Getting out of the hobby - any recommendations for reputable collection buyers?

This is a good Question...Roundhouse Hobby Shop, Louisville, Ky. You may call them, 502-895-2466....Ask for Kevin or Tony.....Do you belong to the TCA?  Please keep us posted on your adventure in selling your trains and layout....Leapin Larry, also in Tennessee.....Good Luck...

If I were you, I would contact Stout Auctions in Indiana or PA and see what they have to say. They have an auction for modern stuff at least once a month.

Trainz.com buys collections..

you can find a few places in OGR. you will likely get 60% OF THE face value selling this way however.

Bob C.

Appreciate the feedback everyone - 

I definitely have some research to do before I start selling!

Realistically, you have to understand that a dealer buying your collection has to plan for making a profit.    To him or her, it is how they make a living, not a hobby.    That said, 60% of appraised value is probably optimistic.    40-50 it more likely.   

The advantage is you get your money up front.    The dealer has to haul the stuff to shows or maintain it in his shop until it is sold.   If he goes to shows, that requires packing/unpacking, buying tables, paying for fuel, food, hotel for trip.     The popular items will sell quickly, but there will pieces of the collection that will linger in inventory for years possibly.   It may take him a year or more before he begins to profit from the purchase.   And in some states such as Ohio and Michigan, the dealer has to pay personal property tax on the stuff in inventory.    So considering, the type of offer from a dealer is not a ripoff, it is realistic business.   

Trainz........if you must sell as one lot......you will not get much of your original cost back....but fast and painless......just have a realistic expectation. Only way to get more is sell one item at a time.

TN HiRailer posted:

Evening all - 

Long time but basically inactive member for many years now.

Long story short, job location requirements have basically translated into too many years of my partially-completed O-gauge layout and collection doing little more than collecting dust, and I don't realistically see that changing anytime soon. So, I've decided that it would be best if I just cut my losses and get out of the hobby, and get what I can out of my investment.

Unfortunately, it really isn't going to be practical for me to try to sell off the collection a piece at a time, so I would really like to work with someone reputable in the hobby/business who is interested in buying complete collections. I would be selling off mostly MTH, Lionel, and some Williams pieces from the late '90's thorough around around 2004, with a few older Lionel pieces in the mix.

I would be interested in working with someone that could see the collection and take delivery in Knoxville, Tennessee.

Thanks in advance for any recommendations you guys might provide!

 

RR

 

The first thing to do is make an accurate list of the items on a computer with condition of each item.  Then make copies on a CD that could be mailed to interested buyers.  At least take photos of the items and original boxes if any. The listing should also indicate if the item is original box with insert if any.

If you expect to sell to an auction house they will need this information.

Note: Everything in my collection is documented with photos and listing on a computer that is organized by manufacturer and type.

Here are some photos of an item in my collection. These are typical photos showing various views of the model which describe the condition. This item happens to be new in the original box with inserts, etc.

MTH 20-91318 PRR N8 478208

I would suggest that you create an inventory in electronic form with photos to derive the maximum for an entire collection sale. You will certainly be in a 30% of current market value range if you have someone else do that work or guess by visually inspecting the collection in person.

Any kind of document that you can email will work. There is a free office suite available (Open Office) if you do not have that software. That means more potential buyers can "see" the collection without incurring the time and expense of traveling to you.

I can tell you that it took almost 24 hours to catalogue and find current sale values for a 150 piece collection. About half of that was creating the catalogue. Someone has to pay for that time. A nice post-war and some pre-war collection with the "cherries" already sold had a market value of $8,570. The offers would have been half of that or less. The owner's feelings were hurt and the collection is still not sold, 15 months later.

Don't expect much more than 50% ofcurrent market value. Don't get your feelings hurt. You'll only see about 25% of what you paid, which is how most individuals want to value their collection.

Creating an inventory with photos will achieve the maximum current value in the shortest time.

I definitely need to update my inventory record -

I have an incomplete one I put together in MS Access many years ago (when the world was still running Windows XP, so it's been a while!!), and it probably needs to be converted to something a bit more "universal" like an Excel spreadsheet or PDF.

Concerning photos -

Generally what photo angles should be included for engines and rolling stock?

Thanks for all the tips and insights!

if your collection is large enough the buyer may do the work of cataloging and generating a list. best to have your own though.

Bob C.

Moonman posted:

 ...

Don't expect much more than 50% ofcurrent market value. Don't get your feelings hurt. You'll only see about 25% of what you paid, which is how most individuals want to value their collection.

...

Sobering, but very true.  As with all things in life, managing expectations is key.  So most enthusiasts are in for quite a shock, since they'ye valuing their collection based on what they paid for it -- not what its worth today.

