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  #31  
Old 07-11-2009, 07:43 PM
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After several years of buying and selling guitars for fun and profit, I've found that there's much more fun than profit. I usually lose money on every sale but try to make up for it in volume.....
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  #32  
Old 07-11-2009, 07:53 PM
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The trick is to buy a guitar with no current collector value in the knowledge that in 25-30 years it will become a sought after collectible. Looking at past performance, it would be commercial failures whose desirability only arose after many decades. If you can guess that, you got it made. Better chance to make money by throwing darts at the NYSE list and buying whatever you hit.
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  #33  
Old 07-11-2009, 07:58 PM
Brock Poling Brock Poling is offline
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Originally Posted by HHP View Post
The trick is to buy a guitar with no current collector value in the knowledge that in 25-30 years it will become a sought after collectible. Looking at past performance, it would be commercial failures whose desirability only arose after many decades. If you can guess that, you got it made. Better chance to make money by throwing darts at the NYSE list and buying whatever you hit.
Or the builders whose work is going to be considered "significant" after they are retired or dead.

I don't think it takes a big leap of faith to see this in Fred Carlson, Grit Laskin, or a few of the other builders working today.
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  #34  
Old 07-11-2009, 08:46 PM
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Or the builders whose work is going to be considered "significant" after they are retired or dead.

I don't think it takes a big leap of faith to see this in Fred Carlson, Grit Laskin, or a few of the other builders working today.
My reservation with that is that those people and others are well known now and their guitars are expensive now. Over time, they may increase in value but it will be more incremental and a lower ROI.
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  #35  
Old 07-11-2009, 09:04 PM
Brock Poling Brock Poling is offline
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I understand... but take Jimmy D'Aquisto as an example. His guitars were expensive too. But now his build price looks cheap by comparison.

I guess my only point is that there are clearly some folks out there whose instruments are going to skyrocket once they are no longer building. Some are easy to spot, while others aren't

As with most things picking the winners is the key.
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  #36  
Old 07-11-2009, 09:18 PM
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Nope.

Economies of scale via mass production have negated any real gain on a investment made in guitars other than there enjoyment.

Guitars that do show potential to appreciate in value are already expensive to buy.
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  #37  
Old 11-02-2009, 04:11 PM
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That guitar (second from left) is GORGEOUS!
The Gibson Les Paul zebrawood
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  #38  
Old 11-02-2009, 04:51 PM
HD18JBGuy HD18JBGuy is offline
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If you are trying to peddle guitars that will provide a decent, quick return in the near future, you can do much better in the market.

If you are trying to be risk averse and buy something now that will appreciate long-term, you can do much better (and be much safer) in the market.

Point being, guitars should not be considered as investments. While some of the older vintage relics that could have been bought for very cheap years ago and turn around for big dollars in the current day, I think those days are long gone and the "return" will never be as substantial. Similar thinking can be applied to automobiles.

Notwithstanding, there are some guitars that have appreciated a bit pretty quickly within a few years. These have generally been with respect to certain limited edition models.
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  #39  
Old 11-02-2009, 08:17 PM
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A sure fired guaranteed way to make money on any collectible, including guitars is to become an auctioneer and take your 15% off the top!
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  #40  
Old 11-07-2009, 03:22 PM
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If you choose Made in America, 1-2k guitars bought at 50% of MSRP or better, it shouldn't be to hard to make 4% appreciation annually. This would include Fender Re-issues, Rickenbacker, Gibson Montana, Martin Vintage Series, Etc. Just keep it limited to 5% of your net worth. It's a good hedge against inflation and lots more fun than those pesky stock market crashes.
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  #41  
Old 11-07-2009, 03:53 PM
Jeff M Jeff M is offline
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Quote:
Originally Posted by Schoolside View Post
If you choose Made in America, 1-2k guitars bought at 50% of MSRP or better, it shouldn't be to hard to make 4% appreciation annually. This would include Fender Re-issues, Rickenbacker, Gibson Montana, Martin Vintage Series, Etc. Just keep it limited to 5% of your net worth. It's a good hedge against inflation and lots more fun than those pesky stock market crashes.
No.
Doesn't happen.
All you have to do is look at the classifieds to see that.

First off, 50% off MSRP (at least in the case of Martin's, Taylor's and Gibson's) is not something you are likely to find. At least from a dealer who is trying to make a profit and not a loss.
Second..the vast majority of guitars do not appreciate.
Even models like Gibson "Montana's", Martin "Vintage" series do not appreciate like that. At least not in the short (or medium) run.

If I can get a $2,000 guitar at 50% off MSRP...so $1000, why should I pay somebody for the same guitar used, lets say at 3 years old, for around $1120 (assuming appreciation at 4% a year)?
Especially since it's warranty no longer applies.

Having bought and sold many used guitars over the years, I can tell you that doesn't happen.

