Machinery Pete: Balers Are On A Roll

February 11, 2016 05:00 AM
 
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In December 2015, user searches for balers on MachineryPete.com spiked 11%. A double digit jump is impressive and speaks to buyer interest, which also was apparent in the auction data we compiled this past year.

The average auction price in 2015 for John Deere 568 round balers increased 3.1%, from $16,204 in 2014 to $16,703. The jump in price occurred in step with a whopping 83.3% increase in the number of John Deere 568 round balers sold at auction.

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   This 2013 New Holland BR7090 round  baler sold for $28,500 at a March 26, 2015 farm auction in east-central
North Dakota.

Usually supply and demand work the other way around. When there’s more for sale, prices fall. As I’ve mentioned lately, the number of machinery auctions has been on the rise big time, up 48.3% in October versus October 2014 and up more than 37% the first three weeks of December 2015 compared with a year earlier.

The highest auction price for a John Deere 568 round baler in 2015 came from southern Texas, where a model in like-new condition with only 1,342 bales under its belt sold for $36,000 at a farm auction on Jan. 10. Check out the data table on page 52 for more auction sale prices on balers.

The $36,000 sale price on the John Deere 568 that sold in Texas was just $3,000 off the all-time record of $39,000 for a 2010 model (1,335 bales) that sold at a March 28, 2014, farm auction in south-central Nebraska.

As we pick apart the data table, there are several interesting findings. For example, look at geography. So where do good used round balers that crank out 5’x6’ bales sell the highest? In addition to Texas, Canada appears to be a hot spot. Note the highest auction prices on both John Deere 569 and New Holland BR7090 balers came from Canada. 

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When it comes to geography, South Dakota kept popping up as I was going through our 2015 auction data on round balers. In fact, 36.4% of all the John Deere 568 round balers that sold at auction in 2015 came from South Dakota. Neighboring Nebraska sold 11.4%, Oklahoma, 10.2% and Texas sold 5.7% of the John Deere 568 balers up for auction in 2015.

Zero in on the “No. of Bales” and “Auction Type” columns in the data table. Obviously it’s important to know how hard a used round baler has worked. It’s also telling to know the type of auction, whether it be farm, consignment, online or on-site dealer inventory reduction. It’s no surprise the three highest prices came from farm auctions.

When analyzing John Deere 568 round balers on MachineryPete.com, I found 340 listings from 28 different states. Which state had the most? Nebraska topped the list at 17.4%, followed by Kansas at 10.9%, Minnesota 10.6% and South Dakota at 7.9%.

If you’re shopping for a good used round baler, now you know several  good places to look. Don’t forget to consult with your local dealer because they have access to used inventory outside your immediate area. 

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Click on picture to view larger image


If you’re in the market for used equipment, check out the all-new Machinery Pete marketplace. 
To shop for used machines from across the country, visit www.MachineryPete.com

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