Great Buyers Market...Poor Sellers Market

[PTony]

I’ve bought, sold and traded on and off for over 30 years. Is it me, or have the past couple of years been a tough market for sellers of used gear?

I’ve seem some outstanding “deals” on this forum, on CL, and on Reverb that were what I would consider very fair... not sell. Or, if they did sell it was below what I’d consider fair market value.

I know the term “fair” is subjective and can be difficult to qualify...so, I’ll say I’d personally consider used fair market value to be 60-70% of new value. And those figures would obviously move depending on the item of course.

I guess it’s nothing new. And, of course no one has to “give” anything away, but it seems to be quite challenging to sell quality gear for a reasonable price lately.

I should also say that I’ve seen this apply to both electric, and acoustic guitars. Not just one or the other.

Anyone care to weigh in..

[reeve21]

Hi Tony,

I think things changed with the recession that started about 10 years ago, and in my mind still continues for lots of folks, especially in certain areas of the country.

I've noticed this same depreciation in value with a lot of items that are more "want" than "need", not just guitars.

[PTony]

Originally Posted by reeve21

Hi Tony,

I think things changed with the recession that started about 10 years ago, and in my mind still continues for lots of folks, especially in certain areas of the country.

I've noticed this same depreciation in value with a lot of items that are more "want" than "need", not just guitars.

I’m sure you’re correct. And I’d agree that it could probably be traced back further.

Having been a member here for a while, I can remember a time when guitars sold within hours, not weeks. Honestly there were times where guitars here sold in minutes. Literally. And not just “budgets guitars, or “boutiques”. It seemed to be a fairly wide spectrum. And I say that based on personally buying, selling, or trading both electric and acoustic guitars during that time.

I’d also agree that different demographics may be seeing different trends. And, that the mindset of many (including myself to a certain degree) have adopted a different mentality regarding “want” vs “need”.

[MIGAS79]

It’s why the only new guitar I think I’d buy would be that dream guitar I’d keep forever.

I’d like to sell my PRS and try something different but the return would likely be so low that I’m probably better off keeping it around. Like anything else it is name driven. If your favorite guitars are the non-mega brands this market is great I imagine. Quality imported used guitars are steals.

[6L6]

Definitely a buyers market out there today. However...

I've found it easier to sell high end guitars where I live. Seems like plenty of folks around here have no problem dropping up to $10K on a guitar they see on our local Craigslist.

[Davis Webb]

I dont buy by private sale any more. I have had fakes, parts-casters, no warranty, long drives, weird meetings, crappy testing out the guitar conditions (one guy was selling a "strat" without an amp for me to try it out on).

I just buy retail, so I am part of that problem. I want a warranty and some sales support.

D.

[muscmp]

it has been a buyer's market for quite a few years.

i would consider 50% of new as a starting point, of course, depending upon condition. there have been quite a number of threads indicating that figure in the past.

play music!

[DukeX]

Originally Posted by muscmp

it has been a buyer's market for quite a few years.

i would consider 50% of new as a starting point, of course, depending upon condition. there have been quite a number of threads indicating that figure in the past.

I agree with this. You might expect to pay 60%-70% used from a retailer. They, OTOH, will give you 30%-40% of retail. IMO. YMMV.


Private parties, 50% is a good starting point for both parties. IMO. YMMV.


I avoid this as a problem because I always get great deals new. In fact, I often pay new price at/near what retailers sell the same item used.

[PTony]

Originally Posted by muscmp

it has been a buyer's market for quite a few years.

i would consider 50% of new as a starting point, of course, depending upon condition. there have been quite a number of threads indicating that figure in the past.

play music!

Where I live some mom and pops give 50% of new value on trade, and others give 60% of the avg reverb/eBay sale for that specific make/model (specifically seems to be Guitar Centers SOP). Of course, as mentioned, it definitely depends on brand and condition, etc.

In the “private” individual sellers market I’ve seen this figure be higher than 50% of new but never much lower than that. Unless someone is hurting for money, etc.

I also agree that there are times it’s better to simply keep a guitar or piece of gear for a later time/better market, etc.

Honestly the smartest play for both parties may be an even trade. Both parties end up with a guitar worth roughly what they traded, but may be a better fit for their personal stable. I love trading, but it is always a gamble if done online. Although, I’ve had great success dealing with folks on here. But, it is still an honor system and that in itself can be risky.

That being said I’m oftentimes open to entertain trades...but prefer to wade cautiously through the process.

And it’s absolutely true that Eastern guitar makers are selling ridiculously good guitars for unbelievable money. Seems that, coupled with great online “deals” have moved the market towards new over used.

I’ve heard from friends/acquaintances that sell cars that the opposite is true in that market. Seems there’s very little money to be made in the new car market over the used car market.

[Texsunburst59]

It's been a buyers market in my neck of the woods for the last 20+ yrs.

I mainly buy from pawnshops and some from CL.

Having access to the internet makes very little difference around these parts.

A lot of time the stores are too lazy to research the true value of the gear that they take int.

I've gotten so many amazing deals on electric/acoustic guitars, basses, amps and pedals.

A lot of the time I buy at 1/2 or less of the going rate of the piece of gear I purchase.

I almost always make some profit on the gear I sell, and won't sell any piece unless I can break even.

[MIGAS79]

Wow all I had to do was complain here about not being able to move my PRS and hours later it is gone. I have a one in, one out policy. Welcome to the herd, Guild S-100!

I tend to break even on my stuff. I like to try electrics for longer term, so I find deals and if they aren’t a keeper it is essentially a demo.

[ManyMartinMan]

I haven't had a single item for sale that didn't sell quickly for asking prices right where they should be. I never sell low. Those selling high-priced items that are low demand are going to sit for a while but there's nothing new there.

[ManyMartinMan]

I do see a lot of things sit but we've discussed that. If there's a listing without information, without photos, without specs, ask for friend's and family.... etc... I won't even open or look further. However, I still see plenty of people wanting to sell a mid to high priced guitar and post "if you want photos or specs, email/message me". Nope.

[MIGAS79]

Originally Posted by ManyMartinMan

I do see a lot of things sit but we've discussed that. If there's a listing without information, without photos, without specs, ask for friend's and family.... etc... I won't even open or look further. However, I still see plenty of people wanting to sell a mid to high priced guitar and post "if you want photos or specs, email/message me". Nope.

Or my favorite, when the listed condition doesn’t match how the person describes it themself in the listing. It will say “excellent“ and then they will describe it as being in good condition. I move on.

[rwmct]

I usually decide on a particular item that I want, and then buy pretty quickly after finding what looks like a good example.

I wanted a New Hartford Guild acoustic OM model. I bought my F-30 Std. for the full asking price, soon after it was first listed for sale on the Lets Talk Guild site. No way I was going to let that sit there and have somebody else grab it.


I things can still move quickly if somebody is specifically looking for what you are selling.