“Hey Pete, if you were having an auction, what time of year would you choose?”
My answer to that question has been the same for the past 20 years: early November through December.
The Machinery Pete auction sale data shows prices are higher November through December due to the IRS Sec. 179 year-end tax write offs for new and used farm equipment purchases.
The chart from the Machinery Pete Used Values Index quarterly report shows how used equipment prices have increased in the fourth quarter for 17 of the past 20 years, going back to 2003.
Over the past two decades, farmers have taken notice of this trend. The year-end auction season has become semi-bloated. If you are selling, get to the front of the trough and aim for the first half of November. If you are buying, look toward later December for slightly better buys.
