Construction Equipment Boom or Bust? Q4 Rental Rates Tell the Story

Heading into 2024, let's use 2023's Q4 rental rates to get an idea of what construction equipment is in most demand.

construction equipment for rent rates


The construction equipment rental stats for Q4 of 2023 are in, folks. 

Whether you’re a heavy equipment dealer, buyer, or operator, there is quite a bit of helpful information included in quarterly construction equipment rental reports. 

For this reason, we’re excited to bring you a summary analysis of EquipmentWatch's 2023 Q4 rental rate report—which offers valuable insights to inform your strategic decisions in the evolving heavy equipment market. Whether you're an equipment seller, buyer, renter, or rentee, this analysis provides actionable takeaways to navigate the landscape effectively.

Let’s pop the hood and take a look.

Construction Equipment Trends

Crawler Dozers

crawler dozer for rent

Demonstrating continued strength, crawler dozer rental rates climbed 1.93% in Q4. This suggests sustained demand for these machines in upcoming infrastructure projects.

Hydraulic Excavators

excavator for rent

While not experiencing a massive decline, excavator rates in the rental market dipped slightly by 1.78%. Demand is expected to remain steady, with potential fluctuations based on specific project types.

Articulated Wheel Loaders

articulated wheel loader for rent

Maintaining stability, articulated wheel loader rental rates saw a minor dip of 0.32%. The versatility of these loaders positions them to fulfill diverse construction needs.

Lift & Access Equipment

Telescoping Boom Rough Terrain Lifts

Facing seasonal challenges, rough terrain lift rental rates dropped 2.27%. Their demand may have the brakes tapped a bit temporarily in regions with harsh winter conditions not well suited to their use.

Electric Scissor Lifts

Experiencing a modest correction, electric scissor lift rental rates declined 1.46%. Demand is anticipated to rise back up (no scissor-lift jokes intended) as construction activity picks up in warmer months.

Single Drum Vibratory Compactors

single drum vibratory compactors for rent

Exhibiting resilience, vibratory compactor rental rates dipped only 0.98%. Ongoing infrastructure projects are likely to support continued demand for these machines.

Agriculture Equipment Landscape

Skid Steer Loaders and Crawler Mounted Compact Excavators

mini excavator for rent

Agricultural challenges led to a decline in demand for skid steer rentals as well as mini excavator rentals—with rates falling 2.97% and 1.85%, respectively. Their demand may have dipped a skosh in some agricultural regions.

Compact Track Loaders

compact track loader for rent

Always a useful piece of gear to have, compact track loader rental rates saw a 0.87% rate increase. Their adaptability positions them well to cater to tackle a variety of agricultural tasks.

Regional Variations

Canada

Depending on the region, construction equipment rental rates varied among our neighbors to the North, with Northwest Territories and Atlantic provinces experiencing a significant 14.72% decline. All this while Alberta and British Columbia saw a 5.47% boost in equipment rentals. Analyzing local economic factors and project pipelines is crucial for getting to the bottom of the demand for equipment in specific regions.

United States

Similar regional discrepancies were observed in the US in Q4 of ‘23, with Idaho and the Dakotas enjoying a substantial 17.40% rise, while Alaska faced a 5.67% decline. Staying informed about regional infrastructure investments and weather patterns is essential for anticipating equipment needs.

Key Takeaways

Equipment Sellers & Dealers

What do these facts and figures mean for folks looking to move construction equipment inventory? Tailor your inventory and marketing strategies to address regional variations in demand. Just because a type of equipment is selling well in another region doesn’t necessarily mean it is in demand in your neck of the woods. But nobody knows your turf better than you—so lean into that and stock accordingly. 

Equipment Buyers/Renters

National averages can provide an overall gist of the industry, but they may not tell the whole story of equipment rental or sales prices in your neighborhood. Between what industries are nearby and weather conditions, these can all impact the industry. Conduct thorough research on rental rates and equipment availability in your location. 

All of Us

In the end, an awareness of broader economic trends, infrastructure spending plans, and weather forecasts provided by this guide and others can help us plan for the future. This information can help you anticipate shifts in demand and plan accordingly.

While the heavy equipment rental market shows promising signs of continued growth, regional variations and fluctuations in specific equipment types are worth keeping an eye on. By carefully analyzing rental trends and staying informed about market conditions, reports like these can you navigate the terrain effectively and capitalize on emerging opportunities. And we’ll be happy to help you make heads or tails of them in the future! 


Sell or Buy Construction Equipment With Help from My Little Salesman 

Whether you’re a large equipment dealership, private seller, or someone looking to buy quality equipment at the most competitive rates, your friends from My Little Salesman can help! Since 1958, My Little Salesman has been connecting buyers and sellers of heavy equipment, commercial vehicles, and all other heavy-duty gear necessary for a job well done. 

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About Ken Lane
Ken’s affinity for the heavy equipment industry was fostered as a curious youngster—becoming happily lost on his grandfather’s tractor sales and service lot (his favorite color is still Allis-Chalmers Orange). Since then, he’s perfected the art of turning black coffee into helpful buyer resources and marketing materials for My Little Salesman.
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