True to our estimate of 4-5% depreciation per month on average, we can confirm that three to five year-old sleeper tractors brought an average of 4.2% less money in April than March. This figure is higher than our preliminary estimate of 2.5%. Year-over-year, the first four months of 2016 are running $7,565 (or 10.1%) behind the same period of 2015.

Trucks five years of age have fared the worst in 2016 to date, losing 21.8% of their retail value from January to April. In the same period of 2015, that age group had lost only 4.5%. This past April was likely an outlier, though, as an unusually large group of Freightliner Cascadias sold retail at a price typically brought in the wholesale market. As such, we expect May’s results to show an upward correction in the five-year-old age cohort.

Trucks three and four years of age fared better, with the three-year-old cohort losing 2.3% of its value, and the four-year-old cohort gaining 0.7% month-over-month.

Given these results, our rule of thumb of 4-5% per month depreciation on average remains intact. See graph below for detail.