The Convoy Is Losing Value, Too!

As a kid, and ok as an adult as well, I enjoy requesting truck drivers to blow their airhorn! It is a right of passage on every road trip... and, in fact, my generation might have been the last ones to do so in a rear-facing station wagon!

Thanks dad for all those trips to Iowa! Moza Fay, MBA knows what's up!

And while those powerful tractors won't be losing value because of blasting the airhorn for the kids in us, it seems like the market is cooling off fast for specific units.

According this article from J.D. Power , auction values for three- to five- year old tractors cooled off by 3.3% month over month in July while four- to six- year old sleepers depreciated by 7.1% during the same period.

According to Chris Visser , while auction volume was a bit lower in the month, there is more volume of older units with considerably higher mileage, widening the delta between what buyers want versus what is available.

And just like other reports which show long term trends, this doesn't need to be a "sky is falling moment" due to the fact that values for comparable trucks are still up 50.5% from pre-pandemic highs witnessed in January of 2019.

Chris does warn, which Holman is echoing industry wide, that "pricing will continue to fall closer to historical norms as increased inventory cycles through the market." He continued that "the adjustments back to more typical conditions continues."

One major concern that clients of mine have around taking tractors, equipment, or trailers into the wholesale space is their risk, exposure, and cost to do this. This is because the majority of #wholesale #equipment #auctions operate no reserve sales on a physical lot and take a large commission rates.

And by not reinventing the wheel, Holman decided to launch our own virtual auction based on what we would like to be charged as seller. This is why, with Holman Equipment Direct, sellers like you:

• Eliminate #risk - you have the ability to help set a floor, or reserve price
• Maximize your returns - no #commission based fees as sellers only pay a flat sale success fee
• Sell from your location - converting thousands of dollars in expenses to net returns

To learn more about Holman Equipment Direct, check out this client story or email me at [email protected].