I clicked on the thread expecting to see a machine with 6000 on it. 700 hours would be a low hour machine. If the equipment is maintained and taken care of, it will last 10,000 hours easily.
For $29K that includes a cab and loader? That doesn't seem too out of line.
As far as size, for what you're wanting to do, that should be a good starting point. I'd be nervous about going smaller. Sure, you can for PTO work (pastures etc) you'll want the power. For pallets it would be decent enough.
The only thing I could see a headache with that is the turf tires. If you're not doing a whole lot on turf grass an R4 treaded tire would be better.
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