Do most quality ukuleles lose 40% of their value within a year or two?

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hollisdwyer

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Having recently purchased some quality ukes over the past few months or so and putting two on the market (hoping to sell one of those to part finance my first commissioned instrument) it would seem that even quality ukuleles do not hold their value well. This has not been my experience with guitars.

Is the lesson to be learnt here that, if you commission a new ukulele build from a quality builder, you either better be prepared to keep it or be willing to take up to a 40% drop in value in the first 1-2 years. And that for uke builds that also have a long wait time for delivery.

Do those who have been buying and selling ukes for many years find this to be true? Do we truly pay for our sins (UAS)?
 
I think you're talking about two different things here, and it's really across the entire board for instruments in general.

Quality ukes seem to not retain their value as well mainly due to price; there's more to lose. If ukulele #1 retails for $300 but then you sell it for $180, that's a 40% loss but only $120. If ukulele #2 retails for $1,000 and you sell it for $600, that 40% is a lot bigger now.

The second one you referenced is ordering a custom instrument from a quality builder. That is going to have a much steeper drop in price in the resale market, mainly due to how "custom" you made it. The more specific you get in choosing options - woods, inlays, etc.. - the smaller your resale market is going to be.
 
I was meaning to only talk about what you have referred to as a custom instrument. I see you have a BP M style. Would you be OK with realising only 60% or less of your original cost when you decide to flip it?

I am trying to set my expectations correctly in this matter.
 
I was meaning to only talk about what you have referred to as a custom instrument. I see you have a BP M style. Would you be OK with realising only 60% or less of your original cost when you decide to flip it?

Well frankly, I have a custom inlay on it that will lower the price much more than that. But yes, I would have no problem with that, as buying a custom instrument made to my specifications has the caveat of having a very small resale appeal. The more specific you make the instrument, the harder it is going to be to get someone to buy it should you decide to sell it.
 
Quality production instruments (K-brands, etc) and made-to-order instruments (Mya-Moe, etc) hold their value well. Imports, not so much (unless they're especially rare or desirable).

Customs generally don't hold their value well at all unless they have desirable features and nothing too "personal" from the previous owner. It doesn't matter if you spent $10k having a custom 10-string uke built out of endangered Lithuanian wood with a 500-piece inlay of your wedding photo on the fretboard that took two years to complete; if you try to flip it when your marriage dissolves because of your sick ukulele habit you're going to take a huge hit. Unless it's a Moore Bettah. ;) A Moore Bettah with an inlay of a naked Steve Buscemi would still get sold to an impulsive buyer for more than it cost brand new.
 
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I see your point and agree that really 'custom' elements makes an instrument very personalised. But do you believe the same rule of thumb would apply with just, say, wood choice (e.g. An all myrtle compared to a Sitka and Koa bodied uke)?
 
I dont know if most people get a custom with expectations of selling it. I could be wrong but that would seem to be a bad investment. You should expect to buy it and hold on to it knowing your not going to get near what you paid for it. Treat the custom as an heirloom and pimp off all the others.
 
I was particularly talking about made to order ukes such as MM and others in the same category.
As long as one can buy new at $XX, there's no incentive to be a used, out-of-warranty item at anything close to the new price except to alleviate the wait-time. Now, if they stop making a certain uke brand of high quality, then supply-and-demand impacts price.
 
I see your point and agree that really 'custom' elements makes an instrument very personalised. But do you believe the same rule of thumb would apply with just, say, wood choice (e.g. An all myrtle compared to a Sitka and Koa bodied uke)?

Again, it all depends. Especially if you're paying a premium for a wood that isn't as known in terms of tone, that may be a harder sell as opposed to a custom uke that is all koa (which is well known).


I dont know if most people get a custom with expectations of selling it. I could be wrong but that would seem to be a bad investment. You should expect to buy it and hold on to it knowing your not going to get near what you paid for it. Treat the custom as an heirloom and pimp off all the others.

