The September Rouse Value Index™ for used equipment prices remained at 45.3, flat when compared to August values. This follows four consecutive months of declines primarily driven by weaker recoveries observed in auction transactions. While there has been some softness into the second half of 2015, the September Rouse Value Index™ remains 4.6% higher than the prior peak period of 43.3 in April 2007 and 52.7% higher than the prior trough period of 29.7 in June 2009. The Rouse Value Index™ measures the average Orderly Liquidation Values for benchmark models across fourteen major rental category indices on a monthly basis.

September auction sales of rental and construction equipment tracked by Rouse averaged 6.4% lower than Rouse August FLV values. In the month of September, Rouse recorded 3,650 units that sold at 33 separate auction sales conducted across North America. The units represented a combined FLV (as of August 31st) of $96.9 million and generated $90.7 million of gross auction proceeds. Despite a stabilizing trend in September, this marks the sixth consecutive month of declining auction recoveries. Rouse attributes these declines to a combination of: relative y-o-y increase in volume, equipment coming out of the oil and gas markets with “heavier use” than comparable equipment from the construction end markets, and weaker international demand coupled with lower purchasing power as a result of the stronger US dollar.

Read the full October 2015 Rouse Rental Report.