Used Equipment Prices Dropped for 10th Straight Month, Rouse Report Says

The February Rouse Value Index for used equipment prices decreased to 43.6, down 0.7 percent from January values, the 10th consecutive month of decline, primarily driven by weaker recoveries in auction transactions.
April 3, 2016

The February Rouse Value Index for used equipment prices decreased to 43.6, down 0.7 percent from January values, the 10th consecutive month of decline, primarily driven by weaker recoveries in auction transactions. Despite recent softness the index remains higher than the previous peak period of 43.3 in April 2007, and far higher that the trough period of 29.7 in June 2009.

February auction sales of rental and construction equipment tracked by Rouse averaged 4.3 percent lower than Rouse January forced liquidation values on seasonally high volume because of large Orlando auctions.

During December, achieved rental rates as measured by the Rouse Rate Index decreased 0.6 percent on average for the rental companies participating in the Rouse Analytics Rental Metrics Benchmark Service. Rates dropped 0.2 percent relative to December 2014 and were up 26.1 percent compared to January 2011. December physical utilization declined 7.1 percent from November.

To read the complete Rouse Rental Report, click on: http://www.rouseservices.com/RentalReport/Rouse%20Rental%20Report%20-%20March%202016.pdf

About the Author

Michael Roth

Editor

Michael Roth has covered the equipment rental industry full time for RER since 1989 and has served as the magazine’s editor in chief since 1994. He has nearly 30 years experience as a professional journalist. Roth has visited hundreds of rental centers and industry manufacturers, written hundreds of feature stories for RER and thousands of news stories for the magazine and its electronic newsletter RER Reports. Roth has interviewed leading executives for most of the industry’s largest rental companies and manufacturers as well as hundreds of smaller independent companies. He has visited with and reported on rental companies and manufacturers in Europe, Central America and Asia as well as Mexico, Canada and the United States. Roth was co-founder of RER Reports, the industry’s first weekly newsletter, which began as a fax newsletter in 1996, and later became an online newsletter. Roth has spoken at conventions sponsored by the American Rental Association, Associated Equipment Distributors, California Rental Association and other industry events and has spoken before industry groups in several countries. He lives and works in Los Angeles when he’s not traveling to cover industry events.

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