Used Machinery and Equipment Values on the Rise
Supply and demand has always been a major factor for used machinery and equipment values. Equipment appraisers often use data resources such as The Book, published by L&M Publications, Inc. In a recent newsletter to subscribers, The Book reports that the used equipment market remains strong while industrial auctions are down. In addition, the number of items per auction has been down. The number of significant industrial auctions in North America for the past three years has shown a decline. These numbers were 1956 auction in 2009, 1753 auctions in 2010, and 1544 auctions in 2011.
Another newsletter used by equipment appraisers, the Rouse Rental Report, reports that Orderly Liquidation Values (OLV) for used equipment across their fourteen major rental equipment categories increased 6.8% over for the six months ending April 30, 2012. Stronger manufacturing in the United States over the past year has boosted the demand for equipment. Evidence is now showing that the strong companies survived while most of the weak companies folded early in the recession.