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Thread: prices of used tools!

  1. #1
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    prices of used tools!

    I know being in Canada we generally don't get great deals like most of you who live in the USA but sometimes I don't understand what the sellers are thinking when they ask 75% to 85% of the price of a new tool.

    Is it because they think we should also pay for their personal attachment to the tool they are selling or is it simply a lack of understanding of the used tool market value?

    I just had an interesting conversation via emails with a seller of a tool who wants only $50 less than the price of it brand new!
    I politely passed on it but wonder if what I'm seeing lately is becoming more common ,as far as I remember the rule of thumb for the price of a used power tool used be between 40% to 60% of its brand new price depending on the condition of the tool of course.

    What is your recent experience in buying and selling used tools?
    I'll be very interested in reading your responses.

  2. #2
    I think if I'm selling I like the 85% but if I'm buying I like the 40%. Really which side of the fence are you on, buying or selling. Also you say 85% but are you adding the sales tax and shipping to that. And how long are you willing to wait to order it off the web, or how close are you to a store you can buy that tool? Sometimes just seeing a price on a tool doesn't tell everything. I remember talking with a major tool supplier here about the borgs beating their price so much. They said look close at the model number, their's was like a 586 and the borg was a 586r, so not the same tool. Some of the makes have different quality, one maybe metal housing or gears and the other plastic housing or gears, but the same model like stated before.
    Corel Draw 9, 12, X3 Also a CNC Router user.

  3. #3
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    Quote Originally Posted by Rick Hutcheson View Post
    I think if I'm selling I like the 85% but if I'm buying I like the 40%. Really which side of the fence are you on, buying or selling. Also you say 85% but are you adding the sales tax and shipping to that..
    I'm sorry if it wasn't clear that I was buying,
    so if I understand you correctly a $1000 tool can be used for 3-4 years and be sold for $850 ?I thought $600 to $700 would be a fairer price.

  4. #4
    Quote Originally Posted by ken masoumi View Post
    I'm sorry if it wasn't clear that I was buying,
    so if I understand you correctly a $1000 tool can be used for 3-4 years and be sold for $850 ?I thought $600 to $700 would be a fairer price.
    Fair, unfair, who knows where that begins or ends. Personally, I don't want to loose my shirt, so I want to buy cheap. If someone else wants to pay big money, let them knock themselves out.

    One thing I have done is just shoot an offer, all they can say is no. The best buy are on the 3 phase industrial machines.

  5. #5
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    I have found people understand the concept of fair, even small children. A fair deal would infer you adequately compensated if you were the buyer or the seller of an object. Generally, the folks here seem to go from 40% to 65% of the current price of the tool, devoid of taxes or shipping as a fair price. Realistically, if you go higher than that, why not simply purchase the tool new?

    I have noticed an unreasonable expectation of recouping 85% or more in the classified section here; actually several sellers have been asking more used than prices for new can be found. Many of those sellers have very low post counts and seem to post here almost exclusively to sell items. As always, it's buyer beware. There are almost always more items to purchase the buyers for used tools.

  6. #6
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    I agree with you, Ken. The seller might be setting prices according to other Craigslist items - which is also what the seller wants but may not get. And since I am not interested in a machine repair hobby, I seek out the best buy new most of the time. The used equipment in my shop is about 20-25% of new, just a few super-deals.
    Veni Vidi Vendi Vente! I came, I saw, I bought a large coffee!

  7. #7
    To get a fair comparison of the asking price (for larger equipment, in situ) and the manufacturer's price (which generally provides shipping services) -
    find the weight of the object and the scrap value for it. If a seller really wants to move an item, it will be roughly half the original retail - which is generally ten times scrap value.

    It's a common problem - Gramps passed and left a garage full of rusting cast iron that nobody wants.
    The heirs think it has "appreciated" in value, and want to cash in.

    Anymore, if a Craigslist or auction site price isn't what I would pay - I don't bother.
    Negotiating a fair price for used gear is a lost art.

  8. #8
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    Quote Originally Posted by ken masoumi View Post
    I know being in Canada we generally don't get great deals like most of you who live in the USA but sometimes I don't understand what the sellers are thinking when they ask 75% to 85% of the price of a new tool.
    Some used tools do sell for that, but it seems that most do not. I routinely see Lie Nielsen gear sell for about that providing it is in pristine condition. I don't usually see that for power tools.

    Depending on the seller, they may even expect you to make a counter offer and then go back and forth. I hate doing that myself.

