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Henry Mero said
This is only My opinion and experience; If I’m buying with the intention of resale, I usually try to buy a collection or multiple firearms at once, offering a fair discounted price, leaving some wiggle room for “profit” on the sale. Kinda the same as the auction houses. This practice started for Me kinda by accident a number of years back. A fella had forty some guns , but only 3 that I was really interested in, but He wouldn’t sell them seperate, so I bought the whole works and sold off the ones I wasn’t interested in. I made enough $ on them guns to virtually pay for the ones I wanted to keep. I have bought quite a few collections in Canada and the U.S. over the years, as many as 1200 guns in one collection I bought, and for the most part, have done well on them. I have also been on the flip side of this equasion, where I have paid more than popular market value for a single gun that I just had to have, because of rarity or condition, to put in My rack. It ia very rare to find that single piece at a “bargain” price. Like right now with the difference in the U.S. / Cdn. money it is very expensive for me to buy anything in the U.S., I just bought a couple of high end 1890’s. The purchase price was a little over $9,200.00. By time I get those guns home to Ontario that would have been about $14,000.00, now with 25% tariff being levied, well You do the math. I bought these guns before the tariffs but couldn’t get them imported until after, so now I got $17,500.00 into a couple of guns I know I’ll never get out of so they will stay on My rack probably forever. We are pretty well priced out of the U.S. market as buyers, for now.There are some pieces coming up at the next R.I.A. that I sure would like but I probably won’t even bother bidding because of all that, the last piece I bought at Their sale the hammer price was $5500.00, by time I got that gun home it was well over $12,000.00. So are prices softening a bit I sure do hope so.
When it comes to the foreign exchange rate, it’s not the dollar figure you need to look at, but what the price is relative to everything else.
I’ll use the British pound as an example as I’m familiar with it. Plus it works well as an example.
Today, it takes about $1.30 to purchase £1. So, if you earn $130,000 annually in the States, that’s the same as earning £100,000 in the United Kingdom. Let’s say you went out to lunch in the UK and it cost you £20. That’s the equivalent of $26.00. So, if your identical lunch cost $24.00 in the States, the numerical figure is greater than the pound equivalent, but the cost relative to your income is not.
And so it might be prudent in your case to figure out what your U.S. counterpart might earn annually, and if your wages are comparable when converted, you might want to think along the lines as to what percentage of your current income that firearm might be, and if it’s greater, percentage wise than for your American counterpart, then think about how badly you want it. If less, even though the dollar figure might be more, than it might not be nearly as expensive as you might think.
Translating this further, I see the Canadian dollar is now worth 7/10 of the U. S. dollar. So, if you earn $70,000 in the United States, that’s the same as $100,000 Canadian. So, a $7,000 firearm in the United States is 10% of both of these incomes, but the total dollar amount is 7k American and 10k Canaduan.. It might be that a firearm really might be worth $10,000 U.S. dollars and is undervalued at $8,000 but you only want to spend $7,000 on it, even though it’s worth 10% of your income simply because $8,000i is greater than $7,000, even though, percentage wise, it’s still less than 10% of your income.
November 7, 2015
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Good math/economics lesson, Ian. Last time I was in England the Pound was worth about $1.60. Meals and lodging in London were a bit less perhaps but it was tough to make an apples to apples comparison. It’s been awhile.
For stateside transactions between U.S. citizens it’s a matter of perspective. If indeed this section of the market is soft then it’s a buyers’ market. This segment of the market includes many good, solid guns in good to excellent condition and that is what many of us are interested in. I won’t get to take advantage of this opportunity. If I’m able to thin the herd a bit more there is one gun that I wouldn’t mind finding but it’s a gun I’ve always said I wouldn’t buy. If there were a consumer confidence report for gun collectors it would be interesting but I suspect it’s a bit low at the moment.
Mike
Ian, I’m 76 years old and My pension hasn’t doubled In the last 15 years , when the $ was about par, like what I’m paying for a U.S. bought gun right now. I understand what You’re sayin’ and it makes perfect sense, but right now everything is so volitile.
