Flipping Guitars: Worthwhile?

[Brian Krashpad]

buying cheap used gear and trying to resale cheap used gear is not going to be a particularly successful venture.

 

Ah, but that depends on the definition of "successful." The OP hasn't set the bar very high, just the occasional $50-$100 profit. In a big enough college town with a music scene, that's doable. However, a good candidate to "flip" may only show up once every one or two months, and someone else may get to it before you do.

 

Fwiw, I have started doing this. I don't expect to make very much money to speak of, but it is possible to turn a small profit. (As an example, a year or 2 ago I snapped up, not to flip but for myself, an Epi T-bird bass for $100, and I know I could've resold it for $200 or at the least $150, had I not wanted to hold onto it.)

 

However, it may take a good month or two to move something, once acquired. I look on it like this: I get an axe that's new to me, and available to play, for a month or two, and when I resell, at a minimum I have yet to lose any money. So it's like getting paid to have an extra axe laying about.

[guitarcapo]

Buy local junk at "estate sales"

 

Sell the stuff on Ebay.

 

More profit less work.

 

Another nice approach is to buy weird obscure vintage guitars (like 60's Japanese stuff) ...and sell the parts.

[dcindc]

I've been pretty successful at this...BUT the days of $100 guitars in the hot deals thread is gone.

 

You'll have to find great deals the old fashioned way.

 

The best advice I can give anyone is this:

Don't limit yourself to guitars. I flip EVERYTHING. Cars, stereos, chachky (sp?), silver, whatever.

 

I wrote a book on this very idea. The bottom line is:

Is it priced too low? Do you think it is worth more? Then it's likely someone else will, too.

 

 

"You make your money when you buy." repeat daily.

[smorgdonkey]

If you can get them cheap enough then the answer is yes.

 

I recall when the economy was really bad someone had a Fender Custom Telecaster FMT for sale for $250. I should have just bought it and waited it out a bit...I just saw one sell on eBay for $450.

 

If gear sells in your area (which is what I prefer - local sales) and you can get stuff at a reasonable price then flip away. If I could get stuff at reasonable prices I'd be flipping them like crazy.

[The Rossness]

I flip guitars. You just have to know your market really well and focus on a particular style of guitar or manufacturer. Also, sometimes you may have to sit on a guitar for a while before it sells, but if you stick to your guns, it'll sell eventually. In my most recent sale, I had to sit on an axe for the better part of half a year. But generally, sales can be as fast as a week or two.

 

My area of expertise is high end, 80's style super strats. Just know your market really, really, really well. Also, with higher end merch, there's more room for a profit, price and a little built in haggle room.

 

-Just a tip

[Poster Nutbag]

I've flipped a lot of guitars - for a decent profit? Usually not.. but I do it because I love working on them, not for the $.

 

Usually I will find a cheapie or a salvageable basketcase and fix it up, new finish, etc. Things that add curb appeal. But you need to know a fair amount to assess the condition of a guitar before you snag it - some things may not seem like a big deal in the shop, but once you get it home and do a careful assessment of the needed repairs, you may end up with more work than you bargained for.

 

Also, the used guitar market right now is oversupplied - there are guitars I now "know" on CL because they've been posted so many times, usually with a desperate price slash. Some have been going on over a year unsold.. If the economy is bad, people tend to sell recreational items first, which for most is the guitars. End result, it's a buyers market, but once you get a hot deal, unloading it is going to be a challenge, unless you have a reliable place that gives decent prices on used gear. Such as the music only pawn shop in my town. But even then, they have a profit margin to meet too, so it's a last resort.

 

Custom parts guitars could be another way to go, but again, think in terms of branding - I'm not the least bit interested in the standard Strat from Warmoth/GFS/etc. parts, since I can do that myself and it's been done a million times before. But if you do something unique and different than everybody else with those parts, you can stand out from the pack and start defining your 'style'. Things like your own design of headstock, wild paint combos, wiring configurations.. and besides, typically you won't get back out what you put into a parts guitar unless you really make it something special.

 

My advice to you would be to start with set-up type things around campus, post flyers out in the student union, give decent deals on your work (like $10 for a basic string change, $40 for an action setup, $60 labor for pickups) and get your name out there! Networking is key with such things.. consider every guitar you work on as your business card that the owner will carry with them. Become the "Guitar Guy" on campus. If you do good work, treat your customers right, and love doing it, eventually people will seek you out.

[BG76]

If anyone pays some college kid $60.00 to put in a pickup I'll be surprised.

[Poster Nutbag]

If anyone pays some college kid $60.00 to put in a pickup I'll be surprised.

 

I bet a college kid would

 

I dunno, that's around what I'd charge, and I'm often surprised what someone will pay for something that's all "mysterious and technical" like computer work, etc. It's all about the perception, IMO.

[Steadfastly]

I am definitely an advocate of "flipping" guitars. It may have something to do with my name.

[Scrivo]

 Garage sales are the way to go for example my grandma owns a 1951 fender persion bass worth 10000 for 50 bucks at a garage sale 

[HankC]

(Hey Moderator - this post ain't spam!  Honest.  Please read and see for yourself.  Thanks!)

