Buying Heavy Equipment at Auction (IronPlanet, Purple Wave, and More)

Heavy equipment auctions can be a gold mine for contractors, farmers and anyone who needs a machine without paying dealer prices. Skid steers, mini excavators, tractors, loaders and dump trucks come up every week from contractors, rental fleets, municipalities and farms. Here's how to buy without getting burned.

01Where equipment sells

• IronPlanet (part of RB Global, the owner of Ritchie Bros.) runs weekly online equipment auctions, often with inspection reports.
• Ritchie Bros. holds large auctions, including online.
• Purple Wave runs online auctions, popular for farm, construction and municipal equipment in the middle of the country.
• GovDeals and Public Surplus sell government equipment.
• Local farm and consignment auctions.
• Copart and IAA sometimes have equipment too.

02Read the inspection report

Many online equipment auctions include an inspection report with photos and notes from an inspector. Read it carefully:

• Hours on the meter (and whether the meter has been replaced).
• Engine: starts, runs, smoke, leaks, blow-by.
• Hydraulics: leaks, cylinder seals, hoses, slow functions.
• Undercarriage on tracked machines: tracks, rollers, sprockets, idlers. Undercarriage parts are expensive.
• Tires on wheeled machines.
• Buckets, attachments, pins and bushings: wear and slop.
• Cab and controls.

Some sites offer a buyer protection or inspection guarantee; know exactly what it covers.

03Go see it if you can

Most auctions allow inspection before the sale. Run it if they'll let you: operate every function, check for hydraulic drift, listen to the engine and look for leaks.

04Common problems

• Hydraulic leaks and worn cylinders.
• Worn undercarriages on tracked skid steers and excavators.
• Pin and bushing wear, which shows up as slop in the arms and bucket.
• Electrical problems on newer machines with complex controls.
• Emissions systems on newer diesels (DEF, DPF), which can be expensive to repair.

05Titles and paperwork

Heavy equipment usually doesn't have a title like a car. You get a bill of sale. Check the serial number (PIN) against theft databases if the deal seems too good. On-road trucks do have titles.

06Transport

Equipment needs a trailer rated for its weight, often a gooseneck or lowboy. Get a transport quote before you bid; for a big machine far away, shipping can be a real cost. See getting a salvage vehicle home.

07Fees

Online equipment auctions charge buyer fees, often a percentage of the sale price. Factor them in before you bid.

08Is it worth it?

For a contractor who needs a machine, auction prices are often well below dealer prices. Flippers can make money too, especially on machines that need simple repairs. Just price in hours, wear and transport.

For other auction categories, see buying golf carts at auction and auction ATVs and UTVs.

Photo by dimitrisvetsikas1969 on Pixabay.

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