Bear in mind that the Ford 8N is a seventy year old design based on an eighty year old design. They're popular because of their small size and simplicity, but they aren't very powerful and lack live hydraulics. The 800 series, although only a few years newer, is a much more modern design and quite a bit more powerful. There are several models in the 800 series: if it has a four speed transmission it is an 840. An 850 will have a five speed transmission and the most desirable model is the 860 which has a five speed transmission and live PTO.
Assuming your neighbor's tractor has a five speed transmission and is in good running condition with decent tires, $4200 sounds about right with the loader. The rear blade doesn't add much to the value unless it's a heavy-duty one. It's possible to repair the power steering, but it probably needs more than just a new pump. You'll find posts in the Ford forum on this topic.
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Today's Featured Article - Hydraulics - Cylinder Anatomy - by Curtis von Fange. Let’s make one more addition to our series on hydraulics. I’ve noticed a few questions in the comment section that could pertain to hydraulic cylinders so I thought we could take a short look at this real workhorse of the circuit. Cylinders are the reason for the hydraulic circuit. They take the fluid power delivered from the pump and magically change it into mechanical power. There are many types of cylinders that one might run across on a farm scenario. Each one could take a chapter in
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