Heavy equipment auctions are the perfect place to find great deals on heavy machinery like compactors, drills, cranes, excavators and lifts among a wide array of large construction equipment available in the market. Depending on your requirement, there is no need of buying brand new machinery if there are available used models that can still do the job and at a much lower price. Used construction equipment that is up for auction is the key to growing your business. Apart from bargain deals, there is always the opportunity of finding additional equipment for your business without having to pay a hefty price.
Even with the considerable selections of used heavy equipment for sale, and the economic benefits of buying second hand machinery, some people still back off from this money-saving alternative. They are afraid that the risk may prevail over the reward. However, with a bit of extra effort on your part, you can avoid the common pitfalls often associated with buying second hand machinery from heavy equipment auctions.
How To Succeed In Heavy Equipment Auctions
Buy used heavy equipment from a reliable seller – when you are looking at auctions for used heavy equipment for sale, you may want to spend a few minutes of your time reading reviews and testimonials about different online or land-based auction houses. This will give you a perspective on whether you are buying from a reliable seller because heavy equipment does not come cheap. You have to be sure of your investment. To do this, you can check the following:
- Company Records – a company record will show you the history of the business and its customer base. If a particular auction house is publicly traded, you should be able to furnish a copy of their financial reports because they are required to publish it. This will allow you to determine the company’s stability and their ethics in doing business.
- Customer Reviews and Testimonials – these often show if other buyers are willing to recommend the seller. Because there are lots of heavy equipment on sale in the market, it is a lot easier to buy heavy machinery with a lot of issues than finding a good one.
Do a little research – doing a little background check before purchasing is a wise move. Buying heavy construction equipment is complicated in its own way because of a lot of factors that are often involved in the selling process. This is why it is important to make sure that the seller is legitimate and has the authority to handle the sale of the equipment. Because you are buying from an auction, there are a lot of things you do not know about the equipment – whether it is stolen or has outstanding liens.
Even if you are buying from heavy equipment auctions, you still reserve the right to ask questions such as whether the seller is the owner of the equipment. If the auctioneer is not able to confirm this, you can do your own check just to make sure. If the auction is a private sale, you can still ask the seller to give all the equipment’s original pertinent papers and check if the information matches. If you want to check on the ownership, you can use the serial number or the vehicle’s VIN. This step is to ensure that you are not buying stolen equipment with standing legal disputes.
Confirm the equipment has clear title – if you erroneously bought heavy equipment from an auction that has no clear title or has an applied lien such as when the seller failed to pay in full the money borrowed from a bank to purchase the machinery, you may be legally required to surrender ownership to the lending company.
Do a detailed inspection – the heavy equipment you are planning to buy will be your investment so make sure that you have a valuable investment. Before deciding to bid, make sure you have inspected the equipment and determined that it will be a good buy if you win the bid. Majority of heavy equipment listed at auctions are sold as they are. If the auction house does not allow testing of the machinery, make certain that you do a detailed inspection. If your knowledge about heavy machinery is limited, you can bring a qualified mechanic to do the inspection for you. They can expertly establish the physical and functional condition of the equipment.
If you are bidding on online-based live auctions, make sure that the auction site provides you with detailed information and photos of the equipment being auctioned.
Examine all the details carefully and do not be afraid to ask your questions via email so that the seller can provide you with additional information. You can also ask the seller for additional photos from different perspectives so you can have a clear visual grasp of what you are buying. Do not forget to ask for maintenance records and repair documentation because this will help you to better understand the history of the machine.