huckie
Bronze Member
wondering how people feel about kubota rates come the 1st of Oct. up or down, maybe stay?
rates
- Thread starter huckie
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pgmmaf
New member
Hard to believe they could come down from the 0% i'm getting on my soon-to-arrive 3430 
Well my crystal ball is as clear as any. Home starts and resales are down, so fewer people taking big equity and moving to the country. The Fed may have leveled off on the interest rate increases, even some talk of dropping 1/4%, so still affordable to offer limited 0%. Plus Detroit, as usual, is having problems. Don't see excess cash floating around for what, for many, is a discretionary purchase.
How have Kubota's sales been this past year, what models are sitting on the lots? Will the fall/winter be a time of higher or lower tractor demand? I saw one dealer with eight L3400s; I am glad that a 3400 is at the top of my list.
The 0% is really a way of lowering the tractor price without setting a lower price that everyone will compare with next year. An $18K purchase at 0% pays off at $500/month in three years. At 7%, it would take $556/month for three years. So the zero percent saves the buyer about $2K, enough for an implement or two.
If sales have been good then no more 0%, but sales probably haven't been that good which is why 0% has lasted this long. I would guess they will keep the 0% on the leftover 2006 tractors and wait until next spring to see if the 2007 sales need help.
Won't have to wait long for the answer.
Cal
How have Kubota's sales been this past year, what models are sitting on the lots? Will the fall/winter be a time of higher or lower tractor demand? I saw one dealer with eight L3400s; I am glad that a 3400 is at the top of my list.
The 0% is really a way of lowering the tractor price without setting a lower price that everyone will compare with next year. An $18K purchase at 0% pays off at $500/month in three years. At 7%, it would take $556/month for three years. So the zero percent saves the buyer about $2K, enough for an implement or two.
If sales have been good then no more 0%, but sales probably haven't been that good which is why 0% has lasted this long. I would guess they will keep the 0% on the leftover 2006 tractors and wait until next spring to see if the 2007 sales need help.
Won't have to wait long for the answer.
Cal
Assuming Kubota wants to help the buyer with a 60 month loan as much as the 36 month loan, then they would lower the previous hypothetical 7% normal rate to 3%, savings approximately $2000 in interest.
To a bank the longer loan has higher risk so they may not 'help out' as much.
Cal
To a bank the longer loan has higher risk so they may not 'help out' as much.
Cal
Musclford
Silver Member
b33b said:
I believe the last time I looked New Holland had 0% for 60 months, so Maybe your wish will come true... If nothing else, because of competition..
NJDiverDan
Member
When I was buying my BX24, Massey had 48 months at 0%. I would think Kubota will problaby match or exceede Massey, if they felt sales are being lost to them. On 60 months, I don't think you will see much of a change, but again, Massey was lower than Kubota.
-dan
-dan
