Rates Hold Steady, Leaving Equipment Buyers in a Holding Pattern

Central bankers made clear this week they are in no hurry to move rates in either direction, and equipment lenders are reading the message the same way.

Financing costs on new tractors and construction machines remain well above where they sat a few years ago, keeping some buyers on the sidelines and pushing others toward leases or low-hour used equipment.

"Nobody wants to sign a seven-year note right before rates drop," said one ag lender. "So a lot of people are running their old machines one more season."

Manufacturers continue to offer promotional financing on select models to keep inventory moving through the winter.