What’s the Best Time of Year to Finance Construction Equipment?

Timing Isn’t Just a Site Issue—It Matters in Financing, Too

When it comes to construction projects, timing is everything. The same is true when financing equipment. Whether you’re buying a new loader, upgrading your fleet, or leasing attachments, the time of year you choose to finance can impact your pricing, tax deductions, and operational readiness.

So, when is the best time to finance construction equipment?

The answer depends on your goals—but there are key periods throughout the year that offer distinct advantages. Let’s break them down.

Best Time #1: Year-End (October–December)

Why it’s good:
Year-end is one of the busiest seasons for equipment financing, and for good reason. It’s the last chance to:

• Take full advantage of Section 179 tax deductions
  
  
• Prepare for next season’s contracts
  
  
• Replace aging equipment before winter downtime
  
  
• Lock in low rates before possible annual increases
  
  

Lenders may also offer year-end promotions, especially on equipment that needs to be moved before new inventory arrives.

Pro tip: Ensure your equipment is in service before December 31 to claim tax benefits in the current year.

Best Time #2: Pre-Season (January–March)

Why it’s good:
If you operate in a region with a spring ramp-up, financing equipment in the off-season gives you time to:

• Take delivery before demand spikes
  
  
• Train crews on new machines
  
  
• Lock in better prices before spring surcharges hit
  
  
• Avoid bottlenecks in dealer inventory or lender approvals
  
  

You may also benefit from manufacturer promotions designed to jump-start slow Q1 sales.

Use this time to:

• Replace any machines retired at year-end
  
  
• Add attachments or upgrades to existing fleet
  
  
• Finance early while cash flow is stable
  
  

Best Time #3: Mid-Year (June–August)

Why it’s good:
Mid-year is ideal for businesses that want to expand capacity in real-time. If jobs are stacking up and you’re renting frequently, now is the time to finance machines you’ve already proven you need.

You may also benefit from:

• Trade-in promotions during summer buying events
  
  
• Mid-season leasing flexibility
  
  
• Growing revenue to support larger financing approvals
  
  

Best for:

• Contractors with strong summer pipelines
  
  
• Those scaling crews or adding project types mid-year
  
  
• Firms looking to capitalize on increased demand
  
  

When Not to Wait

While timing matters, waiting too long can be more costly than jumping in early. Consider financing now if:

• You're spending thousands per month on rentals
  
  
• Your current equipment is creating job delays
  
  
• A contract requires new equipment you don’t yet have
  
  
• You want to improve tax positioning in the current year
  
  

Waiting may lead to missed opportunities, rushed financing decisions, or less favorable terms.

Additional Timing Factors to Consider

1. Equipment Availability
The earlier you shop, the more options you have. Late-season surges or supply chain lags can limit availability of popular models.

2. Interest Rates
Rates may rise based on market conditions. Securing financing before a rate increase can save you significantly over the life of a loan.

3. Your Credit Cycle
Apply when your financials look strongest. Lenders assess bank statements, cash flow, and payment history—so plan your application accordingly.

4. Upcoming Workload
Line up equipment before you need it. It’s better to have the machine a few weeks early than scramble the week a job starts.

Financing Strategies for Every Season

No matter the time of year, consider these strategies to get the most out of your financing:

• Pre-qualify early so you're ready when the right deal hits
  
  
• Ask about deferred payments if you're financing ahead of revenue
  
  
• Consider bundling machines, attachments, and trailers for better terms
  
  
• Use seasonal payment structures to align with your revenue curve
  
  

Final Thoughts: The Right Time Is When It Moves Your Business Forward

There’s no one-size-fits-all answer to when you should finance construction equipment. The best time is when it helps your business operate more efficiently, win more contracts, or reduce costly delays.

That said, year-end tax planning, pre-season preparation, and mid-year expansion are three of the most opportune windows for strategic financing.

Need help structuring a financing plan to match your timeline? Talk to National Legacy Capital Group. Their team specializes in helping construction companies secure fast, flexible equipment loans and leases—no matter what month it is.

Frequently Asked Questions (FAQ)

Can I finance now but defer payments until work picks up?
Yes. Many lenders offer 30, 60, or 90-day payment deferments—especially in the off-season.

What’s the deadline to qualify for Section 179 each year?
Equipment must be purchased and placed into service by December 31 of the tax year.

Are interest rates better at certain times of year?
Rates fluctuate based on market conditions, not the calendar. However, lenders may offer promotional terms during slower sales periods.

Should I wait for a dealer promotion?
It can help—but don’t delay a needed purchase just to chase a potential discount. The cost of job delays often outweighs a short-term promo.