Indeed I was correct in saying I did not COME ON to argue with someone about whose making more money. At this point, I will end up leaving having to...but I didn't come here to do that.
Now, let's review:
My initial comment was essentially, "If its too good to be true, then it probably is."
Your response to that comment was essentially, "Not true. I bought [insert guitar model] for way less than I should have, as well as [insert guitar model] for [insert really low number]. You can do it too."
Then you said "It's [THE] buy it nows that actually yield the best deals." This implies a generalization that ALL the best deals are buy it now. Does it not? It doesn't imply some or most.
If I wanted to win a profit-making war, I wouldn't have told everyone I make $75 on a guitar, lol. How is that impressive? I said it merely to show the OP and the thread that I am knowledgeable in the general topic of the thread (ebay) and to prove what you said to be incorrect (that in fact auctions yield the best deals). I didn't come to start or win a profit-making war...but I still will by the end of this thread
Indeed, I was correct in saying you are COMPLETELY FALSE. Because YOU ARE. Saying "THE" buy it nows is like saying "ALL" buy it nows - which means you are implying that any time you want a good deal to go to the buy it now. So for example, if I'm looking for a '51 Reissue I'm going to find the good deal in buy it nows? There have been (at most) 5 Butterscotch Reissues (like the OP's) on ebay in the last couple weeks. However, there is only one "buy it now" (check yourself). It is for $600. But the last '51 P-bass reissue I saw went for $440 AFTER shipping. This example can be used over and over again. If I'm a buyer looking for a bass I want to KEEP and not to SELL the best deals will ALWAYS be auctions, if one is patient. If I am a buyer looking for a bass I want to RESELL then MOST (75%) of the best deals will be auctions.
Book values are very relevant in the present economy. Not everyone is worried about food and job security. I promise you the people that are worried about food and job security aren't on ebay surfing for guitars. That means less people are bidding on auctions and they are going for cheaper and cheaper. Indeed, this economy makes live auctions the most prime area for purchasing. Buy it nows allow sellers to control the going price. However, auctions only merely act on PRESENT DEMAND, not OVERALL DEMAND. If one person is presently bidding on a guitar it's not going to go high. If 6 people are presently bidding on a guitar it's going to go higher. The present ecomony reduces demand which acts on auctions to drop immediately alongside the demand. However, this is a PRESENT DEMAND. OVERALL DEMAND considers that if people want something bad enough they'll pay higher dollars. That's where "buy it now's" win. Auctions force down values. "Buy it now's" bring up values.
Now, let me get to your examples and some more economics:
Firstly, I don't see that PRS Private Stock that you made $3000 on. Did you sell that on ebay?
Second, I see you sell them for $300-$500 each, yes? So, technically, you are making that much profit. HOWEVER, don't fail to take into account ebay and paypal fees - which equate to roughly 12% of sell price (depending on many variables). So if you buy something for $1500 and sell it for $2000 you are making $500 profit, right? However, you are getting $250 in fees taken out. Ebay loves you for sure, I bet.. But that means you only made $250 return. It looks like you made $500 but you really didn't.
Third, I can show you right now how I am making just as much money as you. Basic economics of profit returns:
Take for example a PRS you buy. You buy it for $1500. You sell it for..oh...$2200. I'll give you a little more for that one. That's $700 profit. BEFORE FEES. Now...fees on $2200 are going to be about $275. You just made $425.
So let's recap - you made $425 after fees on a $1500 investment. That's roughly a 130% return.
Now...I mostly invest my time in Fender MIMs and MIAs because I don't have much money. Right now, I can find MIM Strats or Jazzes for $200-$250 AFTER SHIPPING on auctions regularly...and MIAs for $500-$550. I can go and sell those for ~$300-$325 AFTER FEES and ~650-700 after fees, respectively. Now, take an example of a $200 Fender Strat. If I buy that Strat for $200 and sell it for $300 I just made $100.
Recap - $100 after fees on a $200 investment. That's a 166% percent return. A higher return than what you got...with less capital needed.
It doesn't matter how much you spend...or even how much you get. What matters is how much you got in the percentage of investment. This is because I can go buy 7 Strats for the price of your one PRS and make:
$700 in profit (7 Strats x $100) to your $425 (1 PRS x $425).
That means I made more...even though it looks like you did. That's also one of the reasons ebay takes more fees out of buy it nows; its because they know they'll make more on them.
Even if you really did make $3500 on a $3000 guitar those are once in a decade opportunities.
