FAQs About Used Equipment

Buying and Trading Used Equipment

After nearly half a century of selling used tractors and equipment you can imagine we're used to answering a variety of questions about buying, selling and trading of machinery. We thought it might be helpful to share some of our experience, as well as Capital Tractor's policies and services relating to used equipment. We'll break this down into two sections- one for those buying used tractors, farm or construction equipment, another for those looking to trade for something newer.

1 - Buying Used Equipment FAQs

Where does Capital Tractor get its used equipment?
While the bulk of our inventory results from trade-ins, there are a number of ways we procure equipment to satisfy demand. Capital Tractor works closely with New Holland, CNH Capital and other lenders to procure repossessed equipment , lease returns and rental returns from throughout North America. Additionally, our growing equipment rental business also supplies us with a steady stream of good used backhoes , wheel loaders, skid steers, telehandlers, dozers , excavators and tractors that have been deeply discounted. These units are often in "like new" condition and some have factory warranty remaining. On occasion we will also purchase equipment, from a single piece an individual is selling to an entire fleet.

Does Capital Tractor offer financing on used equipment?
We offer competitive financing on used equipment, often at low rates. If you see an item here on our website and wish to apply for financing you can now do so right here on our website by completing an online credit application. It takes just a few minutes and approval is often obtained the same business day.

Can Capital Tractor arrange for delivery of my purchase?
Capital Tractor can arrange for the delivery of used agricultural and construction equipment throughout North America. By working closely with brokers we are able to offer competitive rates for long distance deliveries. For customers in New York, Pennsylvania, New Jersey, Massachusetts, Connecticut, Vermont, New Hampshire and Maine we often deliver using our own trucks.

Can I trade a machine towards a used machine purchase?
Of course. We've been known to take multiple units in trade toward a pre-owned piece, provided those units being traded are something we feel will be marketable.

What is Capital Tractor's warranty on used equipment purchases?
Simply put, zero. Here's why- when we order new machines from New Holland, they come with a factory warranty. Since nothing is free, you can count on the fact that the cost of this warranty is included in the dealer cost of the tractor, skid steer, baler, or whatever the given machine might be. After all, In nearly half a century of trading for used equipment, Capital Tractor has never had the person trading the machine in offer to extend a warranty to us, let alone to the next owner. With that being the case, offering a warranty on a used machine while still offering it at a reasonable price is not feasible.

So unless a machine has a balance remaining on the factory warranty or an extended warranty is available used machinery is sold as-is, where-is. What this means is that a buyer of used equipment should a) thoroughly inspect the machine prior to purchase; b) have confidence in seller's integrity; and c) buy the machine with the understanding that it is used, which is why it costs less than a new one in the first place. If a dealer tells you differently, chances are you're paying well above market value- how else can they afford to do warranty repairs?

At Capital Tractor we make every effort to inspect a machine prior to trading for it, then again prior to delivery. We price used equipment to sell and if there is a known issue with a machine we either perform repairs prior to selling it or disclose the issue to prospective buyers. If something is deemed unsaleable on a retail basis we then consign it to an auction.


2 - Trading Used Equipment FAQs

How will my trade-in be evaluated?
This is important to understand, and something few dealers will take the time to explain. Value is determined by a number of factors. We've outlined a few below:

  • The brand of your machine is important! Whether you trade a tractor, skid steer, backhoe, excavator, dozer or anything else, it is important to realize that certain makes retain resale value better than others. If you are trading a unit built by a manufacturer such as Ford, New Holland, New Holland Construction, Case, CaseIH, Kobelco, Caterpillar, Komatsu, Bobcat, Massey Ferguson or the like, it is a help. Other makes are good too, but a buyer's perception of a brand does have an impact on its value.
  • Mechanical condition matters! How a machine functions is important to a buyer, so naturally we will want to verify that the engine runs well, hydraulics function properly, transmission shifts as it should, brakes and safety devices work, loader, backhoe or undercarriage components aren't excessively worn, front end is tight, no visible leaks, cooling system is intact, lights and flashers illuminate, etc. Please understand, though, that just because one or more of these areas needs attention doesn't mean we won't trade for the machine. It simply effects the value, since we will either need to invest in repairs prior to selling it or be able to accept less from a prospective buyer so that they can justify making the repairs.
  • Looks do count! We hate to admit it, but looks matter! Two like-model tractors placed side-by-side that are similar in age, mechanical condition and hours but are different in terms of the condition of the sheet metal, tires, paint and seat and operator's area condition will be far different in terms of value.
  • Hours of usage- Machines with hour meters such as tractors, skid steers, dozers, excavators, backhoes and wheel loaders are always scrutinized by buyers, but the number of hours is generally considered by buyers to be less important than physical and mechanical condition. A well-maintained excavator that is six or seven years old and has 1,500 hours is quite possibly worth more than a three year old machine with 600 hours. In short, hours are just one factor in machine evaluation.
  • Maximize your trade-in value! Want top dollar for your trade-in? The best way is to care for your equipment from day one, perform regular service, keep it clean, check regularly for leaks, operate safely and store it inside when possible. Too late for that? Well, our best advice then is to present the equipment to your dealer in the very best possible light. Start by giving it a good thorough cleaning, then take an objective look at the condition by completing a checklist covering the unit's condition. Change the engine oil and filter, grease all the fittings, replace a weathered seat- the money you spend at the parts counter (or at our eStore , for that matter) will likely come back two-fold in the form of a higher trade value. If you still have the operator', parts or service manuals or maybe even a box of parts you never had a chance to use, let us know. After all, the less we need to do to prepare a machine for resale, the more it is worth!

Capital Tractor always prefers to see potential trade-ins in person, but that is not always possible. Thanks to the advent of digital photography and email we are often able to conduct appraisals based on a conversation with the machine's owner and some well-taken photos. So if you see a new or used machine on our website, whether it's a tractor, forage harvester, manure spreader, excavator, dozer or telehandler and you're interested, don't be bashful- email some pictures and a descriptions of any machine(s) you'd like to trade! If the machine you're interested in is at our Latham (Albany) store click here , and if the unit is located in Greenwich click here ,

Is there a "Black Book" or "Blue Book" for tractors?
Not really. While several organizations publish guide books, their usefulness is often limited to determining the year a machine was manufactured and/or specifications such as horsepower, weight, etc.. The issue with these guides is simply that the method for gathering the data is flawed.

One well-known publication bases its values on trade allowance figures submitted by dealers. On the surface this seems like it might work, but the reality is that all too few dealers submit the information so the sample size is statistically insignificant. Other guides use auction results as a barometer, but the values are skewed by factors such as the type of auction, location of the sale, accuracy of information and yes, even the weather on the day of the auction.

So while "black books" of a sort do exist, they are not as useful as those in the automotive industry where they deal with hundreds of times the number of vehicles than we do in the equipment industry.

Does Capital Tractor offer financing on used equipment?
We offer competitive financing on used equipment, often at low rates. If you see an item here on our website and wish to apply for financing you can now do so right here on our website by completing an online credit application. It takes just a few minutes and approval is often obtained the same business day.

Can Capital Tractor arrange for delivery of my purchase?
Capital Tractor can arrange for the delivery of used agricultural and construction equipment throughout North America. By working closely with brokers we are able to offer competitive rates for long distance deliveries. For customers in New York, Pennsylvania, New Jersey, Massachusetts, Connecticut, Vermont, New Hampshire and Maine we often deliver using our own trucks.

Can I trade a machine towards a used machine purchase?
Of course. We've been known to take multiple units in trade toward a pre-owned piece, provided those units being traded are something we feel will be marketable.

What is Capital Tractor's warranty on used equipment purchases?
Simply put, zero. Here's why- when we order new machines from New Holland, they come with a factory warranty. Since nothing is free, you can count on the fact that the cost of this warranty is included in the dealer cost of the tractor, skid steer, baler, or whatever the given machine might be. In nearly half a century of trading for used equipment, Capital Tractor has never had the person trading the machine in offer to extend a warranty to us, let alone to the next owner.

So unless a machine has a balance remaining on the factory warranty or an extended warranty is available used machinery is sold as-is, where-is. What this means is that a buyer of used equipment should a) thoroughly inspect the machine prior to purchase; b) have confidence in seller's integrity; and c) buy the machine with the understanding that it is used, which is why it costs less than a new one in the first place. If a dealer tells you differently, chances are you're paying well above market value- how else can they afford to do repairs?

At Capital Tractor we make every effort to inspect a machine prior to trading for it, then again prior to selling it. We price used equipment to sell and if there is a major issue (engine, transmission, etc.) with a machine we either perform repairs prior to selling it or disclose the issue to prospective buyers. If something is deemed unsaleable on a retail basis we then consign it to an auction.