W.A.C.A. life member, Marlin Collectors Assn. charter and life member, C,S.S.A. member and general gun nut.
Lot of good points in this thread. I don’t have much to add other than agree the market seems to have softened for the middle of the road pieces.
I have read all that has been written here and all I can say is we shall see soon enough. Auction season is starting in a couple weeks, as I see it, starting with Amoskeag. They have listed several fine looking Winchesters that I would say fit into this category that’s being discussed here. Next is RIA and Morphy and Poulin. I say pay attention to the hammer prices and make a determination based on those.
Probably going to irritate a few people here when I say this, but it has been a question plaguing me for a very long time. So, I have read time and again how the financial gain on your fire arms is not why you buy them, correct? Then are you not worried about the value of them in the future? Seems to me that it is a fools errand.
November 7, 2015
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When I buy guns I am generally aware the time to sell them may come but I’m more interested in enjoying them for awhile. If/when that time comes I want to get as much as I can for them so I can build or improve my collection with the proceeds. If I sell every Winchester for less than I pay for it I will run out of funds much quicker than I’d like. Folks at the other end of the financial spectrum seem to have unlimited funds and don’t seem to care how much they have to pay for their new prize or even whether they will be able to sell it for anywhere near what they paid for it.
I also know that in my experience travel costs would quickly eat up whatever financial gain I would realize by selling guns even at a substantial profit. Some folks are obviously better at that than I. I treat this as a hobby and enjoy it without the pressure of having to chase profits, I did that all my working life. I must limit the shows I attend but running all over the country peddling guns rather than enjoying them in the comforts of my home isn’t my idea of a good time.
I’ve noticed the most successful dealers are often not much interesting in collecting guns. Conversely the most successful collectors seldom sell guns. I’ll never have an exceptional collection but I’m having fun.
Mike
Collecting guns is a hobby just like golf. The hobby gives you enjoyment and occupies your time. A golf hobby cost just as much, membership, drinks, and trips to distant courses to make it a year around hobby. The difference is when your all done you have the value of the collection, whatever it is.
I can’t hit that little ball anyway. T/R
TR said
Collecting guns is a hobby just like golf. The hobby gives you enjoyment and occupies your time. A golf hobby cost just as much, membership, drinks, and trips to distant courses to make it a year around hobby. The difference is when your all done you have the value of the collection, whatever it is.
I totally agree. And maybe this is a buying opportunity?
This seems to have happened rather abruptly. Perhaps due to the change in administration and the recent softening of the stock market? Only last summer or fall, I contacted an auction house about a Colt Single Action Army revolver in .44-40 manufactured well before December 1889 when the acid etched panel on the barrel would have been correct. It contained a later roll marked barrel, meaning the barrel was replaced. The auction house revised their listing and the revision was in red lettering—you couldn’t miss it. I also suggested the auction house lower their opening bid on this revolver if they were interested in selling it. They didn’t, said the widow of the collector didn’t want to go any lower. When the dust settled, it did sell, and for significantly more than I would have expected had the barrel not have been replaced.
For the record, I buy what I like and what I can afford. I generally seek out better condition guns knowing that they should maintain their value better than lesser quality guns. But I do look for value at the same time. I think most of us fit into this category. I admit for me this is just a hobby, but it is an investment at the same time, currently the return on value for me is the time my son and I spend together shooting and hunting with these guns. Not to mention the conversations we have and the learning we share in collecting them.
That’s not to say that if I were to divest myself from them I would truly hope to make a small profit on my investment, but one can never tell. There is no such thing as a sure bet, except dying. I think the longer you hold them then the better chance of that, but guns are a risky bet. I posed the question as I was curios how others look at this.
I guess it could be called ” hobby investing”
I ran a small airport that did a little of everything. Had a local individual that learned to fly but had to keep it secret from his wife. He always wanted his own airplane, years later at 80 his wife let him buy it. I found him his dream plane. Three months later he died from natural causes. I sold it for his widow and apologized for not getting what he paid for aircraft. She did not care, she remarked it was the happiest three months of his life. T/R
TR,
Amazing story, TR! Thanks for sharing.
