Hey there, fellow farmers and tractor enthusiasts! One question that I am constantly bombarded with is, “Hey Ryan, what’s my tractor worth now?” This question seems to follow me everywhere, from tractor pulls to online forums, and even at my last eye doctor’s appointment. But it’s not just tractors, it’s the value of farm equipment in general.
And I totally get it. Determining the worth of your equipment is not an easy task, especially in the current economic climate. In fact, in a recent survey, 82% of farmers mentioned that it was their biggest pain point when shopping for equipment. There are so many factors to consider, plenty of rabbit holes to fall into, and it takes a lot of time.
With all of this in mind, I’ve gathered my top tips for evaluating equipment. These tips may seem like common sense to some of you, but I still see farmers making mistakes when trying to put a number on their equipment. Plus, I’ll introduce you to a better way to stay updated on the value of your equipment.
So, let’s dive in!
Tips for Determining Equipment Value
Focus on the Present
Old results are fun to reminisce, but when it comes to determining the value of working farm equipment, you should focus on the past 3-6 months.
When it comes to negotiating with a dealership for a trade-in or making a private sale, the only sales numbers that hold any credibility are the ones that have happened within the last 3-6 months. Auction results and past sale prices are only relevant in casual conversations. In the real world, people care about recent sales figures.
Use Relevant Data
Assess the condition, hours of use, and wear of the equipment when comparing it to relevant sales data.
When looking at auction results or sale prices, it’s crucial to use data that is relevant to your specific circumstances. Be honest with yourself about the condition of the equipment you’re evaluating. If it has had multiple owners and has seen better days, don’t compare it to a well-maintained machine with low hours. Condition, hours of use, and wear on tires or tracks all play a significant role in determining value.
Consider the Sold Price, Not the List Price
The sold price is what matters, not the list price. These two numbers might be vastly different.
Looking at equipment classifieds or online listings can be misleading. The list price is not the crucial figure here. The only number that truly matters is the sold price, and tracking down that information, especially for private sales, can be challenging. Not everyone is willing to share the exact details of their transactions. So, don’t get caught up in the list price; focus on the sold price instead.
Avoid Social Media for Equipment Valuation
Social media is not the place to seek accurate equipment valuation. Beware of self-proclaimed experts.
If you turn to social media to find out what your tractor is worth, be prepared for a rollercoaster of misinformation. Threads on social media platforms often go in one of two directions. Either nobody has enough experience with the equipment to give you a reliable number, or you’ll encounter countless arguments between self-proclaimed internet experts. The truth is, none of these people truly know what they’re talking about. Their opinions are not backed by sufficient data. Avoid the frustration and disappointment that comes with these conversations.
Introducing My Equipment List
Now, what if I told you there’s a simpler way to keep track of what your tractor is worth? Good news! Tractor Zoom offers a powerful tool called My Equipment List, and it’s absolutely free.
After listening to farmers’ feedback, we built this tool to address the common pain points of equipment valuation. It’s incredibly user-friendly. Just provide some basic information about your equipment, and we’ll take care of the heavy lifting to help you determine its value.
Here’s how it works:
Enter your equipment details in a straightforward and simple process.
Our computers crunch the numbers, comparing auction sales results from nearly 600 auctioneers and inventory from over 1200 dealership locations. We provide both types of values – auction sales results and dealership inventory – giving you comprehensive and unbiased insights.
Create your equipment list today, and not only will you get the current value, but you can also revisit it later for updated values. Our computers will recalculate the number for you, ensuring you always stay informed.
Think of Tractor Zoom as your digital blue book for tractors, combines, planters, and other farm equipment. With our extensive database of over $20 billion in farm equipment sales and millions of data points, we offer you a reliable and accurate valuation based on real-time information.
Get Started with My Equipment List Today!
So, why stress yourself out and rely on unreliable sources when you can access accurate and up-to-date information with Tractor Zoom? Sign up for My Equipment List today and discover the true value of your equipment.
Remember, determining the worth of your tractor shouldn’t be a guessing game. Trust the experts and use the right tools to make informed decisions. Happy farming!
Disclaimer: The content of this article is for informational purposes only and should not be considered as financial or investment advice. Always consult with a professional before making any decisions regarding the purchase or sale of equipment.