Pittsburg, Kansas | Lookingglass - 12/15/2015 18:15
Who had the consignment sale? After strolling Ritchie Bros lot and seeing brand new farm equipment on the sale it makes one wonder what things will look like in another year. My understanding is that there is quite a large inventory of new equipment from 2014 and 2015 owned by manufacturers that at some point will get priced low enough to move. Local dealer told me a couple months ago CaseIH had quite a few brand new 24 row planters being offered for under $150K which has to make a dealer with a 2 year old one on his used lot for $125K wonder what the future holds.
Of course at some point the supply and demand will balance out and good used equipment will be at a premium which will make new equipment look attractive again. But until we see the sales of 1-5 year old equipment slow down, it could be rough. I suspect there will be some good deals on 1-5 year combines, tractors and maybe planters tomorrow at St. Louis. Whole lot of S670's set up for the deep south that might get pretty cheap.
I think it was 82 (not for sure) I ordered a brand new JD4450 from the factory, had to wait a couple months to get it, and paid less than dealers were asking for 1000-2000 hour 4450's. That is how bad the used equipment market was back on late 70's. Put a lot of dealers as well as farmers out of business. A dealer getting caught with a lot of late model high priced used machinery, then steel and input prices drop and the mfg's cut prices to move new stuff........................ tough on the dealers.
John |
who you should talk to about Sec 179
