Worthless Collectables

[Kevin Jones]

If you don't care whether you will lose money on the custom knives you purchase then you most likely will. And that's fine if the holding or appreciating of value is not important to you.
In my opinion the collecting of anything is all about the pleasure and enjoyment it brings the individual collector.

Buying/investing, selling and profiting are part of the overall enjoyment (along with their love of the knives) for some collectors and some do quite well at it. It does require time and effort in studying the makers, knives and markets.

Some threads/posts tend to paint a picture that money is always lost on collectibles which is simply not true in regard custom knives or collectibles in general.

 

[Kohai999]

Collections are basically about investing time and money for entertainment value, whatever risidual value may be left at the end is just that, and it would certainly be more than if you had put your money into booze and hookers. n2s

mmmmmmm.....where to start?

I have a Loveless Dixon Fighter. Wanted a Loveless since I started collecting in the '80's. The price of the knives continued to go up, more than my income level allowed for a purchase. Now you can categorize this as fate or whatever....in 2010, was whining to Phil Lobred about how the centerpiece of my collection would be a Loveless, and how I would never own one because the wait time was too long and the price was too high on the aftermarket....Phil said to call The Lovelesss Shop. Bob answered and took my order(in his uniquely crusty way). In June 2010, had the opportunity to purchase a stag handled Loveless Dixon Fighter on the aftermarket, which I did. Then in August, got the call that my Loveless from the shop(significantly less money) was ready. Gave a collector friend an option to purchase either knife....the one he purchased was sold at a net loss of shipping costs($50.00). Have turned down a 30%+ gain on the piece I kept, one of the last knives(and heavily documented) The Loveless Shop produced while Bob was alive, complete with a signed sheath.

What is the chance that money will be lost on this knife?

IF you buy the blue chip makers and keep an eye on the market, you will not lose money. I have a friend who sold the majority of his collection and made an amazing ROI, which he invested in silver, and is now down 30%, but with the fact that he made so much money on the knives, he is still up in a big way.

All it takes is the balls and money to play with the big boys, the luck to land the right piece, and the knowledge to know what you are doing. It doesn't happen overnight, but it does happen.

Took the conscious decision to sell some knives at a loss at Blade this year, but overall am way up.

To a beginning collector-investor I would advise....buy big. Fuegen, Loerchner, Moran, Osborne, Wood can be had at auctions for less than the maker currently charges...buy smart, and you will have a collection anyone would be proud of and make money when you sell(most likely).

Best Regards,

STeven Garsson

 

[bonafide]

Collector dies and family tries to sell all those super valuable "handmade" knives for big bucks. No one wants them or even remembers the maker. They may be great knives but that doesn't mean much in the long run. A Randall holds its value because everyone know what it is. A "Wilbur Jones" "crow track" that sort of looks like a Randall isn't worth much more than any other factory hunting knife.

Who? Never heard of Randall whoever .. and the only reason it has value is because you and other knife enthusiasts who follow Randall knives give it value over comparable quality made knives.

 

[Kevin Jones]

To a beginning collector-investor I would advise....buy big. Fuegen, Loerchner, Moran, Osborne, Wood can be had at auctions for less than the maker currently charges...buy smart, and you will have a collection anyone would be proud of and make money when you sell(most likely).

Best Regards,

STeven Garsson

I agree.
For the more experienced collector, there is potential for appreciation of value in knives across the spectrum of custom knives however the knowledge required and risk increases/degreases.

I'm aware of no knifemakers (even Loveless) where every knife that comes from their shop will be a good investment.
It's more an exercise of looking for the right knife from the right maker at the right price.

 

[not2sharp]

....To a beginning collector-investor I would advise....buy big. Fuegen, Loerchner, Moran, Osborne, Wood can be had at auctions for less than the maker currently charges...buy smart, and you will have a collection anyone would be proud of and make money when you sell(most likely).

Best Regards,
STeven Garsson

Perhaps, but if you had instead bought up those $20-30 bring-back weed wackers that the kids were fooling around with during the 50s-60s &70s, you would have been selling antique samarai swords for 4, 5 and even 6 figures during the 1990s. How is that for a return on investment? It is hard to predict the market, and it is a market where your return depends more on your effort and selling skills than anything else.

n2s

 

[Kevin Jones]

Perhaps, but if you had instead bought up those $20-30 bring-back weed wackers that the kids were fooling around with during the 50s-60s &70s, you would have been selling antique samarai swords for 4, 5 and even 6 figures during the 1990s. How is that for a return on investment? It is hard to predict the market, and it is a market where your return depends more on your effort and selling skills than anything else.

n2s

Not so much selling skills as the right knives sell themselves.

 

[Kohai999]

Perhaps, but if you had instead bought up those $20-30 bring-back weed wackers that the kids were fooling around with during the 50s-60s &70s, you would have been selling antique samarai swords for 4, 5 and even 6 figures during the 1990s. How is that for a return on investment? It is hard to predict the market, and it is a market where your return depends more on your effort and selling skills than anything else.

n2s

Well....I was only in a position to purchase said swords in the mid '80's....at that time they were going for $100.00-$200.00....most were delivered to the market in rough shape(due to those damned kids whacking trees and such).....when I started studying swords in the late '90's....those swords were selling for $800.00....we are talking Gunto here, not good stuff....with the good stuff unless you know EXACTLY what you are doing, it is more a case of dumb luck.

So a badly handled antique(most of them) bring-back will require a $2,000.00-$5,000.00 polish, someone to make a shira saya, and then it needs to be papered before it brings the big bucks.....time, money and speculation.

If you purchased a Loveless Dixon fighter during the same period it was around $3,500.00 if memory serves.......sold today, depending upon a plethora of variables...the same knife would yield about $15,000.00 and that is not blind luck, that is a blue chip staying a blue chip and continuing to pay a dividend.

Best Regards,

STeven Garsson

 

[Sidehill Gouger]

Who? Never heard of Randall whoever .. and the only reason it has value is because you and other knife enthusiasts who follow Randall knives give it value over comparable quality made knives.

My point is Randall has an established name that even non knife collecting people know. 90% of custom makers are forgotten as soon as they quit making knives or die. Try to sell them at a show and it is just another knife that costs too much to the average person that picks it up for a second look. I've watched this happen over and over in the last couple of decades. And even the Randall bubble may have burst now that Rhett is gone.

 

[The Amazing Virginian]

To a beginning collector-investor I would advise....buy big. Fuegen, Loerchner, Moran, Osborne, Wood can be had at auctions for less than the maker currently charges....

Best Regards,

STeven Garsson

I don't know. Moran isn't charging very much these days.

 

[HwangJino]

Why I dont collect, I use til it dies and buy again if it was good.