So a discussion came up the other day about an item in the BST area of the forum and someone asked was it priced properly? Was the price reasonable. There was some back forth discussion about the price. I was surprised at some of the responses. Not that they thought differently than I did but how they determined that the price was justified.
For example a Colt 1911 Govt model O1911C. If I see one for sale I know the MSRP is $899. I know that they sold at one time for $600-$650 + Shipping and transfer but those days are over. So then I look for recent comp sales on Gun Broker. Focus on sales not listings. People list these guns for $1500+ but they never sell for that unless someone makes a huge mistake. In general these days they sell for $900 to $1100 because Colt has been slow to get them to market. So if I see one in the BST trade listed at $800 it is below market. If it is listed at $1200 it is above. From there I figure out if I really want it and does the price make sense in the greater market. I take GB with a grain of salt because it is a national marketplace not a local one . In general I think GB is 10%-20% inflated from the Carolina market but a lot depends on what you are looking at.
I was surprised to hear that some members look at current listings to determine if it is a good price. One particular person in the discussion did not even take into account if the item ever sold at the list price but still used it to determine if a listed price was fair. That made no sense to me. I can list a Colt 01911C for $2000 and it will never sell so it has no bearing on the reality of the market of value of other Colt 01911Cs. I think of it like real estate. When they appraise your house they use "comp sales" not comp listings. A price only is valid once a buyer and seller consummate a transaction.
I am brining this up because it seems like the BST section here is really slow these days. The entire gun market as a whole has slowed a bit. In reality it had to. I see lots of stuff with what I would consider outside the "comp" range pricing. It doesn't sell. It makes me wonder how are people coming up with their asking price and how are people evaluating that price in terms of value. It is more straight forward with current production guns. When you get into discontinued or vintage guns the waters get murkier but in many ways the way you assess their market value is more important. I am interested in other peoples thoughts. How do you determine something is priced accurately compared to the market?
For example a Colt 1911 Govt model O1911C. If I see one for sale I know the MSRP is $899. I know that they sold at one time for $600-$650 + Shipping and transfer but those days are over. So then I look for recent comp sales on Gun Broker. Focus on sales not listings. People list these guns for $1500+ but they never sell for that unless someone makes a huge mistake. In general these days they sell for $900 to $1100 because Colt has been slow to get them to market. So if I see one in the BST trade listed at $800 it is below market. If it is listed at $1200 it is above. From there I figure out if I really want it and does the price make sense in the greater market. I take GB with a grain of salt because it is a national marketplace not a local one . In general I think GB is 10%-20% inflated from the Carolina market but a lot depends on what you are looking at.
I was surprised to hear that some members look at current listings to determine if it is a good price. One particular person in the discussion did not even take into account if the item ever sold at the list price but still used it to determine if a listed price was fair. That made no sense to me. I can list a Colt 01911C for $2000 and it will never sell so it has no bearing on the reality of the market of value of other Colt 01911Cs. I think of it like real estate. When they appraise your house they use "comp sales" not comp listings. A price only is valid once a buyer and seller consummate a transaction.
I am brining this up because it seems like the BST section here is really slow these days. The entire gun market as a whole has slowed a bit. In reality it had to. I see lots of stuff with what I would consider outside the "comp" range pricing. It doesn't sell. It makes me wonder how are people coming up with their asking price and how are people evaluating that price in terms of value. It is more straight forward with current production guns. When you get into discontinued or vintage guns the waters get murkier but in many ways the way you assess their market value is more important. I am interested in other peoples thoughts. How do you determine something is priced accurately compared to the market?
