Equipment Financing

Can I Get an Equipment Loan for Used Equipment?

Published June 2026

The Short Answer

Yes. Most equipment lenders finance used equipment, though terms differ from new. Expect 80% to 90% of appraised value (vs 100% for new), shorter terms (2 to 5 years vs 5 to 7), and slightly higher rates (typically 1 to 3 points above new equipment rates). Age limits apply. Most lenders cap used equipment at 7 to 10 years old at the time of funding, though specialty lenders go older for trucks, heavy machinery, and aircraft.

Used Equipment Loan Terms by Equipment Type

Equipment TypeMax Age at Funding% FinancedTypical Term
Construction equipment10 years80% to 90%3 to 5 years
Trucks and trailers7 to 10 years80% to 90%3 to 6 years
Restaurant equipment5 to 7 years75% to 85%2 to 5 years
Medical / dental equipment5 to 7 years80% to 90%3 to 5 years
Manufacturing machinery10 to 15 years70% to 85%3 to 7 years
Computer / IT equipment3 years70% to 80%2 to 3 years

Sources: lender published rate tables, SBA program guidelines, and industry data as of June 2026. Rates and qualification criteria change frequently. Confirm with each lender before applying.

Why This Matters

Used equipment is often the smarter buy. A 2-year-old commercial truck at 60% of new price, financed at a slightly higher rate, still costs less over the life of the loan than buying new. The catch: most banks won't touch used equipment. Online equipment lenders and specialty captive finance companies will. Match strength matters more here than rate shopping.

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