Vintage Guitar Market

StratDen · June 9th, 2008, 09:31 AM

It seems to me several of the better known Vintage retailers online have softened their prices on instruments that have been stagnant in selling appeal. While I understand a good amount of these instrument may very well be consignments and those decisions are ultimately up to the owner, I'm sure the fact that the less brisk atmosphere is creating a bit a of a downward pressure on those looking to sell.

While I'm sure the appeal for 50's and 60's Strat will go on, I wonder if there will be a time that those following the baby-boomers will support the price levels. It reminds me of the Car Hobby in a way where a certain decade of cars means more to one generation than another.

I'm seeing references to these "Vintage Guitar Funds" from various investment groups looking to get in on the action. Makes me wonder if multiple funds getting into this will just be playing off each other to see who will be the last to pay up. Or if they will even pursue the plans seen mentioned in light of the current economic concerns lead by housing.

I guess my hopes for a real Vintage 50's or 60's Strat hangs in the balance of finding that roadside attic/closet cleaning yard/garage sale...

Strat-Talk · June 9th, 2008, 04:14 PM

I've been asking the "what about when the baby boomers die" question and it seems clear that demand will still be strong. The only gotcha in this arguement is that many heirs will say, "That old guitar is worth what? Let's sell it now." and so supply could depress prices.

The goal is to sell my '65 Strat when I'm not enjoying it and not a day before.
PS. Dennis, I bought my '65 when prices seemed SKY HIGH in 2000. I paid $4,900 for it and everyone thought I was crazy. Don't wait too long to buy your baby. They only go up in price if you ask me.

StratDen · June 9th, 2008, 06:47 PM

I agree the interest will likely remain... And you make a very valid point about pricing...

worldoftone · June 10th, 2008, 12:47 PM

Economy always seems to slow before elections. Right now is a buyers market if you want to land a vintage Strat. Prices are down, and probably will be for the short term. The guitar market went through a huge appreciation period recently. In many cases 300-400% in a couple of years on certain models. If you follow any investment trends, you know that this is risky at best (look at the California housing market now). I have seen a lot of prices fall somewhat the past 6-7 months. Slow, steady appreciation is what you want to see if you want to hold on to these for the long term IMO.

Geez, I sound like my old econ prof. That being said, all my vintage strats get played a lot on stage. I bought mine to play 'em.

- WOT

StratDen · June 13th, 2008, 10:36 PM

Pretty cool you're willing to gig with your Vintage Strats. I'm not so sure I'd get past doing local Jams w/friends, at the very most, with one.

worldoftone · June 14th, 2008, 08:29 PM

You only live once and you can't take 'em with you.

- WOT

StratDen · June 15th, 2008, 12:47 AM

Quote:

Originally Posted by worldoftone

You only live once and you can't take 'em with you.

- WOT

Yes, agreed. But I'll try to take at least one with me.LOL!

My son can have the rest of them...

Strummin67 · June 17th, 2008, 11:43 AM

Quote:

Originally Posted by Strat-Talk

I've been asking the "what about when the baby boomers die" question and it seems clear that demand will still be strong. The only gotcha in this arguement is that many heirs will say, "That old guitar is worth what? Let's sell it now." and so supply could depress prices.

I think that the market will eventually extend to the first generation Squeirs. We're already seeing people ask amazing amounts for guitars built during the last CBS years.

worldoftone · June 17th, 2008, 12:26 PM

Yeah, I can see it coming. The early Fullerton RI guitars from '82 are starting to bring big $$$.

- WOT

StratDen · June 19th, 2008, 02:05 PM

Hey, aren't the Squire '51s already grabbing a premium since they've been discontinued in March of last year? Would they fall into the category of future classic collectible for some? They sure went fast @ $99 with raves with upgrades...

jcwu · June 19th, 2008, 03:08 PM

Quote:

Originally Posted by Strat-Talk

I've been asking the "what about when the baby boomers die" question and it seems clear that demand will still be strong. The only gotcha in this arguement is that many heirs will say, "That old guitar is worth what? Let's sell it now." and so supply could depress prices.