Here's an example... You purchased a Lionel JLC Challenger over a decade ago for $1700.  Well right off the bat, it's not worth that anymore.  In today's market, you may get $900 for it on a good day -- more likely $800.  As folks have said, an auction house or dealer buying collections expects to make money if they're gonna sell that item for $800.  So they might offer you $300-$400 for it, maybe even less.

So you're looking at $350 net on something you paid $1700 for in 2001.  You're taking the loss two ways:  one, the overall value of the item (or your collection in general) has dropped;  And two, you're paying for somebody else to do the retail selling for you.

Just an example... But I'm sure you get the point.  Don't shoot the messenger... That's just the way this business works.  I saw tons of older, modern era trains being sold by a couple of dealers at York in the Orange Hall yesterday.  And the prices were WAY down there.  There's just too much new stuff being pumped out today for the older stuff to be worth anything anymore.

We recently heard of a Michigan train shop closing "overnight", and subsequently discovered Trainz.com bought their inventory.  You can bet the shop owners took a beating on the inventory, but they paid for the convenience of exiting stage left quickly -- having somebody else haul the inventory away, and then ultimately sell it. But for the shop owners, it was quick and convenient.  There's never a free lunch in life.  

On top of all this, an auction company often tacks on a buyer's premium to goods sold.  So do ya think they're making a profit here?  

David

Condition of items:

Items kept in original boxes or packed to avoid dust will sell best.  Items that have been left in the open to collect dust or that have any sign of rust or corrosion reduce their resale value greatly. My collection is kept in original boxes when not in use.  Also all items have a separate outer box which is labelled as to the contents. I also photograph the labelled outer box as part of my photo inventory. I can easily search the photo files by manufacturer, roadname, etc.

See example of an outer box with labelling.

 BOX MTH 20-4118 PRR MADISON COMBINE DINER 1997 MSRP $199

 MTH 20-4118 PRR MADISON DINER VIEW 1

As someone who's sold quite a few train items over the last few years, all in excellent condition, I'll echo what the others have said- expect to get, at the very most, 50 cents on the dollar, most likely less.  The market is beyond saturated right now, and sales of used trains are soft.

Try contacting www.choochooauctions.com The owner will travel to you, or you can post the items on there for a very slight fee-NO percentage taken. If you list an item it is around 30 cents per item to list for about 10 days, you must add shipping or taxes yourself for the item if you sell on there. Probably the best place to sell any Williams items. 

I have used Choo Choo Auctions several times and will use them again.

Lee Fritz

High quality items that are no longer being manufactured can sometimes bring a higher return than the average.

Also inflation has moved MSRP prices of new items much higher.  

Example: MTH Premier 50 foot double-door boxcar prices since 2000:

20-93033 MTH Premier 50 foot double-door boxcar:

Catalog 2000 Volume 1 - Premier 

MSRP: $42.95

20-93653 MTH Premier 50 foot double-door boxcar:

Catalog 2015 Volume 2

MSRP: $64.95

Just a thought outside of the box.

Is it possible to donate the collection to a nonprofit organization and the tax deduction would be roughly equal to any revenue that you would receive through a sale? For what it's worth, I have no idea how to determine the value of the collection for that purpose.

The reason I ask is because I'm playing with the idea  of setting up just that type of layout in a local museum. 

Just a ramblin' on, ya know.

Triple. The few times you could take a deduction would be if you had a business that delt with that product and you itemized in your filings. The majority tax filers do not have either.

pro hobby posted:

...

Also inflation has moved MSRP prices of new items much higher.  

...

20-93033 MTH Premier 50 foot double-door boxcar:  Catalog 2000 Volume 1 - Premier ... MSRP: $42.95

 ...

20-93653 MTH Premier 50 foot double-door boxcar:  Catalog 2015 Volume 2 ...  MSRP: $64.95

And it took MTH 15 years to do that.  Lionel has been known to do similar price increases in just a 2- to 3-year time-span!    Heck, Legacy diesels that once listed for $499 MSRP jumped to $649 MSRP in just one year! 

David

Take your collection with you if relocating to California.  Buyers seem willing to pay more on the Gold Coast, based on my limited experience, and a middleman there might be more generous.

What, me worry?

The model train group at ETSU is having a train show in early june.  Two days [Friday-Saturday] $30 with table included in the domed stadium.  I don't know if they have space left or not.  Just a thought.    http://www.etsu.edu/railroad/

There is an O gauge group there too, but I don't have their contact info.  They use an empty retail space in the small Kroger shopping center near the University.

Bill Cantrell posted:

The model train group at ETSU is having a train show in early june.  Two days [Friday-Saturday] $30 with table included in the domed stadium.  I don't know if they have space left or not.  Just a thought.    http://www.etsu.edu/railroad/

There is an O gauge group there too, but I don't have their contact info.  They use an empty retail space in the small Kroger shopping center near the University.

