Many people are running into the same problems when trying to find the right price for used heavy equipment.
Online pricing is confusing, because 99% does not represent the actual sale prices…..only ask prices.
With no pricing resource, how do you know you’re making the right decision when purchasing or selling used heavy machinery?
There are a few resources that can help you determine Values:
=> You can go to Ritchie Bros Auction and compare the past auction results. The problem; however, it can be difficult to pull the pricing data.
=> There are excellent pricing resources on the Rouse Services & Equipment Watch websites; however, the cost will be approximately $5,000 – $6,000 dollars annually. For a rental company or dealership, this makes sense, but for the individual this is simply not an option.
Expert Heavy Equipment (EHE) is an industry leader in pricing transparency. We spend thousands of dollars annually for a subscription to Rouse Services, the pricing authority for the industry.
Ritchie Bros, Ironplanet, branded dealerships and major rental companies (United, Sunbelt, Herc) submit data and subscribe to Rouse Services. The pricing indicated on the reports are representative of real sale prices within each sector.
The three pricing brackets/sectors that are evaluated are:
FMV (FAIR MARKET VALUE): Represents the average retail sale price. The machines that are sold at FMV are in like-new condition, often with financing options available.
OLV (ORDERLY LIQUIDATION VALUE): Represents the average private sale price. This pricing is gathered via UCC liens that are filed. The cash transactions are not captured, but would typically lower this number regardless.
FLV (FORCED LIQUIDATION VALUE): Represents the average auction sale price. The majority of this data is submitted directly from the two largest auctioneers in the world, Ritchie Bros & Ironplanet. These two auctioneers garner the highest auction pricing in the industry due to their global audience. However, the seller is required to pay 10% seller premiums plus the cost of freight to the auction site.
EHE is one of the only companies in this industry that is transparent with the pricing whether buying or selling. Our reason for this is to build trust and confidence and create a long term relationship. The buyer/seller can rest easy knowing they received the best price available. If you are in the market to sell or buy, contact us at sales@experthe.com or call 409-939-9012 or 713-591-6934 for Spanish.
