Classic and late-model iron has been a hot commodity with recent auctions breaking records. For example:
- A 2023 John Deere X9 1100 with 1,132 engine hours sold for $510,000. “That’s the highest auction price I’ve ever seen on an X9 1100 with over 1,000 engine hours,” Machinery Pete says.
- A 1982 International 5288 two-wheel drive, with 6,498 hours sold for $30,000.
- A 1993 Case IH 7110 with 4,436 hours sold for $45,500.
Despite the age of the machine, Casey Seymour says these older models still hold value for farmers in need of equipment.
Sweet Spots for Machinery Demand
The “sweet spot” in used equipment continues to be the 10-year mark, according to Machinery Pete. Everyone is looking for a 10-plus-year-old tractor in good condition with low hours, he adds.
Seymour broadens the sweet spot to the eight- to 12-year-old gap. A recent auction in Rock Rapids, Iowa, featured a 2004 John Deere 8120 with only 897 hours that sold for a record high of $158,000.
“That was almost 10,000 over the highest I’d ever seen,” Machinery Pete adds.
When it comes to the sweet spot, both Machinery Pete and Seymour agree the most value lies in the three- to -seven- year age range. At the moment, supply is limited, so machines might be harder to come by.
Then there’s the pre-DEF equipment.
“In 2015 and 2016, people weren’t going back and trying to buy a 2012 or something like that; it wasn’t on the radar, but today they are,” Seymour says.
When it comes to condition, the dollars add up when the equipment has been well maintained.
“If you want to trade, your dealer is going to be able to sell it immediately,” Machinery Pete explains.
He once heard of someone who “washed the cab with a toothbrush,” which says a lot about how the machine was maintained. Gold Key tractors, a John Deere machine whose owner participated in a special factory tour and drove it off the assembly line, also maintain their value. Going to the factory or providing specific maintenance details can make a huge difference, Machinery Pete explains.
Listen to the latest Moving Iron podcast for more from Machinery Pete and Seymour on the evolution of the buyer’s intent in tractors.