 

 

Thank-you Bill - 

I'll check that out, since it's practically "in the neighborhood" if I'm back in Tennessee for the weekend!

if you are moving to California keep some items and join the san diego 3 railers. we have members all over the country.  any where calif would be an easy drive.

TN HiRailer posted:

I definitely need to update my inventory record -

I have an incomplete one I put together in MS Access many years ago (when the world was still running Windows XP, so it's been a while!!), and it probably needs to be converted to something a bit more "universal" like an Excel spreadsheet or PDF.

Concerning photos -

Generally what photo angles should be included for engines and rolling stock?

Thanks for all the tips and insights!

You know, this discussion reminds me to ask if any of you have advice on where to get a conversion program to switch my Lionel inventory file from the old "MS Works Data Base" (which MS no longer supports) to something still usable today. I have the inventory saved on the old data base but cannot open it on my computer the way it is. 

Any advice would be much appreciated!

I had good luck with Charlie Siegel of Train City in Florida for buying my trains.

Appreciate all the recommendations and points to consider - 

MUCH to think about on my part!

Although, it's fairly safe to say that I won't be moving & trading trains in California in the foreseeable future - 

Good Ole' Rocky Top works fine for me!!

I do appreciate the invite, all the same!!

Dave Warburton posted:

TN HiRailer posted:

I definitely need to update my inventory record -

I have an incomplete one I put together in MS Access many years ago (when the world was still running Windows XP, so it's been a while!!), and it probably needs to be converted to something a bit more "universal" like an Excel spreadsheet or PDF.

Concerning photos -

Generally what photo angles should be included for engines and rolling stock?

Thanks for all the tips and insights!

You know, this discussion reminds me to ask if any of you have advice on where to get a conversion program to switch my Lionel inventory file from the old "MS Works Data Base" (which MS no longer supports) to something still usable today. I have the inventory saved on the old data base but cannot open it on my computer the way it is. 

Any advice would be much appreciated!

I believe Microsoft Excel (which is definitely mainstream software that likely to be around as long as there is a Microsoft) will import spreadsheets and database files made with MS Works.

TNHR,

   I would list most of what you own right here in the OGR, in the For Sale section, before trying to sell in bulk.

PCRR/Dave

TN HiRailer posted:

Dave Warburton posted:

TN HiRailer posted:

I definitely need to update my inventory record -

I have an incomplete one I put together in MS Access many years ago (when the world was still running Windows XP, so it's been a while!!), and it probably needs to be converted to something a bit more "universal" like an Excel spreadsheet or PDF.

Concerning photos -

Generally what photo angles should be included for engines and rolling stock?

Thanks for all the tips and insights!

You know, this discussion reminds me to ask if any of you have advice on where to get a conversion program to switch my Lionel inventory file from the old "MS Works Data Base" (which MS no longer supports) to something still usable today. I have the inventory saved on the old data base but cannot open it on my computer the way it is. 

Any advice would be much appreciated!

I believe Microsoft Excel (which is definitely mainstream software that likely to be around as long as there is a Microsoft) will import spreadsheets and database files made with MS Works.

Depends on the versions of Works and Excel.  Excel 2010 and later will open Works 6.0-9.0 (.xlr extension).  Works files with .wks extension require file converter software.

 

Rocky Mountaineer posted:

.............We recently heard of a Michigan train shop closing "overnight"..........

 

David

David, Was this very recent?  Do you remember which store we in Michigan have lost this time??

  In my experience buying and selling collectibles years ago (not trains, I want to keep those!), most will only yield 20-50% of the resale value.

  Which types of items were being bought and sold had little to do with those numbers. Cards, comics, Hummels, toys, instruments; it really didn't matter much.

"Hot sellers", or hard to come by, normally fall into the 40-70% bracket.

 70% meant it was very rare, or I had a buyer already.

   Selling off the good stuff in separate sales might   be better. But its a balancing act, that will bottom out the price on the more common things if your not careful. Removing all the cheRRies will bring out the low ball creep in anyone.

So maybe just nibble on a few really ripe ones, & leave enough to keep the pie sweet.

A buyers willing to come to you will almost always pay more if your at least a little patient and wait for that person to show.

  I have had zero luck buying and selling at auctions..... ever.

(same for game of chance. My most memorable win is a single bar mirror I won at a carnival when I was about 12 years old..for another buck I could have bought it)

Anyhow, I hope you'll lurk around on occasion. You know, to get in some vicarious satisfaction till your ready to lay track again Good luck to ya TN!.

Adriatic posted:

 

Rocky Mountaineer posted:

.............We recently heard of a Michigan train shop closing "overnight"..........

 

David

David, Was this very recent?  Do you remember which store we in Michigan have lost this time?

 ...

Yes... very recent... late last month... Wild Bills Trains.