Being happy as a collector, is for me and many others, what it’s all about!
If I don’t like it or enjoy it, I just don’t don’t do it or buy it! 
Anthony
A lot of the pleasure of collecting is in “the hunt”, the anticipation, the first sight of the quarry, the thrust and parry of negotiation, and the thrill of the conquest. The gloating quickly fades once the new acquisition is inside the cabinet or vault
I think these sensations emanate from within our DNA, and rather closely resemble the pleasures of hunting game.
Moreover, from my years of experience receiving the privileged confessions and remarks of a certain type of male with a taste for serially pursuing and seducing out-of-bounds women for sport, I learned the real pleasure they derived from it was in the pursuit, not the conquest. Dangerous game, indeed.
What does all this mean? It proves we are predators and always have been. With exceptions, of course….
- Bill
WACA # 65205; life member, NRA; member, TGCA; member, TSRA; amateur preservationist
"I have seen wicked men and fools, a great many of both, and I believe they both get paid in the end, but the fools first." -- David Balfour, narrator and protagonist of the novel, Kidnapped, by Robert Louis Stevenson.
Here I thought we we’re just innocent Collectors Bill. LOL! 
Great analogy!
Anthony
Just wanted to revive this thread as Amoskeag has posted the prices on this weekend auction. I say go look for your self and see. Didn’t look very good to me at all ends of the sale. A quick run through showed most sales barely hit the low estimate. I know I personally did not do well on the sale of Colt C&B revolver I had there. Not their fault, market is what it is. I was surprised about a couple ELW 86’s tho, sold over high estimate and they were re-blued. Crazy. They did have a very nice 86 fancy sporting in 38/56 with a 21 lyman and it sold at high end, but it was legit and very good condition.
Tom,
I noticed the same, when I took a look. Like you said, a few, that we’re very desirable, went over and above, their estimated high water marks.
Anthony
Almost everything I had marked to follow and some bids sold substantially above estimates. A few sold just below the high estimate. I’m looking at price I cues with buyers fees which reflect what someone is really willing to spend. Don’t forget there are taxes and shipping on top of most of these prices
Just a wild guess here, but I suspect things would be different had Harris won instead of Trump. Not saying I wish Harris would have won, just saying I think things in the firearms market would look much different.
Dan
oldcrankyyankee said
Just wanted to revive this thread as Amoskeag has posted the prices on this weekend auction. I say go look for your self and see. Didn’t look very good to me at all ends of the sale. A quick run through showed most sales barely hit the low estimate. I know I personally did not do well on the sale of Colt C&B revolver I had there. Not their fault, market is what it is. I was surprised about a couple ELW 86’s tho, sold over high estimate and they were re-blued. Crazy. They did have a very nice 86 fancy sporting in 38/56 with a 21 lyman and it sold at high end, but it was legit and very good condition.
I sort of had my eye on that .38-56:
But, IMHO, it brought a lot for what it is. Not an antique and .38-56. I like .38-56, most don’t. If you form .33 Winchester cases from .45-70, you create .38-56 on your way to .33 Winchester, but one less step involved.
oldcrankyyankee said
I have read all that has been written here and all I can say is we shall see soon enough. Auction season is starting in a couple weeks, as I see it, starting with Amoskeag. They have listed several fine looking Winchesters that I would say fit into this category that’s being discussed here. Next is RIA and Morphy and Poulin. I say pay attention to the hammer prices and make a determination based on those.Probably going to irritate a few people here when I say this, but it has been a question plaguing me for a very long time. So, I have read time and again how the financial gain on your fire arms is not why you buy them, correct? Then are you not worried about the value of them in the future? Seems to me that it is a fools errand.
RIA, Poulin’s, Morphy’s and Amoskeag have come and gone. Following these sales, any comments or observations relative to this segment of the market and these recent sales are welcome.
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