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Depreciation ($) of Used Tractor vs. New Ones

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Miguel

01-04-2000 11:12:57




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This is both a general question and a specific one. The general question: how much the price of a Lawn/Garden Tractor depreciates as time goes by? One figure I heard was, after 2-3 years of light usage, the price of a garden tractor will drop by approx. 1/3. Thus, a tractor which originally cost $3000, after 3 years, should be valued at approx. $2000. Does this sound right?

Now the specific question. I mow about 3/4 of an acre, and am saving my pennies to upgrade to a lawn/yard/garden tractor. Am currently looking at a relatively new Husqvarna YTH150 (15 horse Kohler Engine, Hyrdrostatic transmission, plus optional bagger). New, the tractor + bagger cost about $2000. What's a fair/reasonable used price to pay for it?

Thanks!

-- Miguel (Talent, Oregon)

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Larry Snyder

01-04-2000 21:51:39




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 Re: Depreciation ($) of Used Tractor vs. New Ones in reply to Miguel, 01-04-2000 11:12:57  
on e-bay I bought a 1974 compact tractor trade-in guide last week and have not received it yet. I would assume they kept their value more then, since there were less available. I collect bolens
tractors and are from 1967 to 1975 and paid from
$200 to $500 each. Not much, but all run well and
are each used for a different purpose. Point is
that the tractors are cheap, but attachments are
costly. best way is to seek out a dealer in the area and compare new to the used price. then you will develop a ratio to go by.
Larry in Klamath Falls,OR

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martin

01-07-2000 07:51:03




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 Re: Re: Depreciation ($) of Used Tractor vs. New Ones in reply to Larry Snyder, 01-04-2000 21:51:39  
The issue with an older tractor is hassle factor.

Hassle over older parts.
Hassle over parts breaking from use
Equipment no longer available

ETC...
So you have to ask yourself how much do I want to fart around with the tractor? The less you want to fart around the newer tractor you should get. If you do not mind or if you CAN work on it mechanically get an older Deere or wheelhorse or bolens.

You can pick these up with the same basic features uses for around 400-750 alot less than your 2000$.

There is usually some guy in town that has all the used tractors - he usually takes all the trade ins from the tractor stores find that guy and see what he has.

As far as the prices go 1/3 seems pretty high for only 2 years worth of use. Although if the person selling is moving and NEEDS to sell that seems like a good price.

Older tractors may actually cost MORE than their original prices because to get the equivalent would cost $$$$ more in today's price for the equivalent machines.

Also with the older tractors you tend to get all the implements that the guy bought for the tractor thrown into the deal, since they want to get rid of everything at once...

The best deals I have found were when people HAD to move or HAD to sell the item and I had the cash in hand to do the deal...

Martin

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