Dave Warburton posted:

TN HiRailer posted:

I definitely need to update my inventory record -

I have an incomplete one I put together in MS Access many years ago (when the world was still running Windows XP, so it's been a while!!), and it probably needs to be converted to something a bit more "universal" like an Excel spreadsheet or PDF.

Concerning photos -

Generally what photo angles should be included for engines and rolling stock?

Thanks for all the tips and insights!

You know, this discussion reminds me to ask if any of you have advice on where to get a conversion program to switch my Lionel inventory file from the old "MS Works Data Base" (which MS no longer supports) to something still usable today. I have the inventory saved on the old data base but cannot open it on my computer the way it is. 

Any advice would be much appreciated!

Dave,

#2 or #3 is a solution for you. https://support.microsoft.com/en-us/kb/315757

TN HiRailer posted:

I definitely need to update my inventory record -

I have an incomplete one I put together in MS Access many years ago (when the world was still running Windows XP, so it's been a while!!), and it probably needs to be converted to something a bit more "universal" like an Excel spreadsheet or PDF.

Concerning photos -

Generally what photo angles should be included for engines and rolling stock?

Thanks for all the tips and insights!

A short tripod, timed shot and close-ups. A side showing the nose or an end and a bottom shot for two. (summary).  I do six (both sides, both ends, top & bottom) for one-off sales.

tripleo posted:

Just a thought outside of the box.

Is it possible to donate the collection to a nonprofit organization and the tax deduction would be roughly equal to any revenue that you would receive through a sale? For what it's worth, I have no idea how to determine the value of the collection for that purpose.

The reason I ask is because I'm playing with the idea  of setting up just that type of layout in a local museum. 

Just a ramblin' on, ya know.

prrhorseshoecurve posted:

Triple. The few times you could take a deduction would be if you had a business that delt with that product and you itemized in your filings. The majority tax filers do not have either.

Tax Deductions:

Yes, it is possible to qualify for a tax deduction for donating your collection.  You need to find an organization qualified as a Section 501(c)(3) by the IRS.  The 501(c)(3) organization will provide you with a letter thanking you for the donation along with a listing of the items received.  The 501(c)(3) is not allowed by IRS Regulations to value the donation.  The donor (along with his tax or legal advisor) is responsible for the valuation.  If the valuation is over $5,000 the IRS regulations call for an independent and very detailed appraisal (usually very costly) to support the deduction.

The donor is able to claim the deduction as a charitable deduction if the donor itemizes deductions, subject to various tax code restrictions.  If the donor utilizes the "standard deduction" instead of itemizing deductions, this deduction may likely be lost.  The effective "value" of a charitable deduction is the net effect on the donor's tax bill.  For example, a $1,000 deduction reduced the donor's tax bill by his incremental tax rate.  If the incremental tax rate is 25%, the $1,000 deduction would reduce the tax due by $250.

Everyone's tax situation is unique and private.  Please discuss this idea with your personal tax and/or legal advisors.

Please contact me off forum if you would like to discuss further or for examples of situations that may be of interest.

Try calling Train Town in St. Louis, MO.  Their number is 314-716-2755.

I shop there when I am in town.  They are nice people.  They tell me that they travel to see collections, and they pick them up.  You can find out more details from them about how it works.

George

banjoflyer posted:

A friend of mine recently sent an itemized list of all his new in the box, unopened S gauge model trains and accessories to Trainz. He sent no pictures as NIB said it all.

They offered 25% of MSRP. He took the deal. They sent prepaid UPS shipping labels, be boxed it all up and shipped it. About 3 weeks later he got his check.

Did he wish he received more? Sure. Was he glad it was gone so easily? Yep.

Mark

hopefully a wake-up call for all those who are afraid to open a NIB piece as it might lose value.  if this collection was responsibly played with, i doubt if the price offered would have gone down very much and certainly a lot less than the enjoyment they would have returned.

so sad.
cheers...gary

Hi Tennessee Neighbor, I forgot to mention Buzz and Norma Ray, from east Tennessee. They advertise in the TCA Sales booklet that comes out every 3 months.... They buy collections and are very fair.  Yes, You will get around 25 to 30 percent, but, its quick and fast Cash.....If you send me an email, I can look up their number....Good Selling...By The Way, Do you live near Clarksville, Tennessee????

LOTS of good info and ideas here - 

A lot more than I anticipated, to be honest!

Appreciate everyone's time & input!!

Cabin Fever auctions sells collections at auction, you pay a percentage to the auction company, for their services. They have a website, www.cabinfeverauctions.com , it won't hurt to communicate with them, might do better than getting $.40 on the dollar. If you have nice clean items with little run time, you might do well. If you can't find them do a Google search, to get their phone number. I have bought several items and am satisfied with the treatment I received, prices were fair for me and the seller.