Machinery Market For Small, Used Equipment Still Strong

Buyers willing to pay for quality merchandise.

Published on: Oct 15, 2012

On the first Friday of every other month, one of the largest used machinery auctions in the Midwest is held in Indiana. It's the Ted Everett Machinery sale, held on his spacious facility near Monrovia, south of Interstate 70 in Morgan County. The facility features two barns with bleachers, and it's heated for chilly days.

In one barn, everything from golf carts to Gators and more drive through one at a time. In the other barn, the parade starts with small utility tractors, loader tractors, used equipment and continues until big tractors and combines go on the block in the afternoon.

From the size of the crowd and brisk bidding, it appears there is still demand for smaller equipment on todays market.
From the size of the crowd and brisk bidding, it appears there is still demand for smaller equipment on today's market.

Based on the October auction, there's still a market for good, small used equipment. However, buyers are discerning. They will pay $20,000 for a 60-horse John Deere with loader if it's in like new condition, but $5,000 for a slightly smaller model if it's well used and worn.

Occasionally, a tractor doesn't run and is sold as is. It is pulled through the ring by a running tractor, and both sell, one at a time.

This past sale, a John Deere 620 gas in original condition – good shape but not show condition – brought around $3,000. The secret to getting a good price is how good the equipment looks and how well it runs.

The secret to getting a bargain is bidding on something that you need, and knowing what it's worth. Everything from older, ground-driven New Idea manure spreaders in good shape to large Hydro-Push, high capacity John Deere spreaders went through the ring.

The equipment is available for inspection ahead of time. The auctioneer also makes announcements if a tractor has a repaired block or if there is some other defect. In cases where they're not sure, they sell it as is.