What to Know About Buying Rebuilt (or Refurbished) Heavy Equipment

Machine owners looking to save money often choose to buy heavy equipment that has been rebuilt (often referred to as refurbished). Should you? Here’s what to expect from a rebuilt machine versus buying new.

HEAVY EQUIPMENT REFURBISHING VS. REBUILDING: WHAT’S THE DIFFERENCE?

Is a machine refurbishment the same as a machine rebuild? The two words often get used interchangeably. Both mean essentially the same thing: returning equipment at the end of its life expectancy to like new condition.

At Caterpillar, we use the term “rebuild” because that’s what our process entails. We take advantage of the extra life built into every Cat^® product to rebuild equipment from the ground up. As a result, it performs like it did when it was new. In some cases, it performs better than new thanks to optional upgrades and enhancements.

The Cat Certified Rebuild Program includes machine, commercial engine, power train, hydraulic system and machine component rebuilds. Cat Certified Rebuild machines get a new product identification number (PIN) and a like new standard warranty on all replacement parts.

WHAT’S INCLUDED IN HEAVY EQUIPMENT REFURBISHING OR REBUILDING?

It depends. Not all construction equipment manufacturers follow the same steps. Nor do they hold a machine rebuild to the same standards. If you’re considering rebuilt or refurbished heavy equipment, make sure to ask about the process. That way, you can compare options to make the best decision.

For example, here’s a look at what every Cat Certified Rebuild machine must undergo:

• Fluid analysis, visual inspections and a review of the machine’s service history

• Disassembly and inspection of parts and components

• Reconditioning work not included in a typical overhaul

• Engineering updates introduced after the original manufacture date

• Reassembly and automatic replacement of parts that don’t meet strict reusability standards

• Comprehensive powertrain and performance testing

• Repainting, new model identity graphics and a Cat Certified Rebuild decal

There’s a lot more involved in the Cat Certified Rebuild Program. Take a look at this article and brochure for additional details. You can also reach out to your local Cat dealer below.

WHY CHOOSE A REBUILT MACHINE VS. A NEW ONE?

There are pros and cons to both options. The decision depends on multiple factors — including your budget, timeline and business goals. Many construction equipment owners choose rebuilt or refurbished heavy equipment for these reasons:

• Cost: Machine rebuilds are usually priced at a fraction of the cost of buying new equipment. Every Cat machine is built for two or even three lives.

• Timeframe: If supply chain issues are a challenge, it may be quicker to acquire a rebuilt machine rather than a new one.

• Warranty: Coverage varies by manufacturer, but it can be quite comprehensive. Some companies also let you add extended protection to a rebuilt machine for peace of mind.

• Resale value: Machines that are rebuilt to a strict set of standards tend to hold their resale value. Adding an ownership and maintenance plan — like a Customer Value Agreement — can help increase resale value.

• Parts availability: With a rebuild, or refurbishment, it’s often easier to access spare parts and aftermarket kits to expand machine capabilities.