On March 24th 2015, EquipmentWatch revealed the Top 5 Most Expensive Cities to Own Equipment which identified areas of the country where the ownership costs of equipment were as much as 34% above the national average. On the opposite end of the spectrum, the Top 5 Least Expensive Cities to Own Equipment identifies those areas where ownership costs are most affordable.
Several factors are taken into account when determining ownership costs of heavy equipment . One of those factors is per capita income which reflects the economics of a city and state. The economics of a particular area can have a direct impact on factors like local mechanics wage, sales tax, and freight which can affect ownership costs as well as operating costs.
However, the most important factor in regional variation is the climate. Maximum and minimum temperatures and precipitation are taken into consideration due to its effect on the average annual use hours. Extreme temperatures and precipitation shorten a working season which means ownership rates will be higher in order to recover fixed costs. Areas with volatile climates tend to have more downtime for both equipment and workers.