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Writer's pictureAmy Leigh

What is a Dealer Trade-in for your farm machinery, and should you take their deal?


What is a dealer trade in?

Don’t Get Scammed by Dealers with Your Farm Machinery Trade-In

Farmers looking to upgrade their machinery often consider part-exchange deals offered by dealers, but these trade-ins don’t always deliver the best value. The trade-in process is certainly convenient, but farmers can often secure a much higher price by selling their equipment independently. This guide will help you understand your options, evaluate the trade-in offers, and maximize the value of your current machinery.


Why Trade-In Deals Aren’t Always the Best Option

When dealers make a trade-in offer, they’re typically looking to secure your machinery at a price they can sell for a profit. That means their offers might fall well below the equipment’s true market value. The first step to making an informed decision is understanding the market value of your machinery.


Step 1: Check the Retail Value of Your Machinery

Before accepting any trade-in offer, research the retail value of your machinery to see how much similar models are selling for. Here’s how to get started:

  1. Use Online Platforms for Market Comparisons Websites like AutoTrader, Farm Machinery Locator, and AgriTrader are great for getting a real sense of what your specific make and model are worth. Use the search functions on these platforms to find machinery similar to yours, including the year, condition, and any additional equipment or modifications. If your equipment is in good condition and has low operating hours, you might discover that it’s worth far more than you initially expected.

  2. Select Close Comparables Focus on listings that closely match your own equipment. Pay attention to factors like:

    • Model and year of manufacture

    • Condition and maintenance history

    • Additional features or modifications

    • Current demand for your specific equipment type

    The closer the match, the more accurate your market estimate will be.

  3. Compare Dealer Offers vs. Market Listings Once you have a sense of your machinery’s retail value, compare it with the dealer’s trade-in offer. In many cases, you’ll find that dealer offers are significantly lower than what similar equipment is selling for in the open market. This gap represents the potential profit the dealer would make on your trade-in.


Step 2: Evaluate the Value of Your Desired Upgrade

After evaluating your current machinery, take a look at what you’re planning to upgrade to. Here’s how to compare prices and ensure you’re getting a fair deal:

  1. Explore Dealer and Private Seller Prices Search for the same make and model of your desired upgrade on platforms like AutoTrader and Farm Machinery Locator. If you’re open to buying from private sellers, you may find prices are lower than those listed by dealers. Comparing these options can give you insight into whether the dealer’s upgrade price is fair.

  2. Determine the Price Difference Once you’ve calculated the market value of your trade-in and the price of the equipment you want, it’s time to look at the difference and see how it compares to the dealers' offer.


The Cost Difference: Trading In vs. Selling Privately

In many cases, selling your machinery independently yields a higher profit than a trade-in offer from a dealer. The difference could be substantial, especially when dealing with high-value agricultural equipment. Here’s a step-by-step breakdown of how to assess the cost difference:

  1. Subtract the Dealer’s Offer from the Market Value For example, if your equipment is worth £50,000 on the open market and a dealer offers you £35,000, you’re losing £15,000 in potential profit. Multiply this difference by the value of any additional machinery or equipment you might trade in, and the loss becomes significant.

  2. Factor in Convenience Costs Selling privately does take more effort, and that’s why many sellers opt for trade-ins. However, using a private assisted sale service, like Motor Kiwi, can provide the same convenience without sacrificing profit. Motor Kiwi manages the advertising, buyer communications, and paperwork while ensuring your equipment sells for its full retail value.


Private Sales with Motor Kiwi: A Convenient Alternative

Selling independently is often the most profitable choice, but it can also be time-consuming. That’s where Motor Kiwi’s Private Assisted Sale service comes in. Here’s how Motor Kiwi can maximize your returns:

  1. Higher Sale Prices Motor Kiwi’s sales process is designed to help sellers capture the highest possible value for their equipment by listing it at full retail price, rather than the discounted trade-in price offered by dealers. Motor Kiwi connects you with serious buyers willing to pay a fair price.

  2. Eliminating Upfront Fees Unlike many consignment services that charge sellers fees upfront, Motor Kiwi charges the buyer commission fees, so sellers retain more of their sale profits without upfront expenses.

  3. Professional Advertising and Marketing Motor Kiwi takes care of all advertising and marketing, creating professional listings that attract serious buyers. This includes capturing high-quality images and descriptions, which can make your listing stand out and drive up the sale price.

  4. Secure and Safe Transactions Motor Kiwi also provides a secure selling experience. They handle buyer communications, ensuring that your transaction goes smoothly from start to finish. This peace of mind is especially valuable when selling high-value agricultural machinery.


Benefits of Selling Privately or Using Motor Kiwi

While trading in offers the benefit of immediate convenience, selling privately or using Motor Kiwi has clear financial advantages. Here are some of the top benefits:

  1. Financial Gains: By bypassing the dealer, you can earn significantly more by selling at market value.

  2. More for Your Upgrade: Higher profits from your sale mean you have more budget to put toward a quality upgrade.

  3. Reduced Risk of Scams: Selling with Motor Kiwi means you’re dealing with serious buyers only, reducing the risk of scams or lowball offers.

  4. Increased Control: With a private sale, you control the price, negotiation terms, and can ultimately make more informed decisions regarding your sale.


How to Get Started with Motor Kiwi

If you’re ready to explore the private sale option with Motor Kiwi,Visit the Motor Kiwi Website and fill out our online form with details about your machinery. Motor Kiwi will connect you with one of our team members to discuss the listing. Motor Kiwi manages the entire sales process, from listing to finalizing the sale. You can sit back, knowing that your equipment is reaching serious buyers and that you’ll receive a competitive sale price.


Conclusion: Maximize Your Profits with Motor Kiwi

While trading in your farm machinery with a dealer might seem like the easiest option, you want to make sure the deal is worth it. Understanding the retail market value of your equipment, comparing private sale options, and using Motor Kiwi’s Private Assisted Sale service can help you achieve a better return on your machinery. With Motor Kiwi, you’re not just selling—you’re maximizing your profits, ensuring security, and simplifying the entire process.


Don’t settle for less when you can sell smarter with Motor Kiwi.

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