Fed up with trade in values

[mountfarm]

Due to the changes in capital allowances it’s brought forward a few machinerychanges for us that would of occurred over the next 2-3 years. So we’re looking at trading a drill, a couple of trailers, a mower and a subsoiler. We’ve done our homework on values for private sales so know roughly where prices are. We expected trade in values to be 25% less than the private sale values as that leaves the dealer a profit for stocking our trades etc.

However they are offering about 30% of private values taking 70% cut. Prices of new stuff is through the roof yet trade ins seem to be pushed far lower than what they are really worth.

We’ve even asked the question would they rather not have the trade in but no they want the trade ins.

 

[Yale]

Sell them yourself..........

 

[Andrew K]

Do you really look after your machinery?
If so, well looked after kit of a well respected make normally sells itself. Why give the dealer the benefit if he is not competitive?

 

[Dave W]

I'm really not sure people understand how trade ins work

 

[Dave W]

Due to the changes in capital allowances it’s brought forward a few machinerychanges for us that would of occurred over the next 2-3 years. So we’re looking at trading a drill, a couple of trailers, a mower and a subsoiler. We’ve done our homework on values for private sales so know roughly where prices are. We expected trade in values to be 25% less than the private sale values as that leaves the dealer a profit for stocking our trades etc.

However they are offering about 30% of private values taking 70% cut. Prices of new stuff is through the roof yet trade ins seem to be pushed far lower than what they are really worth.

We’ve even asked the question would they rather not have the trade in but no they want the trade ins.

Would you be able to show rough figures where you're being offered 30% of retail value?

 

[kiwi pom]

A no brainer then, sell them yourself, make a heap of money and buy the new equipment with a straight deal.
What am I missing?

 

[Spud]

I changed a forklift earlier this year, felt similarly insulted by trade values.
I did some homework and entered it in a local online auction. Result? 32% better price after fees paid.

 

[Robt]

Sell them yourself! It’s easy! First to see will buy. I don’t know why we make it look so hard..........


Edit, then in 5 months. Trade them in!
Seriously, if you think they are worth more. It’s easy to sell yourself now

 

[stevedave]

This is because most trade ins are now underwritten by the trade. Main dealers don't want anything hard to sell or not of their brand on their forecourt. Despite what some on here say trade dealers only want to but at bottom book regardless of condition or service history and because of this all trade-in prices are too low. Before people star wittering on about privet sale some people don't have the cash flow to sit on an asset and saying you take a hit to sell to a dealer is fair enough but we still want a fair price.

 

[Drillman]

Bang them ohn the FB buy and sell pages. As long as pictures and description are good and price is sensible it won’t be for sale long.

 

[Devon James]

What mower have you got to sell?

 

[penfold]

Advertise each machine for what you think they are worth and see how much interest you get. If there is a lot there is a sale for yourself to be had. If not you have the trade in bids to fall back on. Nothing to lose.

 

[bobk]

What trailers

 

[marco]

Put up pictures of your trade ins here and see what people value them at. You probably will sell them here too.

 

[ARW]

I'm really not sure people understand how trade ins work

I’ve yet to have a trade in, all our scrap machines are banished to York sale! Howeverthink I get it, dealers price is to get rid of my horrible old machine for a few £££ less than I would like, or I enter it in an auction or advertise at what I would like then deal with the potential buyers.
Trade in is easy and gives you a deposit on the new machine
Private sale can be tricky and if it’s a prime mover and you need to flog the dead horse before paying for your new one.

 

[daveydiesel1]

I'm really not sure people understand how trade ins work

Care to elaborate

 

[Dave W]

Care to elaborate

Yes. Buyers often want to trade in with me. First thing I say is you'll get more selling it yourself. The reply is usually one of the following
"Oh were not really very good at selling things"
"We don't like folk round the yard looking at stuff"
"Too many timewasters"
Etc etc

then they somehow expect a dealer to give them retail money for a machine sat in nettle store covered in green that they couldn't be bothered to dig out and wash off

 

[Sebastian77]

Plenty of selling groups for agricultural equipment on facebook, plus Facebook's actual marketplace. Sold quite a few things in past year, and bought a few things too. No hassle really, very quickly spot the time wasters.

 

[Rattie]

Possibly easier to sell machinery than tractors etc. privately. If you are spending say £50k on a used tractor, you are probably going to want a warranty and you may want finance, both play into the hands of a trade in for an easy life. Dealers know that, but also have to accept the time, cost and hassle.

You often see people (on here) saying that their tractor is worth X at 3 years when working out their holding cost, forgetting that its worth X minus 20 - 30% as a trade in. They use the classified price as their expectation, forgetting/emotionally ignoring the dealers costs and margin.

 

[kill]

Really like the online auctions as you don’t have to have someone trying to find fault with a machine to buy it cheap but rather “it is what it is” and when they go home and think about it then can decide to bid or not so any viewing is some what more relaxed. And amazing what people will pay without viewing.