How Do Farmers Afford Tractors?

I am a farmer, I go used, I always make the money and buy the tractor, zero borrowed money. Yes, I run older equipment but I do not let banks be involved in my life.

Holy shit, I couldn't sleep at night with those kinds of bills. Best wishes young man.

My head will NOT stop spinning after hearing each and every one of those tractor prices! Our biggest tractor was a brand new, 1949 Case SC. :)

And the reason why prices are through the roof is because of exactly this, your need to have the biggest and the best TODAY and willingness to pay interest means increased prices for everyone else down the line. Congrats!

$700,000 combine to harvest less than $6 wheat and $5 corn. In 1974 I combined $10 buckwheat and $5 wheat with an A6 Case combine purchased used in the late 60s for $300 in Minn. Did not have to farm thousands of acres to make banks money

very good video depending on the size of your farm u just need the big equipment for sure and love the big green machines be safe

Favorite tractor ... the 6150R. Love that series and am looking to buy one soon (6120 for me). Thanks for the video! Very helpful and loved hearing your insight and perspective. Thank you!

As a long time 5 generational farmer, the high costs are because farmers let manufacturers keep raising prices 20-30% every year. I own 11 Fendt’s, worth roughly 6 million… add another 5,000,000 in attachments and implements. The industry prefers farmers be in debt to these manufacturers to keep that industry alive. Farmers have no representation… farm equipment manufacturers have millions of dollars to hire the top lobbyists. Leasing is only something young farmers do if they want a new tractor but it’s the worst way to buy/rent.

Wow. Your fleet is so cool. Do that video when you get your sprayer. Thank u and your fellow farmers for all you do.

Great video! There's also all the technology you add on too and improvements that add to the cost.

This is why I believe our tech can read minds as well. I can just be thinking something and I get a recommended video or an ad for something I never said out loud haha. I say all that to say I was going past a farm about a week ago and they were plowing with huge John Deere tractors and my son was asking how they could afford them. I have no clue is what I told him. And now your video was on my recommendations a week later haha. Awesome video and explanation. Achievement unlocked: You've earned a new subscriber.

I'm 30 and I don't know what generation of farmer I am. My dad died 9 years ago now of a heart attack, probably from the stress of all the payments and debt. I ended up having to sell almost all my equipment but I was able to get us out of debt from the first time ever and I didn't have to lose the farm. Ended up getting much older equipment, as in an Oliver that I found is a sad state of disrepair and fixing it up. I don't set any speed records or production records, but I can sleep at night like a baby. If I can, I will make whatever attachment I can from hay forks, to box scrapers, to tillage equipment. I've even modified loaders to fit older tractors that they weren't made for.

Very good video Matthias! I knew equipment is very expensive, but necessary for an efficient operation. It's almost hard to believe that there's still room for profit after looking at all the costs associated with farming. Back to the tractors. 🚜 I'm pretty sentimental, so my favorite is the old Super M. In the same way, I have a couple of trucks, a Z-71 Silverado 4X4, and my dad's old Ford Ranger 2 wheel drive with the 3 liter V6. Dad's truck is my favorite, and it's still very useful for smaller and lighter jobs, like picking up a few bags of topsoil at Lowes. Dad bought it new in 1999. Today, it has 55k miles. My plan is to pass it down in the family, and I hope it will remain in the family.

Really enjoyed your vid. Good job!

Not much wear on any of the tyres, so I’m wondering how many hours per year you use all that equipment which then leads me to ask what is the ROI on all that investment? And is there an external source of off farm income propping it up?

All owned by the bank or Deere credit

Loved this video! My dad works for Hutson’s and I always pick his brain about financing and how transactions are made.

Its tough to make it farming, especially if you dont own your property outright. Subsidies and tax rights off are another way. One other way is to get a million subscribers on Youtube

2020 w/loader and 3020 lots of fun

One other method. John Deere tractors have high resale value. So farmers spread the depreciation over acres as a cost per acre. Then they trade up in 1 to 3 year cycles. Deere salesman already known the Second owner of the depreciated asset and sell it quicker. So most salesman spec the new tractor with the second owner as the priority.