How to De-Risk Buying Heavy Equipment Online
You've probably heard at least one horror story about someone's experience buying heavy equipment online. Online purchasing has become increasingly popular in recent years, especially since the COVID-19 pandemic. Not only is it easy and convenient, but it also allows buyers to find the best value for an affordable price. Used heavy machinery on sales have skyrocketed and are expected to continue to rise as the manufacturer supply chain issues continue to increase the demand for used construction equipment.
Even before the pandemic, the demand for used equipment, tractors, and trucks was on the rise, and buyers have remained interested in finding the most convenient options for purchasing. With more and more sellers popping up online, it can be difficult to sift through the ones that are legitimate and the ones that could pose a risk for buyers. A successful transaction begins with a well-informed and confident buyer. Here are some tips to de-risk buying heavy equipment online to protect yourself from potential scams or bad investments.
Know Your Seller
Before jumping in, always be sure that you know your seller. Most OEMs and large dealers sell equipment in different states. This means that the machine you're interested in might not be local to you. When you can't inspect or evaluate a piece of equipment for sale yourself in person before making a purchase, it is critical to know and trust your seller. Only do business with companies or sellers you trust to know all the ins and outs of construction equipment, the machine's current condition and previous use.
You should also be able to trust them to give you accurate information quickly and answer all of your questions in a timely manner. Although it may be easy to take risks in the hopes of getting what seems to be a great deal, you should always stick to working with online sellers who have a good and verifiable reputation.
Learn More About the Equipment
You'll first want to ask the seller for an inspection report on the equipment. Although there are budget-friendly machines that have been well-maintained and run like new, anytime you discover you're purchasing used equipment, you'll want to understand how many hours it's been used. You'll also want to know how likely it is that you'll experience operational issues or need major repairs. Inspection reports will provide valuable information about the equipment, and you'll want to learn more about why the items weren't repaired.
Once you've received an inspection report, ask the used farm machinery or equipment seller for a repair quote. There are two primary reasons why a seller wouldn't have something repaired: it was too expensive and went over their budget, or the seller didn't see the value in investing any more money into the machine. While both are valid reasons, you'll want to ensure that the equipment's asking price matches its current condition.
Ask the seller to provide all the service records and oil samples for you to evaluate. If the seller cannot provide the records themselves, you can talk to an OEM dealer and give them the machine's serial number so they can provide the records for you. In most cases, OEM dealers are very helpful and happy to give you any information you need. Oil samples are important, as they tell you the internal vitals of the powertrain, so be sure you get that information before purchasing a machine.
Visual Inspection
During your inspection of fleet equipment, check out the wear on all machine components. Remember that any part of the machine that moves has the potential to fail. Although larger components are the most expensive parts to repair, don't underestimate the smaller components that can quickly chip away at your budget. Many small repairs are just as detrimental as one major repair.
In addition to the moving components, look at the paint, undercarriage, and sheet metal. You may even want to request a video from the seller of the machine being used. In some cases, cosmetic issues such as dents and scratches can provide valuable insight. Many used machines are repainted to improve their appearance, but some are repainted to hide imperfections or previous repairs. If you can't see the quality of the machine's paint job through the photos available in online auctions, ask the auctioning seller to send additional close-up photos of the areas you'd like to see in more detail or that look questionable.
If a seller invests in a high-quality paint job to improve the appearance of their machine, that often shows that they are a proud owner and take good care of their equipment and vehicles. They may want to show potential buyers that their machine or truck is a great value, well-maintained, and in perfect working condition.
However, paint jobs that show streaks, runs, flaking, or are not the right color indicate that the paint job was cheap, rushed, and most likely done to hide imperfections. A poor paint job should be one of your first red flags right buyers.
Virtual Walkaround
Just because you can't be there in person doesn't mean you can't physically inspect a for sale or piece of inventory of equipment. Thanks to today's technology, you can do a virtual walkaround with the seller to make sure the machine is up to your standards and offers a great value.
With the increased popularity and risks of buying heavy equipment online, virtual walkarounds and auctions are also becoming more common. When done correctly, they can often be just as effective as an in-person inspection online auction. They offer an opportunity to go into your purchase as a well-informed buyer.
A trusted marketplace such as Boom & Bucket offers a safe and reliable platform for finding the best used heavy construction equipment and equipment. Using a trusted marketplace can prevent the risks of buying heavy equipment online. We offer 150+ point third-party inspections, oil analysis, maintenance records, extensive high-quality photos and video, and cover shipping, financing, and warranties. What was once a complex, time-consuming process for contractors' equipment is now a stress-free experience that allows you to order your equipment with confidence.
Here's a table summarizing Tips for De-Risking Buying Heavy Equipment Online
When navigating the process of purchasing heavy equipment online, it's crucial to take steps to minimize risks and ensure a successful transaction. By following these tips, buyers can protect themselves from potential scams or bad investments. Knowing the seller, learning more about the equipment, conducting visual inspections, and utilizing technology for virtual walkarounds are essential practices. Additionally, sticking to reputable platforms like Boom & Bucket can provide added assurance with comprehensive services such as inspections, maintenance records, and warranties. With these precautions in place, buyers can confidently navigate the online marketplace for heavy equipment.