How to Buy a Semi-Truck

Last Updated November 1, 2024

A semi-truck is the most crucial piece of equipment for trucking business owners, but it’s also a huge investment!

There are a lot of factors to consider when buying your first semi, from the particular type of truck you need, to how much you can afford to spend as a down payment, to calculating long-term operating costs. In this guide, we’ll break down everything you need to know about buying a semi-truck, including the pros and cons of new vs. used trucks, financing with little or no money down, where to actually purchase your vehicle, and the responsibilities that come with semi-truck ownership.

How Much Does It Cost to Buy a Semi-Truck?

Buying just one semi-truck can be a significant expense for any business. Ultimately, the cost depends on a variety of factors, but it’s mainly based on whether you buy a new or used semi-truck.

New semi-trucks cost $100,000 to $200,000. Used semi-trucks range from $30,000 to $80,000, depending on age, mileage, and overall condition.

However, that’s just the upfront cost of buying the truck. There are plenty of other expenses to factor in here, including:

• Taxes
• Insurance
• Registration
• CDL (if you don’t have one already)
• Maintenance and repairs

Buying a semi-truck is a long-term financial commitment with ongoing costs. Keep that in mind when deciding whether to buy a new or used semi-truck.

Requirements to Buy a Semi-Truck

You’ll need a few things to legally buy and operate a semi-truck, including:

• CDL
• Department of Transportation (DOT) number
• Motor carrier number, if transporting goods across state lines
• Financing, if you plan to buy the truck with zero or minimum cash upfront
• Commercial truck insurance
• Paying for vehicle registration and taxes

You’ll need a CDL before you do anything. From there, shop for commercial truck insurance and financing for your desired semi-truck. Once you pay for the truck, you must apply for an MC and DOT number. Make sure to look up the requirements in your state for semi-truck vehicle registration and taxes, too.

Considerations Before Purchasing Your Semi-Truck

Making a plan before you buy ensures you purchase the right truck for your business needs. Consider factors like:

• Trucking operation: Do you plan on hauling locally, or is cross-country your preferred style? Longer routes require trucks with features that prioritize comfort, while shorter hauls tend to focus on fuel efficiency. Consider not just where you want to start but where you eventually see your business going. If you have ambitions to take cross-country loads, buy a truck designed for those hauls.
• Cab type: Sleeper cabs are essential for staying profitable on long-distance trips. However, day cabs might be enough if you only want to do shorter hauls—it doesn’t hurt that they also tend to be cheaper.
• Gross vehicle weight rating: Your GVWR has a big impact on which loads you can carry. Choose a truck that can handle your ideal load capacity.
• Fuel type and tank capacity: Over 75% of semi-trucks are diesel, but you may want to try an alternative fuel option. It’s also important to consider a truck’s fuel capacity; the longer the range you plan to drive between stops, the larger the fuel tank you’ll want.
• Transmission type: Do you want an automatic or manual transmission? Automatic saves hassle and is generally easier to drive, although opting for a manual transition improves fuel efficiency.

Buying a New vs. Used Semi-Truck

If you plan on buying a semi-truck, the most important decision is whether to buy new or used. Either way, a semi-truck is a significant expense for any owner-operator. Let’s consider the pros and cons of buying a new versus used semi-truck to optimize your financials from the start.

Pros of Buying a New Semi-Truck

There are plenty of advantages of buying a new semi-truck versus used, including:

• Manufacturer warranties, which will sometimes cover repairs for a few years
• Having access to the latest technology
• Paying much less for repairs because everything is brand new
• The option to customize the truck to your specific needs

Cons of Buying a New Semi-Truck

As nice as it is to drive a new semi-truck, this isn’t always the best choice. Buying a new semi-truck comes with a few downsides, such as:

• A much higher upfront cost; it can easily cost two to three times as much to buy a new semi-truck
• Reduced value because new trucks depreciate fast, so if you plan on reselling at a later date, it’s unlikely you’ll make back what you paid for it
• Higher insurance premiums and repair costs

Pros of Buying a Used Semi-Truck

It’s tempting to go with a new semi-truck, but it’s costly. Opting for a used truck comes with benefits like:

• Lower upfront costs, which makes this a more accessible option for new owner-operators
• A used truck already went through significant depreciation, so it will retain more of its value long-term than a new truck will
• Lower insurance rates
• Established maintenance records and proven reliability

Cons of Buying a Used Semi-Truck

Used semi-trucks make it easier to start a trucking company for less money. However, this option does come with a few pitfalls, such as:

• More expensive maintenance and repair costs because of wear and tear
• Limited technology or new features
• Uncertain history—this issue depends on the previous owner, but it’s not unheard of for owner-operators to encounter unexpected issues driving trucks without an established history

Ultimately, buying a new versus used semi-truck comes down to your budget and tolerance for risk.

