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Peterson Says "Maybe Never Better Time To Buy" ??

4K views 20 replies 15 participants last post by  steve IN 
#1 ·
#3 ·
My thoughts (and fifty cents will get you a cheap cup of coffee) are that next year should be an even better time to buy.

1) With low grain prices, a lot of people will be in a mid-year bind next year after seed, chemicals and fertilizer bills come due. CHS hereabouts is offering a deal to buy seed now with NO payment due until next November and 0% interest. Shows how tight they must think things will be.

2) People are buying older equipment now at premium prices. Second tier equipment is not yet on the market but will come up for offer because sellers will be thinking their newer, lower hours equipment will be worth even more. They'll be anxious to sell, espeically if they have committed to a brand new piece of equipment.

Just my thoughts.

Ralph
 
#5 ·
I returned the MF 7726 tractor this morning that I demoed and rented this last week. Though I told the salesguy that I didn't want to buy anything until at least next fall he wants to write up an offer or even search for a very lightly used newer similar tractor and write up a proposal for a trade with my JD 7810. Can't fault him as it is his job. It will be interesting to see what he comes up with. The MSRP on a MF 7720 with the features I want is about $204k. I'm not opposed to see any offers. My wife is strengthening my backbone to say no even if it's a good offer.
 
#7 ·
Like the comment....spoken like a true conservative. I'm with him, when cash flow is minimal, it's best to keep spending minimal. "Jest aint enuf money circilatin"......(what grandad always said anyway)
True conservative? Nope. True conservative would speak very highly of zero payment programs. I sense tongue in cheek with the "fine" comment.

"With grain prices well below the cost of production and a total goose egg from our fine farm program, I can't think of a worse time to buy."
 
#8 · (Edited by Moderator)
Many grainers may not have the excellent yields next year like they had this year, which was a saving grace for a lot of folks this year.....if that occurs, it will be a total buyers market on much of the late model used equipment. I wonder how many of these late model sell offs are Tier4 related somehow?

Regards, Mike
 
#10 ·
A good wife can have a way of doing that......think they call it "keeping us in check"...kinda unfair, they do hold the better hand ;)
Just had this conversation with the Mrs..........uh, not the best time to buy......Pete!
 
#12 ·
If there are great incentives on new and good trade values and you need a new tractor that might make you more efficient and you can afford it then it might indeed be a good time to buy. Like I have a friend that leased a new MF sp swather. He had a pt swather and that was a bottle neck in his operation.
 
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#13 ·
1) With low grain prices, a lot of people will be in a mid-year bind next year after seed, chemicals and fertilizer bills come due. CHS hereabouts is offering a deal to buy seed now with NO payment due until next November and 0% interest. Shows how tight they must think things will be.

2) People are buying older equipment now at premium prices. Second tier equipment is not yet on the market but will come up for offer because sellers will be thinking their newer, lower hours equipment will be worth even more. They'll be anxious to sell, especially if they have committed to a brand new piece of equipment.
Mostly, I agree. My "financial advisor" (not the wife) has been telling me for the past year "hang onto your cash. It's gonna get worse soon and all you'll be able to buy it when no one else has cash."...Of course, my "want list" can be fulfilled from items that the week-end warrior pays too much for and plants deer food plots and rakes their arenas. The 100+ HP stuff MIGHT not drop as fast because more of it was purchased with aforethought. A lot of the 40-70 HP stuff (in my opinion) get bought with no intention of making full use of it (Kinda like town-folk driving the latest Dodge Dually with chrome wheels, smoke stack, and bed cover).

But Ralph, I rarely disagree with any of your thoughts, but I am afraid that senility may be catching up with you...

My thoughts (and fifty cents will get you a cheap cup of coffee
You can't buy a cup of coffee for fifty cents anymore...even a cheap one. ;)

73, Mark
 
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#19 ·
Still say it's easy to tell somebody to buy something if their hand isn't in your pocket. Kinda like the national healthcare ponzi scheme.
 
#20 ·
I beg to differ. He isn't exactly a weatherman. He has a reputation to uphold.
Absolutely he does. He is also on the payroll of Sucxessful Farming media, which is in part on the payroll of NAEDA (North American Equipment Dealers Association).

I just know that in our area, very few major purchases being made. Of course you have those guys who roll combines every year, and those who buy new for various reasons. Most of those are also spending money made generations before them.
 
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