The latest Sandhills Global market reports underscore the extent to which auction value decreases are outpacing asking value decreases in Sandhills’ agricultural equipment marketplaces. This disparity is leading to an ever-widening and unprecedented spread between auction and asking values.
“Current market conditions are similar to those we experienced in 2015,” says TractorHouse Manager Ryan Dolezal. “We’re now beginning to see major declines in farm equipment prices as more inventory floods the market.”
According to the new Sandhills market reports, used equipment inventory levels continue trending up across all of Sandhills’ marketplaces, which include construction equipment, trucks, and trailers. This inventory trend is putting added pressure on asking and auction values, which are maintaining lower levels than in 2023.
The key metric used in all of Sandhills’ market reports is the Sandhills Equipment Value Index (EVI). Buyers and sellers can use the information in the Sandhills EVI to monitor equipment markets and maximize returns on acquisition, liquidation, and related business decisions. The Sandhills EVI data include equipment available in auction and retail markets and model-year equipment actively in use. EVI spread measures the percentage of asking values over auction values.
Additional Market Report Takeaways
Sandhills market reports highlight the most significant changes in Sandhills’ used heavy-duty truck, semitrailer, farm machinery, and construction equipment markets. Key points from the current reports are listed below. Full reports are available upon request.
U.S. Used Tractors 100 Horsepower and Greater
Used tractors 100 HP and greater are still accumulating on dealers’ lots. Inventory levels in this market were up 1.39% month over month and 36.97% year over year in July and are trending up.
Asking values decreased 0.27% M/M in July and are trending down. However, asking values were 3.82% higher than the same period last year.
Auction values continue to decline more rapidly than asking values, and this divergence is creating an unprecedented EVI spread. Following several months of decreases, auction values fell 1.25% M/M and 6.75% YOY.
U.S. Used Tractor Market
U.S. Used Tractors Over 100 HP Market
U.S. Used Combines
The U.S. used combine market experienced a 3.21% M/M decrease in inventory levels in July. However, inventory was up 9.47% YOY and is trending sideways.
Asking values dropped 1.91% M/M, increased by 8.1% YOY, and are trending sideways.
Auction values decreased 0.48% M/M after months of decreases and inched up 0.81% YOY. EVI spread, which measures the percentage difference between asking and auction values, decreased slightly in July to 54%, but this figure is still high compared to historical values.
U.S. Used Combine Market
U.S. Used Combines Market
U.S. Used Sprayers
Inventory levels of used sprayers showed a marginal decrease of 0.04% M/M in July but remain significantly higher than last year, up 40.04% YOY. Inventory levels are trending sideways.
Asking values dropped by 2.58% M/M and are trending downward but are still higher than last year, up 2.84% YOY.
After consecutive monthly declines, auction values decreased by 2.48% M/M and 6.38% YOY in July. The EVI spread in this market reached 48%, approaching the 50% historic high observed in 2015.
U.S. Used Sprayers Market
U.S. Used Planters
Following seasonal dips that began a few months ago, Sandhills reported a 7.63% M/M increase in used planter levels in July. Inventory levels remained higher than year-ago levels, up 11.06% YOY.
Asking values ticked up by 0.8% M/M, dropped 2.04% YOY, and are trending downward.
Auction values rose 2.97% M/M but fell 18.48% YOY. Auction values are trending sideways. The EVI spread in the U.S. used planter market fell to 70% in July, but Sandhills notes that this figure is historically high.
U.S. Used Planters Market
U.S. Used Compact and Utility Tractors
Declines in used compact and utility tractor inventory levels continued in July with drops of 3.74% M/M and 6.11% YOY.
Asking values inched 0.37% lower M/M following months of decreases and were 2.82% lower YOY.
Auction values have also been decreasing for months. This trend continued in July with decreases of 2.25% M/M and 5.32% YOY.
