I need to buy a tractor!

OrangeAlex · Aug 24, 2005

( ( Bart,
I have a question. I am kind of curious about this. I went to John Deere web page and "built" a 3320 Hydro with 3000CX loader and the price came up at $23799 (not including freight). I assume you are saying that this is the list price. You said $19200 was more reasonable. A difference in $4600. 24% less then the John Deere web page price listing. Assume that the prices on John Deere's web page are list price, is it common for the John Deere dealers to discount 24% off list???? )

I know this is picking nits about inclusive and exclusivity.. but.. I come up with a 20% or so spread. And as was stated.. a discount of 24% off list ( 23799 ) would yeild more like 18087.24.. and not 19200.. etc. right? I.e. 23799$ minus 24% equals 18087.24.. etc..

Soundguy )

yep.. you are right.

seasalt · Aug 24, 2005

not withstanding the forgoing...for the best overall buying experience with people who want you to be happy call Orville at Fairway in Cleveland. Tell him I sent you.

Forget the dickering (just do your own math as a check) and go with his numbers, they will be clean and very good.

walked from another dealer Kyle knows because the knuckeheaded salesman couldnt cough up a tee shirt, coffee mug and a couple of hats after he did a bait and switch on me and jacked in some last minute add on fees (which I would have accepted had he tossed in the goodies I asked for). Wasnt the first time he had twisted off in a strange way over nothing so I walked. What a loss for them!

BTW - my favorite dealer line is - "...you dont need to check on anything else, I am telling you my numbers are good and that is all you need to know..."

WHAT??!! Where are you from? and what makes you think anyone trusts a salesman with their checkbook?

Dumb comment that adds nothing to credibility. anyone else have similar expereinces?

OrangeAlex · Aug 24, 2005

( OrangeAl,

first I belive you have the years and value reveresed for 2 and 3. second you took the difference between what you might make on an investment - cant do that. you are not investing this in an appreciating asset. you have to look at free money - that is what 0% is. difference between 0% for two and three is calculated on what two costs - nothing and what three costs - 3.9%??

)
Not sure I follow you here, please explain.. show me some numbers.

Also, there is no rule here as to what you can use your money for. Payment on investment real estate, Appreciating investments (both high and low risk), pay off higher interest rate loans faster (credit cards for example if you have any balance you are carrying), pay off your home or bare land mortgage faster. 3.9% opportunity cost seems a bit low. You poke at my numbers, but yet don't offer concrete numbers of your own. What do you think is a reasonable opportunity cost to you for spreading 20k over 3 years vs 2 years? 3.9%?. In your bio you are state that you are "considering [buying] small tract of land in hill country." Tell me, what interest rate do you expect to pay on this "opportunity" and how much do you expect it to appreciate on a yearly basis? 3.9% loan on bare land? 3.9% appreciation? I think you will find both numbers to be much higher then 3.9%. I picked 8% as my reasonable number which is a good middle ground between paying off debt or putting the money into an investment. Instead of telling me that my numbers are wrong, it might work better to show me your numbers so I can see where you are coming from.

Thanks
-Alex

OrangeAlex · Aug 24, 2005

( OrangeAl,

if you are looking at what you might make on your money if you put it elsewhere - that is the wrong basis. I am assuming you are committed to buying a tractor - (re: title of post), in that case there is no alternative investment.
)
This is where I believe we have a disconnect. There is ALWAYS an alternate investment. That is why I said Opportunity cost. You are free use of $20,000 however you like for a period of 2 or 3 years. Lets say you have another $20,000 worth of debt on a credit card paying at 10%. You have the choice to pay off the tractor in 2 years and the Credit card in 3 years. Or you can, flip it around the payments and decide to pay the tractor in 3 years and pay off the credit card in 2 years. What you have done is effectively saved money. Since you are paying off a debt which was borrowed @ 10% interest rate at a faster rate. Just because you are buying a tractor, does not mean there is not an alternate investment option available to you.
Total interest paid on 10% Credit card paid off over 2 years $2149.58
Total interest if paid off over 3 years is $3232.39. A savings of $1082.

-Alex

Ghostbrigade · Nov 3, 2005

Well tomorrow they deliver the JD 3320 HST R4 tires FEL 300X , 5 ft finishing mower and box blade. Paid $ 21,190 drive out. Compared around and that was the best price, besides the sales rep was fantastic and only 6 miles away.

Ghostbrigade · Nov 3, 2005

Well I pulled the trigger after months of angst. Tomorrow they deliver the JD 3320 HST R4 tires 300X FEL, box blade and 5 ft heavy duty finishing mower. Plus two JD hats!!!! Drive out price $21,190.00 , a bit more than I wanted to spend but got 5.49% 60 mos with 10% down.
QUALITY IS REMEMBERED LONG AFTER PRICE IS FORGOTTEN.

Akebalan · Nov 4, 2005

I live between Cleveland & Conroe, TX. I purchased a JD 5103 package last month. I looked a the JD dealer on loop 336 but got a bad feeling when they did'nt seem to want to do business with an African. So I went to the dealership in Cleveland on HWY 59 and got better customer service and better pricing. Just a little information.

Congradulations on your purchase.