• • • Prices on late-model large tractors have risen recently
The good news: Values of high-horsepower FWDs (250 to 400 hp.) are up from the last couple of years. Dealers have sold off the massive tractor inventories that filled their lots since 2014. This, in turn, is pushing up asking prices (5% to 15% overall compared with 2017 and 2018) for high-horsepower machines, which means your trade-in tractor is worth more. This situation is being aided by the fact that dealers are anxious to sell brand-new tractors and, thus, are willing to make positive trade-in offers to move fresh-from-the-factory iron.
The mixed news: You are certainly going to pay more for a late-model, high-horsepower tractor than in the past four years, as large tractor prices have been at historically low levels. This price rise is relative in that dealers are also paying more for older tractors sought out by buyers looking to upgrade tractors that are 5 to 15 years old.
The change in market values should inspire sellers and buyers to ask a lot more questions, says Greg Roberg of AgDirect Sales. “Is there equipment I should be updating? Is there equipment that has more technology that I need? Do I have equipment out of warranty that will add to my downtime or repair costs?” Roberg asks. “Many times these factors will motivate decisions to upgrade equipment even if farmers are concerned about commodity prices. Do your homework ahead of time, ask yourself these questions, and go into the dealership to really find out what options are right for you.”