Insights into Southeast Rental Market

For the first edition of this new article, we will focus on Region C (The Southeast). These eight states make up the largest amount of construction activity of any of the 14 regions, so it is a good one with which to start.

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Since the third quarter of 2016, EquipmentWatch has collected over 443,000 advertised rental rates for the states in Region C (listed at the bottom of this article). There are over 160 different equipment types that are included in the total amount of rates collected, but we will be focusing on 20 of the most popular types in this article. Over the last four quarters, the most popular equipment types in this region have been lift/access equipment, with Telescoping Boom Rough Terrain Lift Trucks (Telehandlers), Electric Self Propelled Scissor Lifts, and I.C. Self Propelled Telescopic boom Aerial Lifts being the top three. Telehandlers make up the largest amount of rates with about 5% of the overall rental market, while Tractor-Loader-Backhoes have the least number of rates among the 20 equipment types displayed.

This graph displays ten of the most popular equipment types and the percent change in weekly rate over the last four quarters. Hand Held Vibratory Plate Compactors have had the biggest change over the past four quarters, going from about a 9% decrease in average weekly rates in Q4-2016 to an almost 12% increase in average weekly rates in the most recent quarter (Q2-2017). The only one of the ten equipment types that has had decreasing weekly rates over the past four quarters has been I.C. Self Propelled Scissor Lifts. Three of these ten equipment types have had steadily increasing weekly rates over the past four quarters, 4-Wd Articulated Wheel Loaders, Compact Track Loaders, and Crawler Mounted Compact Excavators.

This second graph displays the other ten equipment types and their percent changes in average weekly rates over the past four quarters. Large Generator Sets had a very big drop in weekly rates from Q3-2016 to Q4-2016, but have increased over the past two time periods. This could have to do with seasonal trends, with the winter time having less activity than the warmer seasons. Standard Crawler Dozers have had the largest change in average weekly rates, going from about a 13% increase from Q3-2016 to Q4-2016 to an almost 8% decrease from Q1-2016 to Q4-2016. The only equipment type to have steadily increasing weekly rates over the past four quarters has been Tractor-Loader-Backhoes.

The following three tables display the percent change in average rates for the top 20 equipment types for each quarter. The first table shows the change in each type of rental rate from Q3-2016 to Q4-2016. The second table shows the change in each type of rental rate from Q4-2016 to Q1-2017, and the last table shows the change from Q1-2017 to Q2-2017. There are some interesting trends in each table and when comparing all three, you can see some seasonal trends as well as the differences between daily and monthly rates.

Rental Rate Trend: Change from Q3 2016 to Q4 2016

Equipment Type Daily Δ Q3 to Q4 Weekly Δ Q3 to Q4 Monthly Δ Q3 to Q4
4-Wd Articulated Wheel Loaders 1.40% 2.60% -3.40%
Compact Track Loaders 8.20% 6.10% 2.10%
Crawler Mounted Compact Excavators 2.90% 0.60% -2.00%
Crawler Mounted Hydraulic Excavators 3.70% 1.30% -1.40%
Electric Self Propelled Scissor Lifts -2.90% -3.50% -2.20%
Hand Held Vibratory Plate Compactors 3.40% -9.30% -9.70%
I.C. Pneumatic Tire Lift Trucks 6.10% 2.90% 6.20%
I.C. Self Propelled Scissor Lifts 3.40% -4.80% -6.70%
I.C. Self Propelled Telescopic Boom Aerial Lifts -0.60% -2.40% -0.60%
I.C. Self-Propelled Articulating Boom Aerial Lifts 9.80% 8.40% 6.70%
Large Generator Sets -16.80% -15.30% -17.50%
Portable Light Towers 13.90% 5.60% 5.00%
Portable Rotary Screw Air Compressors 9.10% 7.60% 7.90%
Single Drum Vibratory Compactors -2.40% -2.50% -5.70%
Skid Steer Loaders -1.60% -0.70% -3.60%
Small Generator Sets 11.30% 8.00% 5.10%
Standard Crawler Dozers 12.70% 13.10% 0.60%
Tandem Vibratory Compactors -9.20% -7.20% -3.70%
Telescoping Boom Rough Terrain Lift Trucks 4.10% 2.90% -1.00%
Tractor-Loader-Backhoes 8.30% 6.80% 3.60%