    Some people, however, are either unrealistic, or just hoping for some poor unsuspecting person to pay their asking price. For a $1000 limited warranty table saw, I would not pay $850 used. The extra $150 would be a good extra expense to have the warranty, packaging, and certainty that all the parts were included. Then again, if they were including a bunch of extras (like a couple of hundred dollars worth of blades), it might make sense.

  9. #9
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    When I sell any used tool on Craigslist I always add a little extra because most of the time a buyer won't want to pay my full asking price. I do price things fairly. The last item I sold a few weeks back I sold too cheap. I had at least 10 people wanting it so I told everyone the price was firm.

  10. #10
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    Where did this "rule of thumb" come from? What authority is there in this rule? What makes you think your depreciation numbers are anything other than a WAG? A tool is "worth" whatever people are willing to pay for it. Your estimation of what a tool is worth as a buyer is of equal weight as what the seller determines as the value of the tool.

  11. #11
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    I completely understand it when someone is selling a 2 year old Laguna bandsaw for top dollar, but what really makes me laugh is people who want $750 for a dirty, nasty looking, 40 year old 3 phase Unisaw with the original fence! All things considered I've got some great deals on my stuff, but it seems I find them by accident,( Hey Kevin, my uncle's , barber's, best friends, plumber has some woodworking stuff in his basement...) not by scouring want-ads.
    PS. There was a listing on craigslist a few weeks ago for an ancient, rusting, old table saw that looked like it was used by Abe Lincoln. Maybe I should have said, "misused". They were advertising it as an antique, and a conversation piece and were asking $240.00. I guess they figured some yuppies would tastefully faux paint it and display it in their living room. I'd sure like to be a fly on the wall at their next wine & brie party.

  12. #12
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    Quote Originally Posted by Montgomery Scott View Post
    A tool is "worth" whatever people are willing to pay for it. Your estimation of what a tool is worth as a buyer is of equal weight as what the seller determines as the value of the tool.
    The true value of anything is what a willing, unpressured buyer will pay and a willing seller will accept. Until both conditions are met you really don't know the value. That said, I have seen a lot of folks that are willing to pay a lot more than I was. I've been to a few estate auctions and rarely won any bids because it seems to me that the tools almost always go high, far more than I am willing to pay. People get auction fever, so you could argue that they are not so "unpressured" even though they are willing, so I would not count an auction price as a good gauge of value. My classic example is when I gave up and bought a brand new rowing machine because the used ones on eBay kept bidding up over the cost of a new one. How's THAT for value?

    My best advice is to: 1) know the market as much as possible (the smartphone is your friend here), 2) set a maximum budget in your mind and stick to it, 3) never insult the seller with an ridiculously low offer, 4) negotiate with the win-win in mind, 5) ALWAYS be ready to politely walk away.
    "Live like no one else, so later, you can LIVE LIKE NO ONE ELSE!"
    - Dave Ramsey

  13. #13
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    It seems to me this is a very simple process. Something is worth what someone will pay for it. The seller offers it at a certain price, it either sells or it doesn't. The buyer will either pay the price or he won't. You can offer something for sale at any price you want, it doesn't mean anyone will pay it.
    Some things can appreciate in value from new (like houses), while others fall instantly (like cars). It all boils down to what buyers will pay. If you don't think it's worth it, don't pay it. It is that simple.
    Larry J Browning
    There are 10 kinds of people in this world; Those who understand binary and those who don't.

  14. #14
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    I really love the Craigslist ads where the item is way overpriced and the buyer says something like I know the value of this item and I won't take any less. I guess the seller is hoping to find someone stupid to buy their item. Even better are the guys advertising an item as brand new and the price is significantly higher than I can buy the exact same item at my local Menards. It is obvious they plan to buy the item at Menards only if they actually manage to sell one.

  15. #15
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    Quote Originally Posted by Montgomery Scott View Post
    Where did this "rule of thumb" come from? What authority is there in this rule? .
    This rule of thumb is what I have seen/heard people use only as a starting point ,you probably have used it a few time without being aware .
    when buying a used tool,you must ask yourself how much is it brand new? then what price range do I have to consider for it since it's used,at this point you must have an expectation for the lowest price (which any lower would be a steal for lack of better terms).and it also can not be more than certain amount otherwise you have no incentive(price wise) to buy it used.
    This is all dependent on so many variables(condition,rarity,availability,other fees) but somewhere in there we do use this rule of thumb whether we admit it or not.

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