If you buy a used guitar and then turn around and sell it, you may see some appreciation.
That is not a certainty either...especially when you toss in several hundreds of dollars in shipping charges to and fro.

If you wan't to make 4% a year, put your money elsewhere.
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Last edited by Jeff M; 11-07-2009 at 04:11 PM.
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  #42  
Old 11-07-2009, 04:06 PM
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Quote:
Originally Posted by Schoolside View Post
If you choose Made in America, 1-2k guitars bought at 50% of MSRP or better, it shouldn't be to hard to make 4% appreciation annually. This would include Fender Re-issues, Rickenbacker, Gibson Montana, Martin Vintage Series, Etc.
Uhhhhh........
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  #43  
Old 11-07-2009, 04:52 PM
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Originally Posted by Jeff M View Post
First off, 50% off MSRP (at least in the case of Martin's, Taylor's and Gibson's) is not something you are likely to find. At least from a dealer who is trying to make a profit and not a loss.

Second..the vast majority of guitars do not appreciate.
Even models like Gibson "Montana's", Martin "Vintage" series do not appreciate like that. At least not in the short (or medium) run.

If I can get a $2,000 guitar at 50% off MSRP...so $1000, why should I pay somebody for the same guitar used, lets say at 3 years old, for around $1120 (assuming appreciation at 4% a year)?
Especially since it's warranty no longer applies.

Having bought and sold many used guitars over the years, I can tell you that doesn't happen.

If you buy a used guitar and then turn around and sell it, you may see some appreciation.
That is not a certainty either...especially when you toss in several hundreds of dollars in shipping charges to and fro.

If you wan't to make 4% a year, put your money elsewhere.
Dealers are selling at a loss. Their are stockpiles of guitars sitting everywhere, Dealers have bills to pay, we are in a deep recession.

Because in 3 years inflation will make $1120 feel like $600.00. The only way our country can pare down the massive debt is to weaken the dollar and that is inflationary. You can also add a significant increase to the cost of the guitar from the manufacturer, especially in CA. Taxes, Electricity, and Wages are going up.

You are correct! But you didn't have the international awareness from the BRIC's. They will love our guitars and may finally have the money to buy them.

BTW: I hope I'm right because I sold my Gold stash (bought at $350 an oz) and moved it to Rickenbackers.

Where, the Stock market, Bonds, CD's Real Estate?

PS: I said 5% (it's a commodity/inflation play) ... not 100%.
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  #44  
Old 11-07-2009, 05:19 PM
Jeff M Jeff M is offline
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Originally Posted by Schoolside View Post
Dealers are selling at a loss. Their are stockpiles of guitars sitting everywhere, Dealers have bills to pay, we are in a deep recession.

Because in 3 years inflation will make $1120 feel like $600.00. The only way our country can pare down the massive debt is to weaken the dollar and that is inflationary. You can also add a significant increase to the cost of the guitar from the manufacturer, especially in CA. Taxes, Electricity, and Wages are going up.

You are correct! But you didn't have the international awareness from the BRIC's. They will love our guitars and may finally have the money to buy them.

BTW: I hope I'm right because I sold my Gold stash (bought at $350 an oz) and moved it to Rickenbackers.

Where, the Stock market, Bonds, CD's Real Estate?

PS: I said 5% (it's a commodity/inflation play) ... not 100%.
Can you show me were I can purchase a new Vintage model Martin at 50% MSRP? I actually am interested.

Do you see the flaw in your argument?
Dealers overstocked...selling guitars at below their cost....you come in and buy one...turn around and sell it for more than what people can buy that same guitar for new ?

If you know people willing to buy those guitars...send me those names too.

I'd rather put my money in a CD fund than buy a guitar for investment purposes.
The CD may only be earning around 1.5% at the moment, but it's on the plus side.
General rule of thumb for selling a used guitar is take off 33% from what you purchased it for.
(And that has been my experience.)

Best of luck on your Rickenbackers.
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  #45  
Old 11-07-2009, 05:46 PM
Dwight Dwight is offline
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Originally Posted by Jeff M View Post
Do you see the flaw in your argument?
Dealers overstocked...selling guitars at below their cost....you come in and buy one...turn around and sell it for more than what people can buy that same guitar for new ?
Sell it when the economy turns... I can hold it, play it and enjoy it until an opportunity to sell it comes my way. I don't ever have to sell it.

Did I see the flaw when I bought the gold? I sat on it for 3 years... It's a commodity play. Sold it and moved on to the next...

Thanks for the luck, I love my Ricky's. I can't name places or prices but a guy took delivery of a 381V69 the same week I got mine and consigned and sold it as a used guitar for $1500 over his cost. I know that's not typical, but that's the reality. The other reality is I have gotten some incredible buys this year.
Stuff that will never come around at this price again. It's not hard to find them, just pick up the phone.

American, 1-2k, models that were available in the 60's.

When it comes to investing, I've had the best results with MCD. People will never get tired of those Burgers and Fries. Yummmmm
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