The Land Speeder is a hover craft used on Tatooine as a mean of getting around. Luke Skywalker used one to find R2-D2 who had gone off on his own. Luke also used a vehicle to get back to his uncles home fearful that they could be dead, killed by Stormtroopers.
When Luke travelled to Mos Eisley with the droids and Obi-Wan Kenobi, he sold his land speeder in order to get credits to hire Han Solo. Luke knew he wasn't going to be coming back so he didn't hesistate in selling it.
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