Considering Used Construction Equipment

Answer 1

When tackling a large construction project, the right equipment will often allow earlier, easier, and higher quality completion of the job. However, many times, the funds are readily available for the materials needed, but the equipment is not included as part of the project’s construction budget. While many opt to rent the equipment, it is often an option to purchase used construction equipment at significant savings.

Purchasing used construction equipment should always be considered in certain situations. If the project is one of many similar projects to be completed or will be part of a lengthy, on-going project, purchasing the equipment might prove cost effective. Renting equipment or hiring an equipment operator to provide the service is always an option. However, this can be quite costly if the task will take longer than a few days to complete. Both rentals and operators usually charge an hourly rate. Operators often charge not only an hourly rate for the use of the equipment, but also an hourly rate for the labor provided. This rate can quickly add up to several thousand dollars on larger projects. Smaller projects might only cost a few hundred, but if the project is completed several times a year, the purchase of used construction equipment will likely pay for itself in that instance as well. For example, if a home owner requires driveway grading four times per year, the cost of renting or hiring an equipment operator will exceed the price of a used grader within just a couple of years. This would be a situation in which purchasing used equipment should definitely be considered.

Many builders and developers, as well as state or county road departments, will frequently sell used construction equipment. In either case, the owner of the used construction equipment is usually not seeking top dollar for the items, but rather hoping to recover a minimal amount to offset the purchase price of larger, more advanced equipment or to minimize losses associated with a failed business venture. Construction equipment salesmen may also have used construction equipment for sale, if their store deals with repossessed equipment or trade-ins.

Before purchasing used construction equipment, check for any existing warranty and service records. Have the equipment thoroughly checked by a heavy equipment mechanic. Most importantly, ensure that the new operator of the equipment possesses the skills and training necessary to safely operate the used construction equipment.