Pricing and Costs of Construction Equipment

Get the big financial picture before buying or renting construction equipment

If you're going into the building business, chances are you're going to rent or own your own construction equipment. Before you start shopping, be prepared for the pricing and costs of construction equipment--supplying your business with construction machinery is not an inexpensive venture. When you add in the costs of construction supplies and industrial building materials, the expenses associate with running a construction business can be very high.

Many factors affect the pricing and costs of construction equipment. Iron, steel and gas prices, for example, have a direct impact on the costs of construction equipment and materials. Whether you're looking for heavy construction equipment or residential construction equipment, or whether you're in the market for construction equipment for sale or construction equipment rentals, gather all the information about construction equipment you can before making a purchase:

1. Price the latest equipment from top construction equipment manufacturers.

2. Check out the costs of renting building machinery.

3. Look into the pricing and costs of used construction equipment.

 

Pay top dollar for construction equipment made by the best names in the business

As with most other tools and equipment, there are some manufacturers who are more recognizable than others in the construction equipment arena. Names like John Deere, Caterpillar and New Holland are familiar brands in construction equipment manufacturing, and you can get a good idea of the pricing and costs of construction equipment by looking at these manufacturers' selling prices.
Try: Find new John Deere tractor scrapers for just under $200,000 at Rock & Dirt. Contractors Hot Line features a long list of used and new construction equipment, including 2006 and 2007 models of Caterpillar excavators, many listed for between $200,000 and $250,000 depending on the size of the machine.

Consider renting as an affordable alternative to buying construction equipment

You won't likely need every type of construction machinery on hand at all times. You might consider renting certain types of building machinery only when certain projects call for that particular piece of equipment. Besides avoiding paying the high price tag for pieces of construction machinery you seldom use, with this option you'll also avoid having to pay any maintenance or upkeep costs as well.
Try: Turn to RS Equipment to rent backhoes, skid steers, loaders and more, from a few hundred dollars per day up to a few thousand dollars per month. Take advantage of significant savings if you rent from the company for extended periods. Grants Rental offers daily rates for Bobcat construction equipment, from below $50 per day for attachments, up to nearly $300 per day for large equipment such as excavators and backhoes.

Save on pricing by shopping for used construction equipment

You can keep the initial costs of buying construction equipment down by purchasing used construction equipment. You'll find great bargains for used equipment in good and even like-new condition. If you're in the market for construction equipment and your budget can't cover the pricing and costs of new construction equipment, going used is ideal.
Try: Visit Global Machinery Network for a list of used construction equipment for sale, priced from several thousand to tens of thousands of dollars depending on the type of machinery for which you're shopping. Bid for used construction equipment and in most cases spend well under $50,000, even for heavy construction equipment, at IronPlanet.

Use an online calculator to figure construction machinery costs

Do the math before you buy on leasing vs. purchase, operating costs, and useful life of construction equipment.
Try: The Custom Cost Calculator from EquipmentWatch factors in actual heavy-equipment costs so you can compare your situation to the norm for construction companies.  Or use the calculator at Lease-vs-Buy.com.  

 

• Factor in the rising cost of steel or iron and even gas prices when budgeting for the cost of new construction equipment.

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