Where to Sell Leftover Construction Materials: The Complete Guide
Every contractor has dealt with it: pallets of leftover lumber sitting in a yard, boxes of unused tile from a canceled change order, or electrical supplies bought in bulk that outlasted the project. Surplus construction materials tie up cash and take up storage space. But they also represent real value, often 40 to 70 percent of the original purchase price, if you know where to sell them.
This guide covers every major platform and method for turning your surplus materials into revenue.
Surplus Construction Materials
Online Marketplaces for Construction Materials
Several platforms cater specifically to contractors looking to sell surplus building materials. These are purpose-built for the industry and attract buyers who know what they are looking for.
OFFLOADIT
OFFLOADIT is a mobile app designed specifically for contractors to sell leftover materials. The app is built for speed. You can list materials in under two minutes with photos from your phone.
- How it works: Snap photos, describe the materials, set a price, and post. Buyers in your area see the listing and arrange pickup.
- Fees: Free to list; small transaction fee on completed sales
- Best for: Quick sales of common materials (lumber, drywall, roofing, concrete products)
Contractors Overstock
Contractors Overstock is a marketplace focused exclusively on surplus construction materials. It connects sellers (contractors with leftover inventory) with buyers (other contractors, DIYers, and small builders).
- How it works: Create a listing with photos, description, and price. Buyers contact you directly.
- Fees: Free listings; optional premium placement
- Best for: Large lots and bulk quantities
Unbuilt
Unbuilt operates on a consignment model. You send them your surplus materials (or they arrange pickup for large quantities), and they handle the listing, selling, and shipping.
- How it works: Submit details about your surplus. Unbuilt evaluates, lists, and sells it. You receive payment after the sale minus their commission.
- Fees: Consignment commission (typically 20 to 40 percent depending on material type and value)
- Best for: Contractors who do not want to manage the selling process themselves
Salvex
Salvex is a global auction and wholesale marketplace for surplus, salvage, and excess inventory, including construction materials. It is best suited for larger volumes.
- How it works: List your materials for auction or fixed-price sale. Salvex has a network of wholesale buyers worldwide.
- Fees: Commission on completed sales
- Best for: Large surplus lots, insurance salvage, project closeout inventory
IronPlanet
IronPlanet (owned by Ritchie Bros.) is primarily an equipment auction platform, but it also handles construction materials, especially heavy materials and large-quantity lots.
- How it works: Online auction format with inspections and guaranteed condition reports
- Fees: Seller commission on completed auctions
- Best for: Heavy equipment, large material lots, and high-value surplus
Contractor Supply Exchange
Contractor Supply Exchange is a free marketplace where contractors can buy and sell surplus materials directly. No middlemen, no commissions on basic listings.
- How it works: Post your materials with photos and pricing. Buyers contact you directly for pickup or shipping.
- Fees: Free basic listings
- Best for: Peer-to-peer sales between contractors in the same region
Local Selling Options
Not everything needs to be sold online. Local options can be faster, simpler, and avoid shipping costs entirely, which matters a lot when you are selling heavy building materials.
Facebook Marketplace
Facebook Marketplace is one of the most effective local selling channels for construction materials. The buyer pool is enormous, and listing is free.
Tips for selling construction materials on Facebook Marketplace:
- List in the "Home Improvement Supplies" or "Building Materials" category
- Include specific dimensions, quantities, and brand names in the title
- Price slightly above your bottom line to leave room for negotiation
- Respond to inquiries quickly, because materials move fast when priced right
- Set clear pickup instructions (your shop, job site, or will-deliver-for-fee)
Craigslist
Craigslist remains a reliable option for selling construction materials locally, especially in markets where contractors actively browse the "materials" section.
Tips for Craigslist:
- Post in the "materials" subcategory under "for sale"
- Include the specific city/neighborhood in the title for visibility
- Be precise about quantities and condition
- Repost every few days to stay near the top of listings
- Accept cash only for in-person transactions and meet at a safe location
Habitat for Humanity ReStore
If selling is not worth the effort for a particular batch of surplus, donating to Habitat for Humanity ReStore is a strong alternative. ReStores accept new and gently used building materials and sell them to the public at discounted prices.
- Tax benefit: Donations are tax-deductible. For contractors, this can offset taxable income.
- Materials accepted: Lumber, doors, windows, cabinets, fixtures, hardware, tile, roofing materials, and more
- Pickup available: Many ReStore locations offer free pickup for large donations
- How to donate: Contact your local ReStore or schedule a pickup at habitat.org/restores
Local Surplus and Salvage Stores
Many regions have building material salvage stores or surplus outlets that buy directly from contractors. Search for "building material salvage" or "surplus building supplies" in your area. These stores typically buy at 20 to 40 percent of retail value and handle everything from there.
