I went to a gunshop today to possibly trade my newly acquired S&W 386SC .357 magnum revolver for something else (long story). Anyways, the guy checks the gun (which is a week old, only 100 rounds through it an well cleaned), checks it, and proceeds to tell me they offer 65% of wholesale prices - $300 and something dollars. Don't remember what the something was, nor did I care, as that sounded ridiculous to me. Doesn't the condition of the firearm determine what value it has in trade in? Is 65% of wholesale for a gun in excellent condition sound low, or am I being too hopeful?
Reasonable value of trade-ins
- Thread starter ZBoater
- Start date
Wildalaska
Moderator
That is one of the ways to do it...since you cant sell a used gun as a new one, and in light of the minimal markups on new ones, the deal is usual,ly (in run of the mill stuff) a percentage of wholesale.
I use a different formula, in cash cases I give a 70% +/- of the average resale price of a similar used firearm.
WilditsanartAlaska
I use a different formula, in cash cases I give a 70% +/- of the average resale price of a similar used firearm.
WilditsanartAlaska
Wildalaska
Moderator
As little as 5%
WilddependsonthegunAlaska
WilddependsonthegunAlaska
Al Thompson
Staff Alumnus
20% if you get a good deal from a distributor - but the 20% guns are rare..
Wildalaska
Moderator
Rare...??Virtually non existent
WildespeciallywhenyoudealvolumeAlaska
WildespeciallywhenyoudealvolumeAlaska
XavierBreath
New member
ZBoater,
A dealer paying 65-70% for what he can sell a used gun for is actually pretty good. Many simply quote a 50% price, as the mental math is simpler. Dealers buy their wares at wholesale prices. For him to offer you 65% of retail would be silly. He sells guns, he's not a firearms trade-in repository.
If you want to get a better deal, sell the gun on consignment, or take out an ad in the paper and sell it privately. If it's a good gun and the price is right, it will sell itself.
This is why many people buy used. You sell the gun for as much as you paid or more. Some other guy ate that new gun depreciation.
A dealer paying 65-70% for what he can sell a used gun for is actually pretty good. Many simply quote a 50% price, as the mental math is simpler. Dealers buy their wares at wholesale prices. For him to offer you 65% of retail would be silly. He sells guns, he's not a firearms trade-in repository.
If you want to get a better deal, sell the gun on consignment, or take out an ad in the paper and sell it privately. If it's a good gun and the price is right, it will sell itself.
This is why many people buy used. You sell the gun for as much as you paid or more. Some other guy ate that new gun depreciation.
kungfucowboy
New member
why not just do a private party sale?
Wildalaska
Moderator
Sell the gun in the paper?
OK a three day add costs you $50. On a $400 gun?
We do tons of consignements. My fee is 20% and I eat all fees for auctions etc.
Us? Nothing. If I can show a 10K difference in shipping per year (amount collected vs amount spent) I am happy.
WildisittimeforthegunshopbusinessprimerthreadAlaska
OK a three day add costs you $50. On a $400 gun?
We do tons of consignements. My fee is 20% and I eat all fees for auctions etc.
Us? Nothing. If I can show a 10K difference in shipping per year (amount collected vs amount spent) I am happy.
WildisittimeforthegunshopbusinessprimerthreadAlaska
essexcounty
New member
When I was a stocking dealer I used to figgure 66 to 70 per cent. I always told the seller what I was going to retail it at up front. Most folks traded anyway and I didn't end up with a pissed off customer.........Essex
I don't know that it will work for everyone, but here is what I do.
I review the books and sites for a reasonable retail price. (Remember the Blue Book and others give the retail price, not the wholesale price.)
I then calculate a reasonable price that I want to get for it, bring the gun to the dealer, and talk about putting it on consignment. We settle on the amount I want, based on my research and on his knowledge of the local market. That goes into his records as the amount to be paid me when the gun is sold.
What price he puts on it is his business. I usually have a pretty good idea of what he will ask, but if I said I would take $400 and he puts on a price tag of $1000 and sells it, fine with me. If I goofed on the value (I don't) and he profits by my mistake, so be it and no hard feelings.
But I have to understand that he needs to make a profit on the sale. I can't expect to sell the gun, or to receive on a consignment sale, the full retail value. The world doesn't work that way. If you ever try trading in an almost new car, you will find the same thing; once it is driven out the door, it becomes a used car even if the odometer shows ten miles.
Jim
I review the books and sites for a reasonable retail price. (Remember the Blue Book and others give the retail price, not the wholesale price.)
I then calculate a reasonable price that I want to get for it, bring the gun to the dealer, and talk about putting it on consignment. We settle on the amount I want, based on my research and on his knowledge of the local market. That goes into his records as the amount to be paid me when the gun is sold.
What price he puts on it is his business. I usually have a pretty good idea of what he will ask, but if I said I would take $400 and he puts on a price tag of $1000 and sells it, fine with me. If I goofed on the value (I don't) and he profits by my mistake, so be it and no hard feelings.
But I have to understand that he needs to make a profit on the sale. I can't expect to sell the gun, or to receive on a consignment sale, the full retail value. The world doesn't work that way. If you ever try trading in an almost new car, you will find the same thing; once it is driven out the door, it becomes a used car even if the odometer shows ten miles.
Jim
Actually it is used even if it has 0 miles...........if it's been titled..........Just like when someone sells you a gun and says it hasn't been fired.............It's quite difficult to tell if it's been cleaned really good and care is taken not to scratch loading areas....mostly levers........
Wildalaska
Moderator
Thats unfair...my practice is if the customer thinks he wants $400 and he should get $600 if I luck out, he gets the$600
Most of my consigness want to SELL the guns so up they go on auction where the market is determined. A sold gun is better than blowing the dust off of it for a year
WildfairisfairandsharethewealthAlaska
I know, I'm deranged! But when I trade with my local dealer I always expect to get less than I would if I sold my trade-in at auction.
I always get close to the going Internet price on the new gun, and I'm usually happy with the transaction.
Newspaper ads? I think it depends on where you live, and if you're an FFL.
I always get close to the going Internet price on the new gun, and I'm usually happy with the transaction.
Newspaper ads? I think it depends on where you live, and if you're an FFL.
This thread makes me think about
the Browning HP I was looking at a month ago. My gun range dealer wanted $835 for the blued model. Went to Cabelas the next day and found the exact same one for $500. Both new in box.......but my range dealer did offer to come down $35. Hahahahahahhahahahahahaha!!!!!!!! The few times I traded in I think I came out on the bad end of the deal...but if ya see something ya want bad enough, you'll pay the price to get it.
the Browning HP I was looking at a month ago. My gun range dealer wanted $835 for the blued model. Went to Cabelas the next day and found the exact same one for $500. Both new in box.......but my range dealer did offer to come down $35. Hahahahahahhahahahahahaha!!!!!!!! The few times I traded in I think I came out on the bad end of the deal...but if ya see something ya want bad enough, you'll pay the price to get it.
Well, I think it boils down to finding a good gun dealer, developing a relationship with them and sticking with them. I went from one dealer wanting $545 for a NIB Beretta M9 and give me $365 for my gun (so my gun and a check for $180 for an M9) to another dealer whom I've dealt with before and he did an even trade (used S&W 386SC for new M9). It was such a good deal I threw in all the .357 and 38 ammo I had (Magtech and Corbon), 3 speedloaders and 2 Hogue grips AFTER the deal was done. He also does transfers from Internet purchased guns for $25. I plan on buying every single gun from him in the future.