While Form 4473 Background Checks are still at all-time highs, things seem to be shifting for firearms retailers and wholesalers out there. Dennis Badurina of Dragon Leatherworks owns a brick-and-mortar gun shop and reports on Facebook:
I’ve gotten more calls in the past two weeks by folks asking if I buy guns.
When they tell me what they are selling, and I give them a ballpark of what its worth to me, they start bitching about how much they paid, and my offer is an insult, blahblahblah…
Anyone tries to tell me that the gun industry isn’t in freefall, they’ll be told to go away. I don’t give a rats ass about how many NICS checks are run in a given month, or gun show attendance, or other such meaningless bullshit.
Firearms industry is slowing exponentially, both manufacturers and distributors are dumping their inventory through sites like CDNN, Buds, Grab-a-Gun, etc., and folks can buy a brand-new gun for 30% less than they did last year on those same websites, and even last year those prices were low.
I had a customer come in and ask me to price out Wolf steel case ammo. I actually logged in to my dealer portal, he watched me put the stuff in the cart from my distributor, and saw what the ammo would cost as if I were buying it. I was going to simply have him pay me $10 over invoice, and he would WITNESS the fucking invoice being created.
He logged into SG Ammo, and the EXACT SAME FUCKING AMMO in the EXACT SAME FUCKING QUANTITY was $70 cheaper than what the distributor sells to the little mom-and-pop. He saw it with his own eyes.
The distributors are dumping inventory so as to not be left holding the bag on the long-term purchase agreements they have with the manufacturers. They entered those agreements because everyone was certain that Clinton was going to go skipping down Pennsylvania Ave. with 99% of the vote.
Now the distributors are sweating bullets (pun intended) because they bet on the wrong horse.
I sent that info to my local favorite Merchant O’Death and asked him if he was seeing similar things. His response:
That FFL is spot on.
We are buying more firearms right now (the “down season”) than we have in the previous eight months. Usually the shop is damned near a morgue come summer time. We are turning people down more often than not when they bring stuff in for sale simply because we can’t take another one of what they are trying to sell.
ARs are pretty much dead as are most of the other tacti-cool types of rifles
Several manufacturers have extended promos that were only supposed to last a couple months at the most by a further couple of months. S&W has a $75 dollar mail in rebate on M&P Shield pistols that has been going on since this spring and has been continued until September.
The FFL is also right about the election outcome. I have heard more than one person selling stuff to us remark that they don’t need said firearms “cuz Hillary didn’t win”. Apparently the family vacation to the Free People’s Democratic Republic of California is more important than hanging on to the firearms they already own.
Part of the problem with people bitching about low offers from dealers (at least in our experience) is that they are spending way too much time on the internet. When we make the offer, the response is often: ” well, on the Internet it is going for [insert random amount of money here]). The other part of that is that they whine and snivel when we tell them we just can’t but what they have because we are over stocked as it is. They whine some more and come up with some hard luck story about why they have to sell. We tell them again that we just can’t do them any good. Then the same question is asked almost verbatim, almost every time: ” can you offer me anything?”.
That being said, we are selling quite a bit more than usual but it is largely used stuff. Anything remotely considered “collectible” disappears from the racks in short order. I am still amazed by the number of people coming in looking for Mosin Nagant 91/30s.
Nope. Nobody expected the election to go the way that it did.
Over at AR15.com the recommendation is “Stock up on ammo while it’s cheap.”