Personally I don't think anyone should spend the money on a custom instrument - ukulele or any other - with the concern of resale in the back of your head. That said, things happen and come up, and there may be a point at which someone has to sell a beloved custom instrument, at which point any of those very personalized touches may have a negative effect on the resale.
 
I dont know if most people get a custom with expectations of selling it. I could be wrong but that would seem to be a bad investment. You should expect to buy it and hold on to it knowing your not going to get near what you paid for it. Treat the custom as an heirloom and pimp off all the others.

Sorry for my loose connotation of 'custom'. I should have used the term 'made to order' to indicate a uke that has no special inlays or decoration but does have a personally chosen wood combo, binding, tuners, pickup,etc.

Actually I have just ordered my first commissioned instrument (my choice of all the elements mentioned above) and that is an instrument that will stay with me for the rest of my life.
 
Having recently purchased some quality ukes over the past few months or so and putting two on the market (hoping to sell one of those to part finance my first commissioned instrument) it would seem that even quality ukuleles do not hold their value well. This has not been my experience with guitars.

Is the lesson to be learnt here that, if you commission a new ukulele build from a quality builder, you either better be prepared to keep it or be willing to take up to a 40% drop in value in the first 1-2 years. And that for uke builds that also have a long wait time for delivery.

Do those who have been buying and selling ukes for many years find this to be true? Do we truly pay for our sins (UAS)?

It really is supply and demand. Lots of nice ukes out there these days. Supply has gone up. For example Mya-Moe has made about 1,500 ukes. So a few turn up for sale every so often. Demand I can never figure out.
 
Depends on brands but I tend to start with a 30% guideline as a fair price. However, with the popularity of ukes in the last 5 years or so, prices have gone up so if you bought a uke four years ago, you won't lose that much.

One thing that's definitely gonna hurt you is if you buy from small builders that aren't well known. They might make great instruments but if most people haven't played one, they'll be relunctant to buy. I took a chance on one of my first customs, LFDM but the price was right. He has become a little more popular and the prices have risen so I'll lose less if sold.
 
I agree that you should not buy new with too much focus on re-sale. If you buy well, you can buy used and flip in and out of instruments doing pretty well particularly in the sub-$1K range. There seems to be a fairly sharp dividing line at $1K. Over that, there seems to be much less demand and growing amount of supply. Great for buyers, not so good for sellers.

Additionally, there are natural ebbs and flows. A year ago when I first started there was a lot of enthusiasm for Collings. A few months ago I finally picked up a UC2 used at a pretty good price. Loved it so much I bought a UC3 with a sunburst finish I really wanted "knowing" I could sell the prior one I bought. The fervor around Collings has cooled somewhat, it seems.
 
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A Moore Bettah with an inlay of a naked Steve Buscemi would still get sold to an impulsive buyer for more than it cost brand new.

Awesome! Thank you for giving me my next inlay inspiration!
 

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unless super rare or hard to get, I usually figure 3/4 - 2/3 of the new price , depending on condition, even for customs. requiring fixing 1/2 and less, depending. If you buy used you usually don't lose much, sometimes just shipping, and you get to try out some great ukes. that's why I don't buy new instruments, but then it's hard to get EXACTLY what you want, which is why if you got the $ you would go custom.
 
Let us assume you mean builders like : Mya Moe, Covered Bridge, Kinnard, Boatpaddle, MP and other well known and respected builders here at UU. From a buyers prespective if it is one year old or more with minor wear and wood of accepted norms, ie maghogany, koa, cedar or spruce top w/rosewood etc. I expect to buy it for 20-35% less than new price. If is over $1000.00, as eddie points out, your pool of potential buyers drops.

As others pointed out if there is some features that are "kinda different" then it gets even harder to warm up to. Case in point is the MM myrtle tenor you have for sale. Beautiful, beautiful top back and sides, the head plate for me is a deal breaker, way too much contrast. Now that is just me and another person might love the head stock.

Bottom line is any K-brand that is 1-2 years old seems to hold at about 20-25% loss and that is as good as it gets, all others depreciate more.
 
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