But I digress back to my original point: "If it's too good to be true, then it probably is."
Now, let's review:
My initial comment was essentially, "If its too good to be true, then it probably is."
Your response to that comment was essentially, "Not true. I bought [insert guitar model] for way less than I should have, as well as [insert guitar model] for [insert really low number]. You can do it too."
Then you said "It's [THE] buy it nows that actually yield the best deals." This implies a generalization that ALL the best deals are buy it now. Does it not? It doesn't imply some or most.
If I wanted to win a profit-making war, I wouldn't have told everyone I make $75 on a guitar, lol. How is that impressive? I said it merely to show the OP and the thread that I am knowledgeable in the general topic of the thread (ebay) and to prove what you said to be incorrect (that in fact auctions yield the best deals). I didn't come to start or win a profit-making war...but I still will by the end of this thread
Indeed, I was correct in saying you are COMPLETELY FALSE. Because YOU ARE. Saying "THE" buy it nows is like saying "ALL" buy it nows - which means you are implying that any time you want a good deal to go to the buy it now. So for example, if I'm looking for a '51 Reissue I'm going to find the good deal in buy it nows? There have been (at most) 5 Butterscotch Reissues (like the OP's) on ebay in the last couple weeks. However, there is only one "buy it now" (check yourself). It is for $600. But the last '51 P-bass reissue I saw went for $440 AFTER shipping. This example can be used over and over again. If I'm a buyer looking for a bass I want to KEEP and not to SELL the best deals will ALWAYS be auctions, if one is patient. If I am a buyer looking for a bass I want to RESELL then MOST (75%) of the best deals will be auctions.
Book values are very relevant in the present economy. Not everyone is worried about food and job security. I promise you the people that are worried about food and job security aren't on ebay surfing for guitars. That means less people are bidding on auctions and they are going for cheaper and cheaper. Indeed, this economy makes live auctions the most prime area for purchasing. Buy it nows allow sellers to control the going price. However, auctions only merely act on PRESENT DEMAND, not OVERALL DEMAND. If one person is presently bidding on a guitar it's not going to go high. If 6 people are presently bidding on a guitar it's going to go higher. The present ecomony reduces demand which acts on auctions to drop immediately alongside the demand. However, this is a PRESENT DEMAND. OVERALL DEMAND considers that if people want something bad enough they'll pay higher dollars. That's where "buy it now's" win. Auctions force down values. "Buy it now's" bring up values.
Now, let me get to your examples and some more economics:
Firstly, I don't see that PRS Private Stock that you made $3000 on. Did you sell that on ebay?
Second, I see you sell them for $300-$500 each, yes? So, technically, you are making that much profit. HOWEVER, don't fail to take into account ebay and paypal fees - which equate to roughly 12% of sell price (depending on many variables). So if you buy something for $1500 and sell it for $2000 you are making $500 profit, right? However, you are getting $250 in fees taken out. Ebay loves you for sure, I bet.. But that means you only made $250 return. It looks like you made $500 but you really didn't.
Third, I can show you right now how I am making just as much money as you. Basic economics of profit returns:
Take for example a PRS you buy. You buy it for $1500. You sell it for..oh...$2200. I'll give you a little more for that one. That's $700 profit. BEFORE FEES. Now...fees on $2200 are going to be about $275. You just made $425.
So let's recap - you made $425 after fees on a $1500 investment. That's roughly a 130% return.
Now...I mostly invest my time in Fender MIMs and MIAs because I don't have much money. Right now, I can find MIM Strats or Jazzes for $200-$250 AFTER SHIPPING on auctions regularly...and MIAs for $500-$550. I can go and sell those for ~$300-$325 AFTER FEES and ~650-700 after fees, respectively. Now, take an example of a $200 Fender Strat. If I buy that Strat for $200 and sell it for $300 I just made $100.
Recap - $100 after fees on a $200 investment. That's a 166% percent return. A higher return than what you got...with less capital needed.
It doesn't matter how much you spend...or even how much you get. What matters is how much you got in the percentage of investment. This is because I can go buy 7 Strats for the price of your one PRS and make:
$700 in profit (7 Strats x $100) to your $425 (1 PRS x $425).
That means I made more...even though it looks like you did. That's also one of the reasons ebay takes more fees out of buy it nows; its because they know they'll make more on them.
Even if you really did make $3500 on a $3000 guitar those are once in a decade opportunities.
But I digress back to my original point: "If it's too good to be true, then it probably is."
