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Nw Iowa | That is just about the exact price you could have bought a new one prior to Covid. At least one that was priced to us. It could be a lot worse than what it brought. Some 200 hr 8RT’s brought between 325000 and 350000 for same hr tractors at RB in June As well as some other auctions. John Deere has way out paced inflation the way they priced their new. Talked to a guy yesterday, some dealers are already staring to lay off some personnel. We are only in the 2nd inning, most of these market corrections take 3 years to correct. That tractor was sold with no extra sales incentives and no trades. I am guessing dealer was okay with price. If he wasn’t he hasn’t been looking at comps since June
Edit Went thru texts from salesman this morning as I was curious, the quote we were given on a 8rx410 was 415000 on Oct 20, 2020. They had some extra gimmicks as they always did prior to the machinery shortage. In Nov 2020 got a quote for a 8RT370 for 381500 that was on order, salesman claimed it was 20000 less than net, so that one would be a 2021 model. Those were straight out prices. We bought a used one early next summer so didn’t buy new. Whole point is that things have gotten so high that what we think is a stupid cheap auction price is still higher than we could have gotten a new one 3 and 1/2 years ago. I don’t think in this environment many guys are going to plunk down 450000 when you can buy 200 hr wheeled ones for more than a 100000 less and probably close or wheeled model outselling it in 5-10 years.
Tractor was a great deal if you were going to order a new one straight out, but you have to remember, no financing, no zero interest, no trade, and probably limited warranty. Not too many guys walking around that can do that. Quite a few guys in low 300’s looking to replace a tractor.
Edited by jdironman 7/25/2024 09:06
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Things are getting out of hand on auction…