U.S. Used Compact and Utility Tractor Market
U.S. Used Heavy-Duty Construction Equipment
Sandhills has observed significant inventory gains in used heavy-duty construction equipment. Following several months of increases, inventory levels were up 1.75% M/M and 20.43% YOY in July. The wheel loader category saw the largest gains, up 3.49% M/M and 32.81% YOY.
Asking values posted a slight increase of 0.12% M/M and are trending down. Asking values were 5.13% lower than in July 2023.
Compared to asking values, auction values showed greater declines, down 1.31% M/M and 9.98% YOY, after months of decreases
As in the heavy-duty construction equipment market, medium-duty construction equipment inventory levels exhibited noteworthy gains in July and at a higher rate. Inventory levels in this market were up 1.57% M/M and 45.69% YOY. The tracked skid steer category, up 62.44% YOY, drove these increases.
Asking and auction values have been decreasing for months, and this trend continued in July. Asking values were lower by 0.35% M/M and 6.9% YOY.
Auction values were down 0.7% M/M and 10.97% YOY.
U.S. Used Medium Duty Construction Market
U.S. Used Lifts
Continuing a trend of consecutive monthly increases, used lift inventory levels increased in July by 0.05% M/M and 10.07% YOY.
Asking values dropped 2.29% M/M and 10.53% YOY.
Auction values fell 4.26% M/M and 17.84% YOY. Both asking and auction values have been declining for months.
U.S. Used Lift Market
U.S. Used Heavy-Duty Trucks
Within the U.S. used heavy-duty truck market, Sandhills noted a divergence between day cab and sleeper truck inventory levels. In the overall market, heavy-duty truck inventory levels fell 1.57% M/M and 3.95% YOY in July and are trending sideways. By contrast, day cab inventory levels increased by 1.49% M/M and 29.5% YOY and are trending upward.
Values in this market continue to follow a downward trend. Asking values rose 1.35% M/M but were 16.01% lower YOY.
The pattern was similar for auction values, up 2.17% M/M but down 17.52% YOY.
U.S. Used Heavy Duty Truck Market
U.S. Used Semitrailers
U.S. used semitrailer inventory levels increased 9.14% M/M, rose by a noteworthy 30.51% YOY, and are trending up. The categories driving these inventory increases were dry van trailers (up 9.59% M/M and 49.9% YOY) and flatbed trailers (up 25.53% M/M and 32.9% YOY).
Asking values increased 0.71% M/M, decreased 18.72% YOY, and are trending down.
Similarly, auction values increased 1.44% M/M, decreased 18.34% YOY, and are trending down.
U.S. Used Semi Trailers
U.S. Used Medium-Duty Trucks
Inventory levels in this market decreased by 2.83% M/M but are trending upward, posting a significant 20.88% YOY increase in July.
Asking values decreased by 1.27% M/M and 12.94% YOY and are trending downward.
Auction values declined 4.12% M/M, continuing a trend of consecutive monthly decreases, and fell 18.28% YOY. The dry cargo delivery box truck category showed especially large drops in auction values, falling 10.71% M/M and 21.59% YOY.
U.S. Used Medium Duty Truck Market
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Sandhills Global is an information processing company headquartered in Lincoln, Nebraska. Our products and services gather, process, and distribute information through trade publications, websites, and online services that connect buyers and sellers across the construction, agriculture, forestry, oil and gas, heavy equipment, commercial trucking, and aviation industries. Our integrated, industry-specific approach to hosted technologies and services offers solutions that help businesses large and small operate efficiently and grow securely, cost-effectively, and successfully. Sandhills Global—we are the cloud.
About the Sandhills Equipment Value Index
The Sandhills Equipment Value Index (EVI) is a principal gauge of the estimated market values of used assets—both currently and over time—across the construction, agricultural, and commercial trucking industries represented by Sandhills Global marketplaces, including AuctionTime.com, TractorHouse.com, MachineryTrader.com, TruckPaper.com, and other industry-specific equipment platforms. Powered by FleetEvaluator, Sandhills’ proprietary asset valuation tool, Sandhills EVI provides useful insights into the ever-changing supply-and-demand conditions for each industry.
