Seeing the same with classic cars, last Mecum auction prices are nuts.Inflation. People with $ want to put it into something that typically doesn't lose value. Besides, it's not like you can take a stock certificate to the firing range and have fun with it.
…Besides, it's not like you can take a stock certificate to the firing range and have fun with it.
That's not entirely true, the price did come down: the average M16A1 price went from 17k at the peak to 15k, M16A2 went from 23k to 20k, MP5 also went from 20k to 18K. However, the lower price subMGs did stay the same where UZI stayed around 8k and Mac stayed around 4k. However, it didn't last very long as you said and the price came back up to the previous peak by 2010 and continues to climb to this day.I would not count on any of these prices coming down. They are going up somewhat because of inflation and somewhat for other reasons. When the economy tanked in 2008, the big money guns got hit. Yes the M2Hbs and M60 got hit, none more than the M2HB. However the common MGs did not. The sub guns stayed at their normal pricing. People could not afford to shoot as much rifle caliber stuff and switched to SMGs. Plus people who still had a job were still in the market. The prices did not trend down from 2008 but went back up and by 2010 were about where they were to begin with on the high end stuff and the average stuff was going up again.
Everyone keeps talking about these prices going down but it for the average MG, they rarely come back down. Usually its ammo related that causes the prices to drop. A supply of some caliber doubles in price or something. The real thing to look for in the MG market is not guns coming down but guns who have not gone up for a while. Undervalued guns in the current market. If you wait for them to come down, you will never buy one. Also about the time they do come down, you will be so afraid of what is going on that you will not want to part with big money at that point.
That's not entirely true, the price did come down: the average M16A1 price went from 17k at the peak to 15k, M16A2 went from 23k to 20k, MP5 also went from 20k to 18K. However, the lower price subMGs did stay the same where UZI stayed around 8k and Mac stayed around 4k. However, it didn't last very long as you said and the price came back up to the previous peak by 2010 and continues to climb to this day.