Platform Comparison Table
| Platform | Type | Fees | Best For |
|---|---|---|---|
| OFFLOADIT | Mobile app | Small transaction fee | Quick local sales of common materials |
| Contractors Overstock | Online marketplace | Free basic listings | Bulk surplus lots |
| Unbuilt | Consignment | 20-40% commission | Hands-off selling |
| Salvex | Auction/wholesale | Commission on sales | Large volumes, global buyers |
| IronPlanet | Auction | Seller commission | Heavy materials, equipment |
| Contractor Supply Exchange | Peer-to-peer | Free | Direct contractor-to-contractor sales |
| Facebook Marketplace | Local marketplace | Free | Fast local sales, any quantity |
| Craigslist | Local classifieds | Free | Local buyers, simple transactions |
| Habitat ReStore | Donation | None (tax deduction) | Materials not worth the effort to sell |
| Local salvage stores | Direct purchase | None (they set the price) | Immediate cash, no listing hassle |
How to Price Surplus Materials
Pricing surplus materials correctly is the difference between a quick sale and inventory that sits in your yard for months.
General Pricing Guidelines
| Material Condition | Suggested Price Range (% of Retail) |
|---|---|
| New, unopened packaging | 50-70% of current retail |
| New, opened but unused | 40-60% of current retail |
| Lightly used, good condition | 25-40% of current retail |
| Weathered or stored outdoors | 15-25% of current retail |
| Specialty or hard-to-find items | 60-80% of current retail |
Factors That Affect Pricing
- Current retail price: Check current pricing at Home Depot, Lowe's, or your distributor. Surplus pricing should always be referenced against what the buyer would pay new.
- Quantity: Larger lots can command higher per-unit prices because buyers save on shipping and sourcing time. Alternatively, breaking bulk into smaller lots can attract more buyers.
- Seasonality: Roofing materials sell faster in spring and summer. Insulation moves in fall. Time your listings accordingly.
- Local demand: Materials for popular renovation projects (decking, flooring, kitchen cabinets) sell faster than niche items.
- Condition and storage: Materials stored indoors and in original packaging command premium prices. Be honest about condition, because a buyer who shows up and finds damaged goods will not complete the purchase.
Tips for Selling Faster
Take Good Photos
Photos are the single most important factor in online listings. Follow these guidelines:
- Photograph materials in good lighting, preferably outdoors in daylight
- Show the full quantity from a distance, then close-ups of condition and labels
- Include a tape measure or common object for scale
- Photograph any labels, model numbers, or brand markings
- Show packaging condition (sealed, opened, damaged)
Write Descriptions That Sell
Include these details in every listing:
- Exact product name and brand (e.g., "CertainTeed Landmark Pro Architectural Shingles - Moire Black")
- Quantity with units (e.g., "14 bundles" not just "some shingles")
- Dimensions or specifications where relevant
- Condition (new in packaging, new opened, used, etc.)
- Reason for selling ("leftover from completed project" builds buyer confidence)
- Pickup location (city/neighborhood, not full address until sale is confirmed)
Time It Right
- List materials within a week of project completion, while they are still clean and accessible
- Avoid listing during major holidays when buyer traffic drops
- Post on weekday mornings when contractors are planning their material needs
- If materials do not sell within two weeks, lower the price by 10 to 15 percent and relist
Tax Considerations for Selling Surplus Materials
Selling leftover construction materials has tax implications that every contractor should understand.
Sales Tax on Surplus Sales
When you sell materials to another party, you may be required to collect and remit sales tax depending on your state. If you are selling materials regularly (not just a one-time cleanout), your state may consider this retail activity that requires a sales tax permit.
Buying Materials for Resale
If you are purchasing materials with the specific intent to resell them, whether as surplus or through a side business selling supplies to other contractors, you need a resale certificate. A resale certificate allows you to buy those materials without paying sales tax at the time of purchase, because you will collect tax from the end buyer instead.
This applies to contractors who:
- Operate a materials yard or supply counter alongside their contracting business
- Regularly buy excess materials with the intent to resell the surplus
- Purchase closeout or liquidation materials specifically for resale
Get Your Resale Certificate -->
Income Tax Reporting
Revenue from selling surplus materials is taxable income. Track every sale and report it on your business tax return. If you donated materials to Habitat ReStore or another qualified nonprofit, keep the donation receipt for your tax deduction.
Making Surplus Sales Part of Your Business Process
The most efficient contractors build surplus management into their standard operating procedures:
- At project planning: Order accurately using detailed takeoffs to minimize waste
- During the project: Track materials used versus purchased in real time
- At project completion: Immediately inventory and photograph all surplus
- Within one week: List surplus on your chosen platforms
- At 30 days: Discount any remaining inventory or donate to ReStore
Treating surplus materials as an asset, not a nuisance, can recover thousands of dollars per year for an active contracting business.
Key Takeaways
- Multiple platforms exist specifically for selling surplus construction materials, from apps like OFFLOADIT to auction sites like Salvex.
- Local options like Facebook Marketplace, Craigslist, and Habitat ReStore are free and effective for heavy materials that are expensive to ship.
- Price materials at 40 to 70 percent of retail depending on condition, and adjust based on demand and seasonality.
- Good photos and detailed descriptions are the key to fast sales.
- Understand the tax implications. Collect sales tax when required, and get a resale certificate if you are buying materials specifically for resale.
Get Your Resale Certificate -->
Have questions about tax obligations when selling surplus materials? Contact our team for guidance.
Related Articles
- Buying Construction Supplies Wholesale Tax-Free - If you are buying materials to resell, learn how to set up tax-exempt accounts.
- Construction Materials Sales Tax: The Complete Guide - Understand when construction materials are taxable and when they are not.
- Free Construction Bidding Sites Directory - Find more projects so you have fewer leftover materials in the first place.