Used Equipment Prices Drop Following 2022 Peak, Reports Say

Heavy equipment values on the resale and auction markets are showing a downward trend, according to recent reports.

Both the quarterly Rouse Market Trends report for Ritchie Bros. and the monthly EquipmentWatch February report indicated declining values for used construction equipment. 

“Throughout the year we saw consistent volume increases in many categories leading to pressure on median pricing,” said Doug Olive, senior vice president of pricing and appraisals at Ritchie Bros. “The transportation sector felt the pressure of high volumes, with median prices down significantly compared to the year prior. We will be monitoring to see if this trend continues going into 2024.”

According to the Rouse report, retail sales volume increased 16% in 2023 versus the prior year, with total volume returning to the levels last seen in 2019-2020. 

EquipmentWatchHowever, after peaking in November 2022, equipment values in the retail market declined 13% over the year, as new machine availability loosened following several years of Covid-induced supply constraints.

Despite the decline, the overall equipment values remain high, at 10 to 15% higher than long-term historical trends, according to Ritchie Bros.

Specifically, the Ritchie Bros. report states that prices and volume for wheel loaders and articulated trucks increased in the U.S. in 2023. Also, pricing for motor graders remained flat with there was a slight reduction in volume.