earthmoving · Equipment & asset finance
Excavator finance
Excavators are the backbone of Australian civil and residential earthworks, and lenders know the resale market well. We compare structures and lenders so the repayment matches the work the machine is winning.
What is excavator finance?
Excavator finance is funding used to buy a tracked or wheeled excavator, with the machine itself held as security. Most Australian buyers use a chattel mortgage over three to five years, and the machine can be new, used or bought at auction. Deposits are often not required when the machine is late model and the business has trading history.
Excavators cover a huge range in Australia, from 5-tonne machines doing pool digs and residential footings through to 30-tonne machines on civil and subdivision work. The size you buy drives everything else: float costs, the truck and trailer you need to move it, the attachments that earn revenue, and the resale market you will eventually sell into. Twenty-tonne class machines are the most liquid, which is one reason lenders treat them favourably.
Finance for an excavator is almost always secured against the machine, which keeps the rate well below unsecured business lending. A chattel mortgage lets the business claim depreciation and the interest portion of repayments, and the GST on the purchase is generally claimable in the next BAS. Your broker matches the term to the work: a five-year term on a machine with a decade of life left keeps repayments realistic without paying for the asset long after it has finished earning.
Excavator finance at a glance
| Typical price range | $60,000 – $750,000 |
|---|---|
| Finance term | Up to 84 months |
| Useful life | About 12 years |
| New or used | New 20-tonne machines are widely financed, and quality used machines under 6,000 hours are equally acceptable to most panel lenders. |
| Indicative rates (Chattel mortgage) | 6.9% – 14.5% p.a. · rate history |
| Finance structures | Chattel mortgage (recommended), Equipment loan, Finance lease |
How lenders assess excavator finance
Lenders price excavators on age, hours and brand. Machines under five years old with a recognised badge usually attract the sharpest terms and can often be funded with no deposit. Once a machine passes ten years or 10,000 hours, expect a shorter term, a deposit, or a lender that specialises in older plant. Private sales are accepted by most lenders but need a PPSR clearance, a signed sale agreement and payment direct to the seller. Balloons of 20 to 30 per cent are common on new machines.
Before you buy
- Ask for the full service history and download the machine hours from the ECU rather than trusting the hour meter alone.
- Check undercarriage wear on tracked machines — a full undercarriage rebuild on a 20-tonne machine can run past $25,000.
- Confirm attachments are included in writing; buckets, hitches and hammers are often quoted separately and can be financed with the machine.
Commonly financed
Caterpillar 320 and 323 · Komatsu PC138US and PC210 · Hitachi ZX135US and ZX210 · Volvo EC220 · Sany SY215C
Estimate excavator repayments
- Number of repayments
- 60
- Balloon at end of term
- $81,000
- Total interest (est.)
- $114,645
- Total repaid (est.)
- $519,645
This calculator provides an estimate only and does not account for fees, charges or the specific terms a lender may offer. It is not financial advice or an offer of finance.
Key terms
What is excavator finance?
Excavator finance is a secured loan or lease used to buy an excavator, where the machine is the security for the debt. Terms usually run 36 to 60 months and the funds are paid directly to the dealer, auction house or private seller.
Can I finance a used excavator in Australia?
Yes. Most panel lenders fund used excavators, including auction and private-sale purchases. Age and hours drive the term offered — a machine that will be more than 15 years old at the end of the term is usually shortened or declined.