Teaching Econ 101 to pawnshops (rant)

[PX15]

FWIW:

I'm an old, opinionated retired senior citizen. I have been a firearms owner for over 50 years, and I have been into and out of many, many pawn shops looking for a "deal" on some pistol/revolver I stumble up on and just cannot do without.

What I've found is that the "deals" such as I search for in pawn shops are "few and far between"....

In my little part of SE Ga. most pawn shops indeed sell firearms. But just from observation it seems they make more money, and spend more time dealing with folks who actually "pawn" things.. Or, the firearm part, (new or used) seems more of a sideline. I believe the "pawned jewelry", "audio stuff" or tools spark more profit, continue to be "turned over" and are the real meat and potatoes of the business.

I've learned that if you want to buy whatever firearm "they" have you will pay a premium for it, simply because they know you want it, they have it, and really have no incentive to lower the price.

I've learned that if you want to "trade in" a firearm then you will be getting "wholesale" for it, in the same manner that you would if you traded Mama's Pinto at the local Ford dealership..

Retail going out, wholesale coming in.. Just business.

If you want to sell a firearm, do it yourself, forget the trade in aspect.. You'll just get torqued off and lose your shirt in the process.

If you want to buy a firearm cultivate a friendship, or at least a passing acquaintance, with someone with a FFL and get him/her to order what you want at a discount price, but make sure he will be happy with the smaller profit. I have done this, and it's the best way I've found to get a new firearm at a discounted price.

Pawn shop folks are in the "pawn shop" business. They aren't designed primarily to sell firearms, employees are ,generally not overwhelming knowledgeable about firearms, but don't care or need to be, because they don't have to sell whatever it is you want unless it's at their price.

What I've found works best for me. I just mosey in, speak courteously to the employee and look at the firearms. If I see something I have interest in I ask to see it, ask the price and then if I'm serious about potentially purchasing the item I ask it he "could take a little less", or "help me out a bit on the price"... MOST of the time I've found just asking does indeed get you a lower price.. Or, it doesn't hurt to ask, in a nice way..

If the employee says the price is firm then I either shut up and pay it, or say courteously, "that's a bit too steep for me", but "thanks anyway".

No sense in getting your panties in a wad as you simply have no "power", and any negotiation that might be possible all depends on the attitude and interest in doing so by the seller.

Sometimes you get a sympathic seller who will come off the price.. Sometimes not.. Either way I'm pleasant as I will probably come back again and would prefer seeing a neutral face, or potentially a friendly face as opposed to someone remembering me as the butthole who had been in before.

JMOFO

Best Wishes,

J. Pomeroy

P.S. But, I did "rescue" this old S&W model 49 at a pawn shop at a fair price.

 

[Geno]

Only Checked a Pawnshop Once

Years back, I went to a Pawnshop to see if they had an old bolt-action .30-30 Win. Lucky me, they did! $550!?!?!?! WTH?

When I asked, "Why so much? These sell for $200.00 or so", the owner said, "Well, here we don't do back-ground checks. People who can't go to the gun store and buy one need to buy one somewhere."

I spun on my heals, walked out and have never gone back.

Doc2005

 

[MatthewVanitas]

I am in Austin as well and have seen some "deals"
$475 for a Bersa .380{labled as a Beretta}
$125 for a Raven .25
$775 for a Glock 17{with two 10 round magazines}
$525 for a Norinco SKS
$425 for a Mossberg 500
My advice, stay out of Austin pawnshops unless you just need a good laugh.

Oh yeah, seen the $199 well-used Bryco, the $699 SIGs with zero finish (how do you rust a _stainless_ SIG that badly without soaking it in seawater?), the $149 NEF single-shot 12ga, etc.

However, have also seen, in the last year:

$130 Ruger MkII, great condition
$175 Ruger Single Six, both cylinders and box
$60 H&R steel-frame .22 kit gun
$99 Mossberg 500AT, like new
$189 Ruger Speed-Six
$350 Glocks (several times, with spare mags and Glock case)
etc. etc. etc.

It's those rare good deals that get me to drop in. Plus I like to buy and repair guitars. I try not to make pawnshop-specific trips, but I do drop in when I pass one by.

-MV

 

[barnett]

what the heck is a "Nigerian Service Revolver"?

 

[Deanimator]

When I was stationed at Ft. Knox, I'd go to the pawnshops every six months or so. Without exception, the people who worked there were ignorant and dishonest. Their guns were always dishonestly evaluated and grossly overpriced.

I NEVER buy guns from pawnshops.

 

[MatthewVanitas]

what the heck is a "Nigerian Service Revolver"?

Like "Agent Schmuckatelli" or "Lance Corporal Binotz", just a generic "fill in the blank" name.

 

[Jim K]

The shop Doc2005 mentions will be in deep doo-doo if BATFE finds out about them. Pawnshops are a big source of crime guns and the feds just love to nail them for either not having FFLs or for violating the rules.

Jim

 

[Zen21Tao]

We have a local gunstore in Ocala FL that sells old S&W Model 64 .38 specials for $179. In fact Massad Ayoob bought one and after winning a IDPA match with it wrote an article about it (see link below).