Rental Rate Trend: Change from Q4 2016 to Q1 2017

Equipment Type Daily Δ Q4 to Q1 Weekly Δ Q4 to Q1 Monthly Δ Q4 to Q1
4-Wd Articulated Wheel Loaders 7.50% 2.90% 7.00%
Compact Track Loaders 3.50% 2.60% 5.20%
Crawler Mounted Compact Excavators 4.40% 3.30% 4.30%
Crawler Mounted Hydraulic Excavators 2.80% 2.80% 3.90%
Electric Self Propelled Scissor Lifts 0.20% 1.50% 2.40%
Hand Held Vibratory Plate Compactors -8.60% -1.00% 0.30%
I.C. Pneumatic Tire Lift Trucks 5.60% -0.70% 3.60%
I.C. Self Propelled Scissor Lifts -5.10% -0.80% 4.10%
I.C. Self Propelled Telescopic Boom Aerial Lifts 2.50% 0.00% 3.20%
I.C. Self-Propelled Articulating Boom Aerial Lifts 0.70% 0.20% -1.10%
Large Generator Sets 3.40% 5.50% 6.80%
Portable Light Towers 0.50% 5.90% 9.30%
Portable Rotary Screw Air Compressors 1.90% 3.00% 5.20%
Single Drum Vibratory Compactors 4.30% 4.30% 5.00%
Skid Steer Loaders -0.70% -0.80% -0.80%
Small Generator Sets 2.90% -1.10% -1.20%
Standard Crawler Dozers -4.50% -4.60% -1.50%
Tandem Vibratory Compactors 4.80% 4.10% 7.00%
Telescoping Boom Rough Terrain Lift Trucks -2.50% 0.10% 3.30%
Tractor-Loader-Backhoes 6.80% 3.70% 8.40%

Rental Rate Trend: Change from Q1 2017 to Q2 2017

Equipment Type Daily Δ Q1 to Q2 Weekly Δ Q1 to Q2 Monthly Δ Q1 to Q2
4-Wd Articulated Wheel Loaders 7.40% 7.30% 9.10%
Compact Track Loaders 0.30% 1.00% -0.50%
Crawler Mounted Compact Excavators 7.40% 7.70% 6.10%
Crawler Mounted Hydraulic Excavators -6.70% -8.20% -7.50%
Electric Self Propelled Scissor Lifts 3.40% 5.40% 8.20%
Hand Held Vibratory Plate Compactors 14.10% 11.80% 10.90%
I.C. Pneumatic Tire Lift Trucks -8.30% -6.90% -1.90%
I.C. Self Propelled Scissor Lifts -5.20% -2.80% -1.60%
I.C. Self Propelled Telescopic Boom Aerial Lifts 9.00% 7.00% 10.40%
I.C. Self-Propelled Articulating Boom Aerial Lifts -5.80% -3.60% -1.50%
Large Generator Sets 1.00% 0.00% -0.40%
Portable Light Towers -4.90% -0.10% -1.10%
Portable Rotary Screw Air Compressors -7.70% -7.90% -7.60%
Single Drum Vibratory Compactors 2.70% 1.80% 2.30%
Skid Steer Loaders 0.00% -0.20% 6.70%
Small Generator Sets -1.20% -2.10% -4.60%
Standard Crawler Dozers -6.70% -7.80% -5.00%
Tandem Vibratory Compactors 3.30% 7.50% 9.00%
Telescoping Boom Rough Terrain Lift Trucks -3.20% -0.40% 1.50%
Tractor-Loader-Backhoes 6.60% 5.20% 12.30%