But when the baby boomers die, who will be wanting these guitars? This generation's kids don't appreciate these vintage instruments, and if you listen to the music they like, you'll see that they have no sense or appreciation for the finer/more subtle things in life. They like bright new shiny things.

"Hey mom! Check out what I found in the attic - grandpa's old guitar! Look, it's all beat up, probably not worth a lot. Why in the world would he keep in in a glass case? We'll sell it at the garage sale. And what's SRV stand for anyways?"

jmasin · June 19th, 2008, 03:42 PM

Quote:

Originally Posted by worldoftone

You only live once and you can't take 'em with you.

- WOT

So when Jimi said he'd meet us in the next world we won't be able to bring our guitars?! I hope they have some there!!!

StratDen · June 19th, 2008, 05:05 PM

Quote:

Originally Posted by jmasin

So when Jimi said he'd meet us in the next world we won't be able to bring our guitars?! I hope they have some there!!!

I hear they have a helluva band!

Fenderon · June 20th, 2008, 11:16 PM

I follow the sports car market and you can make some good buys now. Seems like lots of people are selling off their toys at a faster rate then are people buying them.

StratDen · June 22nd, 2008, 08:48 PM

Quote:

Originally Posted by Fenderon

I follow the sports car market and you can make some good buys now. Seems like lots of people are selling off their toys at a faster rate then are people buying them.

I remember buying a '69 Nova 350 in a 2 or 3 condition for $500 was commonplace. I look at prices today and say to myself this is much like the vintage guitar market.

thaus · July 6th, 2008, 06:04 AM

Just watched an interesting youtube thing with George Gruhn where he talks about vintage instruments and the high prices. When he opened his store in Nashville in 1970, he sold Gibson ES-335's (dot board) for $400. Now those same guitars sell for $80K. He also mentions that the worst time for guitar manufacturing was the 1970's but even those instruments which were considered junk are now commanding high prices! Everything old is new again..........

Fenderon · July 8th, 2008, 11:04 PM

I consider my guitar collection part of my retirement. When I have the extra money I buy guitars, mostly from the 80s and 90s. I have some that are older but most of my guitars are 80/90s. I am 51 years old and in 20 years I plan to have 100 guitars to sell off a couple per year. If they sell for 10K each thats a lot of tax free dollars.

64Strat · July 14th, 2008, 10:38 AM

believe it or not, now would be a good time to buy certain select pieces. I see some softening of prices because, dealers need cashflow, they depend on turnover and when it doesn't happen at the rate they need it, they will lower prices to stimulate cashflow. The other aspect is there seems to be a bit of panic selling or folks that need liquidity right now and there seems to be a glut of vintage pieces on the market right now. I don't think it will stay that way. It's a bad time to sell but a good time to buy. Also, with regard to the Boomer thing, don't think of that as a light switch. There has been a lot of infusion from one generation to the next and the younger generations don't have their inheritance or fortunes made yet. I would still stick to the basics, Teles, Strats, Les Pauls, 335's and so forth. just my humble opinion.

Stratocolster · July 14th, 2008, 10:44 AM

Don't know about the US economy but the Uk one is falling apart. I would say now is the time to buy as prices will be low due to people not buying luxuries (UK remember). Another thing to consider is that tone woods and rare wood supplies are getting lower-hence Martin making the new laminate range.
Get now I say. It will only get more expensive.

Fenderon · July 17th, 2008, 11:37 AM

I'm starting to see under the bed guitars showing up for sale as energy prices rise, pieces that the owners hadn't thought of selling.

Strummin67 · July 17th, 2008, 01:46 PM

...Just to keep a roof over their heads.

david kae · August 3rd, 2008, 09:47 AM

i think its relative ...truth be known in 45 years people will be ignorant to Robin Trower but Hendrix will remain known so some instruments will have value others wont...its also about scarcity and i like what one guy said about the 70's and disco its rhythm and blues for folks that have neither