However, a local pawn shop has a couple of S&W model 64's guns in far worse shape sellng them for around $399 calling them "rare police collectables".


Massad Ayoob article:
http://www.findarticles.com/p/articles/mi_m0BQY/is_8_52/ai_n16498969

 

[Wayne02]

Hmm, me thinks the pawn shop owner is not the one who needs a lesson in economics, and the art of negotiation...

 

[akodo]

A few things, pawn shops know if people want to really go buy guns, they go to walmart or where-ever, at least your average person does. They to a degree are banking on the ignorant. Buddy wants to buy a gun, so Jose tells him when he was pawning his gold necklace at the corner pawn, he saw they had some guns. Buddy has no idea gun values, so he pays what corner pawn asks.

I also think pawn shops count on 'impluse buys' when for some legal or less than legal (won big at racetrack, stole some guys social security check) someone is flush with cash and goes to get their 'baby mamma' jewelry out of hock, and pick up a new TV and a 'gat' while they are there.

These two feed into the supply and demand loop. A pawnshop that has zero handguns is probably going to place that bersa out for $450, but if they have 5 handguns, they may place that bersa out for $300

Further, pawn shops know pawn, not guns. Charlie has been pawning stuff for years, is a local, so they probably believe him it is at least is an 'as it appears' gun when he brings it it. They give him $75 and put it out for $400. charlie has a month to pay off, or at least put $20 on his loan, but he doesn't so it goes out. They probably know charlie is going to come in about a week too late, and they can get $20 plus an extra $10 per week he is late to put it back, they want to do that 3-4 times before charlie gives up, then they reprice the gun at $300.

They don't know you. You come in when charlie has given up, gun at $300. You want to do some trading. Pawners often see the worst side of people, or people at their worst, and this colors their feelings in my opinion. I think most of em are over paraniod of getting screwed. Best case scenario, pawner takes your trade even up, and now has a gun listed for $400 on the shelf, so he potentially makes $100 more, but has just elminated the chance of charlie putting another $10 on the loan twice more. However, they take the risk, and I think this is what most would suspect, that you sold them a gun that looks fine on the outside but is somehow broke inside, or otherwise worthless, which will never sell, or if it does sell, may piss a local off. At least charlie's gun will go bang when you pull the trigger. You swap them dressed up crap, they are now out the loan money and the collateral.

 

[evan price]

Wdell first of all you should never assume that any seller really wants your minty generic autopistol; AFAIK the pawnshop would have to do two sets of ffl papers to make a trade in which he makes nothing. Ever traded in a car to buy a new one? You get nothing and pay full price.

Example: I recently sold a twelve year old Oldsmobile sedan that had about 110,000 on the odometer, I had it professionally detailed, it ran terrific and everything worked including the AC, new tires, etc. I asked $2100 for it in the paper.
I had this guy call me like three times trying to get me to trade him for his laptop and $500 cash. He told me the laptop was a top of the line brand new IBM Linovo worth over $1700, new in box. Figuring in sales tax that meant the deal was worth $2300 supposedly, which gave me a $200 extra profit marigin. I told him I'd take $1800 cash for the car. He did not blink an eye but said that that meant that if I took the deal I would then make $500 extra profit on it!

I could *not* make this guy go away. Finally I told him that I was thinking about the deal but I wanted to check it out first, so I needed the serial number of the laptop "to run through the database" to make sure it was on the up-and-up. Sure enough, the guy stopped calling me.

 

[vynx]

In my experience when someone wants to trade you somethign that "you" can sell for more money that is because "they" have tried and cannot find anyone to buy the item at that price. If it was easy to sell they will sell it and take the cash.

Sell your pistol and buy that rare revolver - better yet have your Girlfriend buy it cause that panwbroker knows you want it and probably won't deal on the price now.

 

[Double Naught Spy]

In my experience when someone wants to trade you somethign that "you" can sell for more money that is because "they" have tried and cannot find anyone to buy the item at that price. If it was easy to sell they will sell it and take the cash.

BINGO!

The shop Doc2005 mentions will be in deep doo-doo if BATFE finds out about them. Pawnshops are a big source of crime guns and the feds just love to nail them for either not having FFLs or for violating the rules.

Any shop dealing improperly in guns, be it a gun shop, pawn shop, swap shop, or whatever is supposed to be in deep doodoo if the feds find out. That is the way the system is supposed to work. As for being a big source of crime guns, that certainly was not the case for our 4 shops in North Texas between 1976 and 2002. In large part, the law requires legal identification (DL, mil ID, passport, state ID, etc.) in order for a loan or purchase to be made on any item, but even more so with guns. Most bad guys who are apt to pawn or sell guns to a pawn shop are not apt to be the type of people with falsified legal-looking identification. If a 'crime gun' does end up in a pawn shop, quite likely it has happened only because it has exchanged hands a few times and the poor schmuck who pawned it isn't affiliated with the crime in any manner and didn't know of the crime.

 

[Shootcraps]

I don't think you need to teach economics to pawnshops. You don't see many of them going bankrupt, do you???

They are people. If you are cordial to them they will usually respond the same way. I have found some AWESOME deals at pawn shops.