Why Buy New? The Benefits of the Secondary Market

cashWe all love new things. New car smell. Clothes fresh out of the laundry. Never before lived-in homes. There’s a major rush that we get when something is fresh out of the package and hasn’t been touched since coming off the assembly line. And new things are great, but when it comes to big tickets items why would you pay new item prices when you could get equally good functionality at a lower cost from a slightly used item?

Machinery & Equipment
New machinery can be a huge expense for any business. Not only is the price tag higher, but businesses often need to go through the process of financing unless they happen to have large sums of cash on hand. So, why go through the hassle when used equipment can give you the functionality you need at a price point that won’t put you into the red? The secondary machinery market that businesses can access through sites like MachineTools.com or MachineBook.com is massive. Tens of millions of dollars change hands annually, and now that the global economy is starting an upswing, demand for quality used machinery and equipment is on the rise. This secondary market also gives businesses the chance to pad their own accounts by selling used machinery to free up capital for other types of expansion.

Planes, Trains & Automobiles
We all need reliable transportation, but the cost of new vehicle ownership can sometimes be too much to handle. Sites like Craigslist and NationalVehicle.com have listings for thousands of pre-owned cars, trucks, RVs and motorcycles that can get you the transportation you need at extremely affordable prices. If you tastes go to the extreme, JamesEdition has even compiled listings for pre-owned items like yachts, helicopters, Rolex watches and luxury cars.

Buyer – and Seller – Beware
Ultimately, the items you can find on the sites listed above are great so long as you have a way to protect your finances during the transaction. Without the benefit of a financing company or dealership to package monthly payments, transactions for used items are usually a single lump sum payment. As these purchases often take place between two parties with little to no experience with one another – and are many time separated by a distance that requires involving a shipping company – online escrow can be of great benefit to both the buyer and seller. Buyers are protected knowing that their purchase funds will be held securely with a neutral third party until there is proof that the item has been shipped, or has even arrived for their inspection at the final destination. Sellers are protected as all purchase funds are verified in advance, eliminating the risk of fraudulent checks, insufficient funds or credit card charge backs.

While these secondary markets can be amazing finds when it comes to saving time and money, it behooves any buyer or seller to learn the ropes before diving in head first. There are different requirements and practices for each marketplace, and taking the time to ask questions of customer service reps or seasoned users can be a huge help. More often than not there’s one old adage that can save even the most veteran online buyer or seller: If a deal seems too good to be true, it probably is.

For more tips on buying items on the secondary market, check out our used car checklist, and how to’s on buying and selling used machinery.

Advertisements

2 comments

  1. […] more information about buying and selling luxury items online see our posts about the benefits of the online secondary market, buying luxury vehicles from far away, and buying jewelry and watches […]

  2. […] like an ATV how are you going to move it around on your own? Because we continually talk about how beneficial the secondary market can be, below we’ve compiled a list of five of the top used trucks for towing large […]

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: