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Guns as an investment?

16K views 90 replies 70 participants last post by  eastman 
#1 ·
Do you consider a gun purchase as an investment?

Are you thinking it will hold its value or increase in value?

Which are investments? And which are not?

Is a SR1911 an investment? And a SR22 a great gun but will never make money?

Or, are they all just purchases you play with and not a consideration for their long term value?

Just random question as to how we think?
 
#2 ·
I never plan to sell any of my guns. I buy them for the best price I can find, and consider them an investment in my life (for recreational purposes and/or self defense).
 
#4 ·
If the asteroid (or some other "s") hits the fan, your investment will suddenly be worth 25 times what you paid.

Priceless, actually.
 
#5 · (Edited)
An investment in safety. I have several guns and have only sold two over the years. I think it's better to just keep adding to the collection. I know that many of my guns have almost doubled in value, but since I'm not selling, it doesn't matter.
When I pass, all my stuff will be auctioned and proceeds given to the NRA.
 
#6 ·
I would think that short term the value drops considerably going for new to used.

Over time if maintained in excellent condition as the price of the same or equivalent gun increases the value of your used gun would also increase. Will this ever exceed what you paid? Maybe or maybe not especially when adjusting for inflation.

In some rare case if you happen to have something that becomes desirable to collectors then maybe. I would speculate that there will always be a larger pool of potential buyers for any version of a 1911 than an SR22.

I tend not to sell things and only own two firearms at the moment but I could potentially see there coming a day when I decided to sell a firearm. I would expect to get a fair price at the time of sale. I am not expecting or banking on some tremendous increase in value.

Then again it might not be hard to imagine "investing" in guns by purchasing a gun every so often just to stock away for a rainy day and then having a desirable commodity to sell. But would expect this to be more of a way to earn some money to pay bills sort of thing than a massive sell off to fund retirement for example.
 
#7 · (Edited)
Glocks are a bad investment. I bought three in the early 90's all Gen 2's, then they came out with the gen 3 and 4, making the older ones nearly worthless it seemed. Should have sold them at the beginning of the AWB in 94 or 95. Finally did get my money back and put it in single action Rugers. They have character dripping from them, Glocks have none.
 
#9 ·
I know a lot of people with a lot of guns, but none of them have gotten rich off of the firearms they own or have acquired. The problem I think is that for a gun to really appreciate in value takes far longer than a persons lifespan. Look at the really big ticket items on some high end gun auction sites and you are looking at firearms more than 100 years old, and often from very rare and long gone places (like the middle east of 150-300 years ago, or the early NA frontier days).

Its a bit like collecting art - if you are buying with the idea of appreciation in mind, you need to be thinking of what you'll be leaving in your estate, not what you'll gain in your own lifetime.

As to your specific examples, no I don't see an SR1911 being an investment. There are dozens of equal quality 1911s on the market, and have been for ages. One is no more an investment than say, a BMW 3 series car would be, to my mind at least.

I buy my firearms because they appeal to me as defensive weapons, and for recreational shooting, and I don't expect to ever make money on them, especially since I have no intention of selling any.
 
#12 ·
A firearm is one of the rare mechanical devices that retains value. In that sense they are a good investment. Buy it, use it, take care of it, and it will always be worth a certain amount of money. Maybe less than what you paid, but worth something. For example, a well cared for glock should always be worth $400, my sr-1911 should always be able to fetch $500 if I need it to. An expensive stereo will at some point be worth nothing. A gun will always have a value to someone. There are worse hobbies....and far worse ways to spend your money. They may not all appreciate in value, but there is a bottom dollar amount for every gun, even an abused gun that functions is worth $100.
 
#13 ·
I don't buy firearms with the intention of selling them, but whenever I'm in the market for one I try to get quality or I don't buy/trade. In fact my SR9 is the cheapest pistol I own, not to say that it's low quality be any means. IMHO the SR9 is one of the best pistols for the money, even compared to ones costing a couple hundred more.

I've never sold a pistol for less than I've paid for it, partly because I'm on a budget & have usually had to wait for a good deal before I got it in the first place. I even have a few models that have increased in value because they've been discontinued or have become rare so in some ways firearms is a good investment.

I usually only trade about once or twice a year, but it's usually a trade up. For example, a couple years ago I found an original factory built Mossberg 500BP (Bullpup) in a pawn shop & got it for $250 out the door. I didn't realize what I had until I started getting offers for it in the $700-$800 range. I finally sold it & bought a used, but like new SIG P229 & Ruger Super Redhawk .44 magnum with some money to spare. It goes to show that guns are a good investment if you're a collector, but you probably won't get rich.
 
#14 ·
Many centuries ago a powerful king was asked what is more valuable that which protects or that which must be protected. He responded that which protects. He was told than an iron sword was more valuable than bars of ggold he saw the wisdom of that argument. Guns are valuable because they keep everything else safe.
 
#15 ·
They are certainly a big investment in my time..... ;) :D
 
#17 ·
To add to my previous post... Guns can be an investment, or an expense.

If a buyer is savvy he can make purchases which will prove beneficial in the future. There are some guns which will go through the roof, and some that will be worth what you paid for them.

Usually, it is the unusual, or very high end guns that become worth money. IMO, my Ruger P97 will never be worth more than $400. I paid $360. With inflation, not much of an investment. However, I have 2 Colt Pythons that I have less than $1000 tied up in. Go to gunbroker to see what they are going for now.

With rare exception, a working man's gun like most Rugers are not going to become a collectors dream in the future. As much as i like Rugers, they are a working gun, not any thing collectors grade (again, with a few exceptions). What you should be looking for, is a small run of guns that turn out to be unprofitable due to the cost of manufacture.

Some of the most sought after collectables are guns which failed due to manufacturing costs, namely, most Colt revolvers, pre-64 Winchesters, and other high end guns.

Can any of us tell the future? Like the stock market, no. However we as gun guys, can look at a gun that seems unique, and of higher quality than seems likely given the price point. THEN, such a gun is a likely investment.

At the worst, guns are like gold... They may never be worth as much as you paid, but as long as they work well, they will always be worth something.
 
#18 ·
I've got several, a few quite expensive, but I consider them more of a savings account than an investment. Should the time ever come that I have to sell one I should be able to get close to what I paid for it so very little lost or gained. Let's face it, there are very few items in life that you can buy, enjoy and twenty years later it still holds its original value without having experienced a wild swing in value like a Corvette or a Shelby Mustang.

In that way I think they are a great way to spend your "fun" money when you have it. How frustrating is it when you spend $1500 on the newest, biggest, most awesomest TV available and then 3 years later it's worth $400 (assuming someone wanted it) and your neighbor now has the best TV and you now have to live with it or repeat the process. Either way your entertainment has cost you a lot of money that you will never get back. I can take my STI Elektra or S&W 629 V-Comp out to shoot and have a blast (pun intended) for the next twenty years and at that time (properly maintained) they will be worth close to or more than their original purchase price.
 
#19 ·
The guns that I've seen really increase in value are:
A: No longer made
B: Scarce to begin with
C: Hold some sort of historical significance.

An 'investment' in a SR1911 will likely not give you much of a return in your life time, but for a few thousand more, a 'correct' GI 1911 from WWI-WWII almost certainly will.
 
#20 ·
I definitely consider them an investment, which I hope to leave to my kids someday.

Example, my Colt Defender I bought last August, went up almost $200 since I bought it.
 
#22 ·
Quality firearms are a good investment. My shooting buddy of over 20 years has been buying guns for over 50 years. His collection is worth in excess of $250,000. His air gun collection,( which he started buying at age 10 ) is valued over $60,000. I don't he has spent over $40,000 for all them.
He has over 60 1911's. Some he bought for less than $50.
If you are old enough, remember when the NRA sold GI 1911's thur the magazine for less than $50. Just send them a check and a few days later the box came in the Mail. No paper at all. Yes that was in the 1950's when we never had to keep our houses locked.
Now just think about all the great time he had shooting them over the years?
When was the last time you played with a savings bond?
Quality guns make good investments. Crappy guns make good trot line weights.
Be safe and buy what you like and enjoy.
 
#24 ·
What I have not heard anybody quote as a value of a firearm is "the story about Dad or Grandpa having claimed a trophy or having found it during the war". By itself, the gun is a just a purchase that somebody chose. But if this certain shotgun defended the homeplace, or bagged a memorable duck hunt, or was some part of history -- Then that is a personal value that could not be measured in money. However that could only be value to somebody who appreciated firearms in the first place, and lost by all who had no intrest in ownership in guns.
That is some part in investment value, but not for resale.
 
#25 · (Edited)
I think guns are a great investment. I've done my time trading stocks, investing in 401K, and putting down on real estate... and all those I end up paying a good deal on taxes. They go up and they go down with however the market goes. And then when sold for a return I still end up paying taxes on top of it. Not to mention all the paperwork and time invested. These days I don't trust much in the dollar or in any paper currency. I've been preparing for the worst and believe that our current financial system will collapse. It's a house of cards laying on top of a foundation of lies. Even the experts agree. If it does collapse we will head to a bartering system and your services and goods will be worth more than most everything you own. But firearms help provide both.

The thing about firearms is that they will continue to go up. And so will ammo. Look at what people paid for 20-30 yrs ago. Those prices will never return due to inflation. It's like comparing .10 cent loafs of bread back in the day to the almost $4 loaf you pay for now. This government, the world in general, is heading toward a one world system and there will be fights and even greater resistance in the times to come for disarming people. What we are witnessing is really just the tip of the iceberg. What you pay for today I am certain in 20 years time it will more than have doubled.

I keep what I buy, but I also trade and sell over time to get what I'd like. Most times I have rarely had to put down much when getting something new because my trades are worth more. I can't even get this sort of return on a car.
 
#27 ·
Exactly. Buying a 10/22 in 1964 would not have been a good investment compared to other investments at the time. But a 10/22 is a good investment in the security of your future. I'm not talking about using it for self-defense but rather as a bartering item like what was said above. I think any firearm or ammo is a good investment.

Now for a moment let us concider if I am wrong............you just end up with a lot of cool firearms and ammo.
 
#26 · (Edited)
Any gun that I have that has greatly increased in value I wouldn't want to part with anyway because I probably like it too much.
I buy guns that I really want and do not worry about what they will be worth in the future. Overall I don't consider most guns as a good investment though, because most people don't buy the expensive quality guns that will probbaly go up in value anyhow. Buy one because you like it now and want to use it, don't worry about what its worth later.
 
#30 ·
It all boils down to EQUAL value (including inflation).
Look at it this way:
12 oz. of gold in the '70's would buy you a Chevy or Ford.
and now,12 oz. of gold today would buy you a Chevy or Ford.
A revolver cost the same today as it did in the '70's (inflation adjusted).
If you get more today for selling your revolver you bought back in 1975 then you have preserved your wealth for that time, (inflation adjusted)
 
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