The Expert Podcast

So what's going on behind the scenes in the construction industry? Well, here's another canary in the coal mine that might give some indication about what's in the future of construction. Here is Richie Brothers Auction, the largest construction equipment auction in the country, and they conducted one of their biggest sales of the year — their Fort Worth auction — and they sold 60 million dollars of equipment. Well, is that a lot? Is it not a lot? Well, that's almost 10 percent higher than the previous year. This was at the end of May.

This video was recorded about a week and a half ago and this is their second one in Fort Worth of the year, selling 60 plus million dollars worth of equipment, with 700 consignors. The dollar amount was through the roof — more than 11,000 bidders from 60 countries participated, and 93% of the equipment was purchased within the U.S. What's the rest of the story? Strong pricing continues to drive demand for late model equipment. They had some equipment that sold for hundreds of thousands — 410 for this — but this is for the boom truck.

The excavator — 570, 650 series excavator — also sold at strong prices. According to what the buyers are saying, the construction industry is strong, people want equipment, and there's lots of stuff being purchased. If the construction industry wasn’t predicted to be strong, the buyers would not be out in droves like they were in Fort Worth last week to buy all this equipment at Richie Brothers.

Let us know what you think in the comments. Are you seeing the same thing in your area? Are there increases? Is there demand? Are there more projects?

What is your equipment rental business like? Are there empty lots where all the equipment is out being rented, or is there a backlog? If you're in the equipment rental business, what are you seeing? Is there demand? Do you have a waiting list for certain desirable or popular types of equipment? Mini excavators right now seem like they’re flying off the shelves.