Can some guys with experience help me understand the FL outbound market?

Discussion in 'Car Hauler and Auto Carrier Trucking Forum' started by crocky, Oct 15, 2020.

  1. crocky

    crocky Road Train Member

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    Ok, let me preface this a bit. I used to drive Reefer trucks and of course, I know the typical FL issue. It pays well going in but pays very bad going out for general freight. I opted to step out with my own numbers a bit over a year ago. I had the option to either buy a used Semi and run under someone else or set up my own MC and run a hotshot set up. I opted for the hotshot set up and considering the whole trade war and covid I've managed to survive and I'm still going.

    My question is I'm based here in FL and run interstate. I tend to not go past NM/CO nor into the NE usually PA, OH, is as far as I go that way. Most of the time I've been running regional runs FL, AL, MS, LA, TX,OK, AR, TN, NC, SC is usually the areas I run in.

    I started out as hotshot freight and limped through the trade war and just as things were coming back with freight COVId hit and decimated the freight. Due to that, I started hauling cars during this whole COVId thing cars have been off the map until recently. My trailer is a low boy flat deck that can carry 2 cars but I was getting $700 a car out of CFL to go to LA. or $800 to 900 a car to go to TX, OK or AR. I'd usually go from those destinations into NC,SC or TN then back to FL. Sometimes I'd do it reversed to the Carolinas first but usually paid better to run west 1st then back east. I'd usually do a 5-6 day loop and pull in $3,5-4k just hauling 2 expedited cars in that region.

    Anyway, I'm curious if anyone can tell me why the rates were so good out of FL the last 6 - 8 months but as of recently have died.

    My standard search was 100 mile radius of ORL with a destination, SC, NC, TN, GA, AL, MS, LA, TX, OK, AR with a min price of $400 and min per mile .70 and I was getting 200+ hits on that search for months..

    Today that same search shows 2 cars.. If I drop it to min $300/.60/mile it's only 8 cars.

    My question is what caused the rates to be so high outbound from FL the last 6-8 months and why did they suddenly fall off the face of the earth? Is it a summer thing with FL? Because I remember last year when I was mostly doing freight cars were really bad then too. Was there some oddity that spiked the rates out of FL?
     
    Last edited: Oct 15, 2020
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  3. Kawinige01

    Kawinige01 Heavy Load Member

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    The auction houses and rent a car companies had Florida on fire for a few months. New cars stopped running. Things got backed up quickly auctions were filled to the brim. So it was busy lots of work that had to move immediately
     
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  4. AM 561

    AM 561 Bobtail Member

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    The price reduction is also due to the snowbirds season (retiree coming south for the winter). The season runs from October to the first two weeks of January. There is plenty of southbound loads out of MA, CT, NY, NJ, however, since the flow is trying to get north, the Florida rate per mile drops, the law of supply and demand. This is when brokers make money dropping rates to the floor.... too much demand. Sadly some are willing to take cheap loads instead of going empty.
     
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  5. Lite bug

    Lite bug Road Train Member

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    I am not a car guy but AM 561 shines light from a different perspective. The LAW of SUPPLY and DEMAND. Kinda working both ways for the Broker.
     
  6. crocky

    crocky Road Train Member

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    So is that something that happens each year is is it due to the Covid situation?
     
  7. Kawinige01

    Kawinige01 Heavy Load Member

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    I live in fla I've been around car hauling since I was a kid. Outside of the snowbirds going back north. Florida usually sucks to get out of. It’s a few companies Who seem to have the outbound freight pretty tied up.
     
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  8. Kawinige01

    Kawinige01 Heavy Load Member

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    That definitely has a lot to do with it. They usually cut the rates in half if not more during the season. Imagine moving a car for 325 just to find out the customer paid $1k plus to move it north.
     
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  9. crocky

    crocky Road Train Member

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    You know what's screwed is while the rate was high the last few months I was actually having problems getting back into FL at a decent rate.
     
  10. Kawinige01

    Kawinige01 Heavy Load Member

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    Yeah we pretty much ran loaded one way and deadhead back. Took a pay cut because of that. But everything’s back to normal now
     
  11. Explorerspl

    Explorerspl Bobtail Member

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    I'm out of Jacksonville and was running the same way you are since last December. Grossing about 5-6k in 4-5 days and being home.

    There is nothing coming out of the SE period on the boards right now(FL,GA,SC,NC). Been getting worse every week for the past 6-8 weeks. Pretty worried honestly.
     
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