I know I'm a decade late, but this thread is near the top in Google for people interested in flipping (buying & selling) guitars and people are checking it out everyday, so I'd like to add some pertinent info - there is a new website dedicated to helping people get into the guitar flipping business - or other related like guitar service, repairs, setups, etc.

They don't seem to be selling anything or wanting your money - just free advice - and more useful, indepth advice about buying and selling guitars than you've seen anywhere else.

GuitarFlipper.com

check it out!

[daddymack]

Welcome, Hank. You are obviously 'involved with GF.com', but I will leave your link, as it may help some newbies make a decision.

Actually, your own website has some great info as well.

 

Flipping axes, though, can be a challenge, especially with current shipping charges going up almost daily, and if one is not very knowledgeable about virtually everything guitar related, it is very easy to get stuck with a dog.

Flipping high end guitars is a roller coaster ride [take a look at some of the better guys, like Austin/Trogly], and flipping low end guitars can be a short walk off an even shorter pier...but, that said, there are so many Asian manufacturers who are just coming in to their own, that there is a potential market if you know how to buy low, sell higher, and keep inventory moving. I did this for a while [direct with a mfr, our own logo, our specs, etc, and I personally did the set ups here in the US when they arrived] but ultimately found the time spent was not giving me a reasonable ROI.

I think the days of finding a a 1959 LPJr in original case at a yard sale are pretty slim. But the odds of getting something like a Firefly and flipping it for a profit still exist. As a seller you need to know exactly whom your target market is, and figure out a cheap but effective means of reaching those targets [customer acquisition cost]. You will survive and succeed based on the reviews of prior customers, so you need to be a fair dealer.  You will want to be able to make adjustments and reasonable 'repairs' on your own, since paying an 'outside tech' will kill your margin rapidly. Even pawnshops are now pretty savvy to $ value of instruments, thanks to the internet, so finding used bargains has become a serious challenge.

To anyone wishing to do this, best of luck!

[1001gear]

Not particularly enamored of flippers - at least not when they grab goods you need and tack on their price.

[gardo]

14 hours ago, 1001gear said:

Not particularly enamored of flippers - at least not when they grab goods you need and tack on their price.

So you’re not a fan of money grubbing scum buckets

[badpenguin]

16 hours ago, 1001gear said:

Not particularly enamored of flippers - at least not when they grab goods you need and tack on their price.

Like you've never made money on a piece of gear you sold?

[1001gear]

7 hours ago, badpenguin said:

Like you've never made money on a piece of gear you sold?

You know I can't say I've ever sold any of my gear. I recall I got 50 bucks in trade for a GE7 and 30 bucks for an Ibanez potato bug compressor (pals with the sales guy)

Besides it's just the random jerk that grabs something I had eyes on.

[daddymack]

To be fair, some 'flippers' are 'value added types' who will upgrade parts to make the instrument better...and pass that cost along with the instrument. But if you could get a 335 type guitar with DiMarzo PAFs of Duncans in there...better tuners, better bridge, CTS pots, orange drop caps [IMHO pointless, but some people swear by them], etc...and you don't have to lift a finger, for a little more than a stock Epi Dot costs?

Why not?

[1001gear]

4 hours ago, daddymack said:

To be fair, some 'flippers' are 'value added types' who will upgrade parts to make the instrument better...and pass that cost along with the instrument. But if you could get a 335 type guitar with DiMarzo PAFs of Duncans in there...better tuners, better bridge, CTS pots, orange drop caps [IMHO pointless, but some people swear by them], etc...and you don't have to lift a finger, for a little more than a stock Epi Dot costs?

Why not?

No reason to malign the conscientious who inflate in moderation...

[gardo]

Like everything else there are the good ones and the bad ones. Unfortunately there is one in my area that gives a bad name to everyone .  I’m actually happy to see a hobbyist make something nice and pick up a few bucks for his troubles  
Its the other one I have no time for

[daddymack]

11 hours ago, gardo said:

Like everything else there are the good ones and the bad ones. Unfortunately there is one in my area that gives a bad name to everyone .  I’m actually happy to see a hobbyist make something nice and pick up a few bucks for his troubles  
Its the other one I have no time for

I agree, there are some who will take advantage of people for their own gain. Those people should be avoided at all cost, and outed whenever possible...

[HankC]

Someone posted that shipping charges are high and a detriment to selling guitars.  Actually, it's all about knowing the "inside secrets".   I just shipped a large electric guitar (box: 42x18x6) from central Florida to New York for just $23.   (PirateShip.com) and I pay about $6 per box - but only on about 1/4 of my sales.  Most guitars I ship in reused boxes from new or used guitars I've bought online.
Yes, I said "new".  I sometimes buy inexpensive new guitars, mod them, set them up, etc. and resell.  I have enough local sales to get "free" boxes from the new guitars, which I use for shipping.
In my spare time (which isn't a lot) I'm posting all my tips and stuff I've learned buying, selling and repairing guitars, on the GuitarFlipper website.