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Market level estimates only. Deal level data from the Safewaterline credit desk never enters this product.How the firewall works
Research · Hard equipment · framework

The benchmark already exists. The fleet view does not.

Excavators, combines and machining centres have weekly auction comps, published residual guides and a century of lending practice. Safewaterline does not need to build a curve here. It needs to answer the questions the curve leaves open.

What exists

  • Auction comps. Ritchie Bros, IronPlanet and Euro Auctions publish results by make, model, year and hours, weekly. A Cat 336 of a given year has a price range any lender can look up.
  • Residual guides. EquipmentWatch, Iron Solutions for farm equipment, and dealer books give forward residuals by age and hours.
  • Lending practice. Bank and captive finance advance tables are standard: 75 to 85% of orderly liquidation value on late model yellow iron, lower on specialised machines.

A fourth benchmark from Safewaterline adds nothing. The risk score for late model construction equipment on this portal is band A for that reason.

What is missing

  • Fleet level. A guide prices one machine. A lender to an operator with forty machines across three states needs the fleet's weighted residual, its hours distribution, and which units are over the hours at which the curve steepens.
  • Utilisation. Telematics report hours and location. Almost no lender reads them monthly. The desk's monitor does, and the monthly certificate on the register shows what that looks like for GPUs.
  • CNC and specialised machines. Resale depth drops fast with specialisation. A five axis machining centre has a thinner market than a 20 tonne excavator, and no weekly comp.
  • Cross border. Open registries, import duties and local demand move a machine's value by country. A combine in Nebraska and the same combine in Punjab are two prices.

The framework

FactorEvidence the desk readsWhat moves the score
Obsolescenceemissions tier, telematics generation, OEM supportTier 4 Final and Stage V machines hold; older tiers face bans in some markets
Resale depthauction volume for the model in the last 90 daysgeneral purpose machines score high, specialised attachments low
Enforcementtitle, UCC or PPSA filing, telematics location, site accessmobile and titled scores high; fixed CNC in a leased building scores lower
Counterpartycontract backlog, customer concentration, seasonalitya harvest contractor's income is three months a year

When a curve is published

When the desk has closed loans in a sub class and would lend against the published number. For yellow iron that may never be needed; the auction house is the curve. For CNC and farm equipment in markets without a weekly auction, it will be.