Retail Pricing Hits Post-Great Recession Peak
Retail selling prices continue to accelerate. The newest available sleeper tractors are bringing pricing at or above the highest peak months in the post-Great Recession period.
The average sleeper tractor retailed in May was 71 months old, had 416,232 miles, and brought $63,518. Compared to April, this average sleeper was 3 months older, had essentially equal miles, and brought $1,079 (1.7%) more money. Compared to May 2020, this average sleeper was 4 months older, had 45,606 (9.9%) fewer miles, and brought $23,285 (57.9%) more money.
Looking at trucks two to six years of age, May’s average pricing was as follows:
- Model year 2020: $123,844; $11,944 (9.6%) higher than April
- Model year 2019: $99,602; $7,023 (7.1%) higher than April
- Model year 2018: $75,682; $3,276 (4.3%) higher than April
- Model year 2017: $59,611; $5,352 (9.0%) higher than April
- Model year 2016: $47,846; $2,094 (4.4%) higher than April
Month-over-month, late-model trucks brought 7.1% more money. In the first 5 months of 2021, late-model trucks are running 16.3% ahead of the same period of 2020. We expect late-model pricing in June to clearly surpass the highest months in post-Great Recession period.
Retail traffic pulled back again this month, as inventory remains a challenge. Dealers retailed an average of 5.2 trucks per rooftop in May, 0.4 trucks lower than April. Year-over-year, the first 5 months of 2021 are running a healthy 1.6 trucks ahead of the same period of 2020. We expect traffic to remain relatively solid in the summer.
Looking forward, most trucks should see mild to moderate retail appreciation into the 3rd quarter. Later in the year, economic factors should start moving back towards trend and truck availability should expand, limiting price appreciation somewhat. Stay tuned for our full June Guidelines, available later this week.
