Do Collings MT prices appreciate over time?

[FrDNicholas]

Someone was asking about used Rigel prices declining, and that got me to thinking: I noticed some MTs on the cafe going for around 1600-1700, and new for about 2,000. Does that necessarily mean that they don't gain in value over time? What do you all think?

[Payit Forward]

The most basic model MT goes for $2025 new now-days, but when they were introduced a few years ago, I believe they sold for about $1755, so $1700 used is pretty good. I spent months looking for a used one and never saw one for less than $1500. There always seems to be a good demand for them. Whenever they show up on Ebay the bidding is pretty steady. So I think they hold their value quite well.

Pete

[MikeEdgerton]

I wouldn't look for too many instruments to appreciate over time. The best you can hope for in all reality is that they hoild a larger percent of their original purchase price.

There are exceptions to every rule. In 80 years or so some may be worth a lot more. It's an unrealistic expectation to think that the mandolin you bought today will sell for more in the immediate future but it's a great argument to present to your wife when you're trying to sell her on the idea of you buying a new mandolin.

"Yeah honey, this puppy will be worth at least 20% more than I paid for it this time next year" for some reason sounds logical when you can say it with conviction.

[Eddie Sheehy]

Look around you. Not a lot selling right now. In this market expect to see prices drop because of the lack of demand.

[Rick Schmidlin]

The MT's will rise in value in ten years.

[FrDNicholas]

This maybe a totally unfair comparison, but I was thinking of my old Gibson, which, if it had been in the original condition, would have more than tripled in value. I understand I had that instrument for 25 years, and it was technically an antique. I am thrilled with my MT and have no intention at this point of parting with it. Someone made the comparison with the Gibson, wondering if the Collings would appreciate over time. I didn't know, so I thought I'd post the question here.

[TomTyrrell]

As long as Collings keeps making MTs the price of a brand new one will be the limiting factor on the price of a used one. So far the Collings mandolins have a pretty good record for holding more value (as a percentage of original purchase price) than some other brands but it is unlikely that the used price will ever exceed the new price.

If you buy a new Collings today it is likely that the new price 10 years from now will be high enough that you could get back what you paid. A 0% return on a ten-year investment wouldn't be considered "good" but "investment" is really just the excuse we all use to justify getting a nice mandolin to play.

[lovethemf5s]

I think that in the near future MT prices will do better than the housing market.

[GRW3]

Don't think of it so much as an investment. Instead focus on the retained value. Famed Flatpicker Dan Crary brought this home at a Taylor clinic a few years ago. He said:

"See this fancy guitar, that costs $3000? Pretty pricey right? Why you could buy a good used car for that money! But... In ten years this guitar will still be worth a couple of thousand and the car will be in the junkyard."

If you bought a new MT for $2K and sold it for $1.5K in ten years you will have spent $50/yr to own one of the best mandolins in the world. (We live in a rarefied atmosphere in the Cafe and sometimes forget the flood of really cheap Pacrims out there.) Pretty reasonable it would seem. If you bought a used one the cost would be even lower. New and used in this strata may well come down to intent and an honest assesment of wether you intend to own the mandolin long enough to make warranty an issue.

[Big Joe]

The Collings have not been around long enough to determine if they will appreciate over time. The demand and the ability to meet that demand will affect prices substantially. If there is a greater demand than product availbable, the product will appreciate. If there is sufficient product to meet the demand, the product will not appreciate. If the supply exceeds demand, then the prices will fall. Look what has happened in the auto industry. That is why they are shut down at the current time. Get rid of excess inventory so dealers will buy again. Then the price and product will be desireable again.

When some of the current builders have a twenty or thirty year track record you will see whether they actually do gain in value or not. Gilchrists rose quickly from the mid 90's throught the earlly 2000's and have seemed to stabilize. While the quality is not in question, the scarcity of the product with the demand has driven the price to its current level. Had Steve built twice or three times as many mandolins, the supply would have been adequate and the price would not have risen to much.

Of course the economic factors have slowed things down substantially at the current time, but this too shall pass. Remember that 94% of Americans are still at work and 99% are still on time with their house payments. While things are tough, the economy as a whole is not in near as bad a place as the news media would have the public believe. As buyers are discovering this to be true and the election is now behind us, people are beginning to spend again. We went through a similar situation following huricane Katrina. Everyone felt guilty about spending because of the malady of those in the hurricane zone. After a few months, they began to spend in the same patterns as before.

[frankenstein]

i can't speak for america but here in oz people are still making house payments but only because of massive interest rate cuts and petrol prices are more realistic than they have been.. my experience with instruments is when you buy from a dealer you will pay top dollar but if you want to know what it is really worth try trading it back to the same dealer for another new instrument.. different story.. most instruments will not appreciate especially in the short term.. if product prices were more desirable in the first place we would buy more often. turnover vs short term profit..

[jim simpson]

I know that I appreciate my Collings the longer I own and play it.

[frankenstein]

I know that I appreciate my Collings the longer I own and play it.

that is the true value ..

[Mike Snyder]

They seem to be everywhere. That is obviously due to the quality of build, the sound, and the fact that they are producing so many of them. Seems to me that the number of Collings mandos available will deter them from appreciation. Although I appreciate every one I hear.

[GVD]

Tone Monster

The MT's will rise in value in ten years.

Why? Are you privy to some some supply/demand and future economic trend data that the rest of aren't?

GVD

[TomTyrrell]

Why? Are you privy to some some supply/demand and future economic trend data that the rest of aren't?

GVD

Economics 101.

[Patrick Sylvest]

Had an MT for $1895 new....sold it for $1500 a year later after getting no bites at $1700. I'd say that they don't appreciate quickly. I've no regrets and if I could have afforded keeping it I would have. They're a value at present retail prices.

[Bill Van Liere]

I believe it entirely possible that ten years from now we might be able to purchase a mandolin that sounds as good as the current Collings, has equall value, but costs half the price. It might be imported but then again maybe not, time will tell.

[Jon Hall]

I realize the original question was regarding Collings mando but as a side note, I paid $1125 for my Weber Absaroka 10 yr ago and I think it would sell for close to that amount today. However I have no plans to sell so...whatever.

[GVD]

Economics 101.

Sounds more like Voodoo economics to me.

GVD

[Rick Schmidlin]

Why? Are you privy to some some supply/demand and future economic trend data that the rest of aren't?

GVD

Just watch whatthe next ten years will bring, Collect movie posters. ten years ago Ibought a poster of Touch of Evil for 1,000.00 now ten ears afte it is worth 5,000.00 easy on the market. I bought a 1969 Pontiac Tempest convertable for $1,000.00 in 1973 and shudder to think it's value if I had it today.

[TomTyrrell]

Sounds more like Voodoo economics to me.

GVD

Nope, just reality.

[Brad Weiss]

Had an MT for $1895 new....sold it for $1500 a year later after getting no bites at $1700. I'd say that they don't appreciate quickly. I've no regrets and if I could have afforded keeping it I would have. They're a value at present retail prices.

So you rented it for a dollar a day. Not too bad...

[Pete Martin]

Supply plus demand equal price. As Collings will probably continue to build new mandolins, there will always be supply.

Old Gibsons and Martins have such high prices because no one builds old instruments, but the demand will always be there.

[jim_n_virginia]

It's only worth what someone will pay for it.

If you buy your instrument thinking it is an investment you will probably be disapointed.

Collings hold their value pretty good just like Martin, Gibson and a host of other companies because they build a good product and people want them.

Time will tell if they go up in value. Like Big Joe said they haven't been around long enough yet.

And of COURSE if you hang on to something for 30 years and if the company is still around it will cost more in the future but you have to take into account inflation and what people made back then.


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