Responsibilities That Come With Owning a Semi-Truck

Buying a semi-truck for your business is a big milestone, but the work doesn’t end there. Many responsibilities come with owning a semi-truck, including:

• Maintenance or repairs: Oil changes, tire replacements, and engine checks are a must to keep your truck in top shape. Regular checkups also help you avoid inconvenient and costly breakdowns.
• Fuel: Fuel costs are a significant expense for truckers. Keep an eye on fuel efficiency with tools like fuel cards to stay profitable and avoid paying for gas out of your own pocket.
• Insurance: You’re legally required to carry commercial truck insurance, but it’s also a smart way to limit liability in the event of an accident.
• Registration and permits: Whether it’s the DOT, an MC number with trucking authority, or a local business license, double-check that you have all the required permits to operate a trucking business. If you have employees, you’ll also need an employee ID number.
• Payments: Many new truck owners finance their trucks. If you opt for financing, you’re responsible for making timely payments to avoid fees or repossession.

Where to Buy a Semi-Truck

Buying a semi-truck is a must for becoming an owner-operator. So, where can you buy one?

The easiest place to find semi-trucks for sale is through truck manufacturers like Mack, Peterbilt, Freightliner, or Volvo. These dealerships are available across the United States and provide a range of both new and used trucks. Many also offer flexible financing options, too.

However, dealerships aren’t available in all areas. Some truckers opt for alternatives like:

• Online marketplaces like Truck Paper, Commercial Truck Trader, or even Craigslist
• Auctions, which sell semi-trucks at bargain prices, but often with little chance for inspection before purchase and few guarantees—buy at your own risk!
• Private sellers, who sell trucks to buyers directly

Tips for Buying a Semi-Truck With No Money

Semi-trucks aren’t cheap, but that doesn’t mean you need thousands of dollars in savings to buy one. Follow these tips to finance your trucking business and make your dream of truck ownership a reality.

Explore Your Semi-Truck Financing Options

Most truck owners can’t make a sizable down payment on their first truck, especially if they buy new. Instead, drivers opt for traditional trucking business loans to cover the cost of their semi-trucks. A conventional bank loan is a common first choice, although it does require a solid credit score. With this option, you have a monthly payment with interest, making it more expensive than the cost of the truck alone.

Buy a Used Truck

If you’re on a budget, avoid buying new and stick with a used semi-truck. Buying a used semi-truck is a cost-effective way to start a trucking business without breaking the bank. It doesn’t hurt that it often costs much less upfront and has lower insurance premiums.

If you buy used, you can expect to finance through a used truck dealer or a traditional bank loan. The upside is that, no matter which option you choose, it will be much more affordable than buying new, even with fees and interest. However, always inspect used trucks to ensure you’re buying a reliable vehicle.

Consider Leasing a Semi-Truck Instead

Buying a truck is a big financial commitment that might not be right for all owner-operators. Leasing a semi-truck is an excellent alternative to buying. With this option, you can test the waters before committing to ownership. Lease agreements sometimes include maintenance and repairs, so you don’t have to worry as much about unexpected breakdowns.

However, leasing tends to have a higher monthly payment than buying. Plus, your payments don’t go toward building equity in a truck. Some providers offer lease-to-own arrangements, so work with your leasing company to assess your options.

In-Summary: How to Buy a Semi-Truck

Buying a semi-truck is no small investment. Carefully consider the type of trucking business you want to run before purchasing a truck. Whether you’re considering buying a new semi-truck vs used, financing with little money down, or exploring leasing options, each path has its pros and cons. Follow the tips in this guide to understand how to buy a semi-truck and make the right decision for your business.

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Buying a Semi-Truck FAQs

Can you buy a semi-truck for personal use?

Technically, yes, although it’s uncommon because of the costs involved. You still need a commercial driver’s license, insurance, and appropriate registration to drive a semi-truck on public roads, even if it’s for personal use.

Can I buy a semi-truck with bad credit?

Yes, although it might be more challenging. Look for lenders who specialize in financing for lower credit scores. Remember that these providers often charge higher interest rates and sometimes require larger down payments.

Can I buy a semi-truck without a CDL?

Yes, but you can’t drive it on public roads. Some business owners purchase semi-trucks with the intention of hiring CDL employees to drive them.

Is it possible to buy a semi-truck with no money down?

Yes, semi-truck leasing is a great way to secure a vehicle with less money down. However, read the fine print. Leasing isn’t right for everyone, and the higher monthly costs could eat into your profits long-term.

Is there an age requirement to buy a semi-truck?

Technically, you must be 18 to sign a contract to buy a semi-truck, but you can’t drive it. You must be 21 years old to qualify for a commercial driver’s license, which is required for driving semi-trucks on public roads.

Is it worth buying your own semi-truck?

It depends. Many owner-operators prefer to own their trucks because it gives them more control over their routes, schedule, and profits. However, leasing is a solid option for new owner-operators who want to start a business without significant upfront expenses.