 hours on them.

I think people were dumping them because they are low on cash and a tractor is a luxury item for small acreage that they really don't need to be making payments on right now. This month, the prices were about the same, as was the selection. We didn't see anything as good as that deal with the Branson go through, but think that there will be more and more of those deals in future auctions.

Eddie

Eddie, I was in a similiar situation recently. I went with my Dad to the pre-suction inspection to look at TLB's. He went to the auction by himself and bought one. My friend and I went to pick it up, so I really did not get into the auction and pricing, but I did pull up the auction results after it was over. Well, I have tried kicking myself in the arse several times after seeing a few deals......no, more like steals, that I missed out on.

The one I wish I could have bought was a JD450D LC. They also seemed to have great deals on dozers. Backhoe prices are good, but not down as much as other equipment.

A couple of weeks later I went to an auction selling JD 6715 farm tractors. They seemed to be selling at a decent price. I had a top price set in mind, and they went for just a couple grand more. I don't really know how good of a deal they were since I have found so many different prices on these tractores, it makes it hard to tell.

But you can bet I am chompin' at the bit waiting on the next auction. If somebody buys my trucks, I may just end up driving a JD!!

 

[EddieWalker]

What was the price on the JD 450D? That's a huge machine, way bigger then I'd every want, but I'm still curious what it went for.

There was a very nice, very tight New Holland E130 excavator with 1,200 hours on it that I was very curious about. I really would like to have one a bit bigger, like 16 tonne unit, but would be happen with a 12 to 13 tonne machine if I could afford one. It started right up, ran smooth, and everything was very tight on it. Just a joy to sit in the cab and play around with it a bit.

Next to it was another, but it was a little looser and had a few more hours on it. Then there was an older JD that was used and abuse. Scary just to try to operate it since I didn't know when it would stop or how far it would turn. Sort of did it's own thing and responded when it felt like it!!! hahaha

I did see a Cat trackloader sell for $8,000. It was fairly new and the big one. Easily a three yard bucket on it, but it was smoking and leaking several different colors of fluids. It was a miracle that it made it into the barn and then out again. The smoke was more like something used in war time to hide from the enemy. Anyway, somebody bought it and everyone joked that he was just going to sell it as scrap.

Eddie

 

[EddieWalker]

What was the price on the JD 450D? That's a huge machine, way bigger then I'd every want, but I'm still curious what it went for.

There was a very nice, very tight New Holland E130 excavator with 1,200 hours on it that I was very curious about. I really would like to have one a bit bigger, like 16 tonne unit, but would be happen with a 12 to 13 tonne machine if I could afford one. It started right up, ran smooth, and everything was very tight on it. Just a joy to sit in the cab and play around with it a bit.

Next to it was another, but it was a little looser and had a few more hours on it. Then there was an older JD that was used and abuse. Scary just to try to operate it since I didn't know when it would stop or how far it would turn. Sort of did it's own thing and responded when it felt like it!!! hahaha

I did see a Cat trackloader sell for $8,000. It was fairly new and the big one. Easily a three yard bucket on it, but it was smoking and leaking several different colors of fluids. It was a miracle that it made it into the barn and then out again. The smoke was more like something used in war time to hide from the enemy. Anyway, somebody bought it and everyone joked that he was just going to sell it as scrap.

Eddie

 

[newbury]

Looks like the industry is starting to feel the pinch.

Article - WSJ.com

Deere's consumer and commercial division includes the production of residential and commercial lawn mowers, turf-care products for golf courses, irrigation systems and small utility vehicles.

The division's sales have been affected by declining volumes in residential construction and a pull back in discretionary spending by homeowners.

The division's sales fell 25% during Deere's fiscal first quarter. It posted an operating loss of $59 million, compared with an $8 million profit a year earlier. The Illinois-based company anticipates the division's sales falling by 14% this year over 2008.