How to Price Secondhand Items

Determining the right price for selling household items can be challenging. Even though you may not sell them for the market price, it's important to figure out whether you can secure a better deal. Additionally, assessing the value of secondhand goods helps you decide whether it's worth selling them in the first place. Setting an accurate price is difficult due to the wide range of pricing options, but there are general principles that can guide you through the process.

Clean, polish, and refresh secondhand goods to sell for a higher price. A well-maintained item is certainly easier to sell and will command a competitive price. Clean off any dirt, polish the edges, and consider repainting faded furniture with inexpensive paint. A fresh coat of paint costs only a few hundred thousand, but it can make an old table look brand new if done skillfully.

• If you can fix small damages, go ahead and do so. If you want the buyer to handle the repairs, you should lower the price a bit.
• Check any used electronics to ensure they are still functional.

Research prices of similar products online. Search the internet for items with similar designs. Check the prices of newer products to see if your price is reasonable. For example, a large sofa with plaid fabric might be priced lower than a plain one, unless plaid fabric makes a comeback. Visit websites like Craigslist and Ebay to compare prices of similar products being sold by others.

• You can find online guides to help you determine the price of furniture, covering most household items.
• Look for products that are similar to your item. If you know the manufacturer, model, or material, search for items that match these features.
• If you're unsure of the original price of your product, these websites are great places to start your research.

Sell most items at 70-80% of their original price. The easiest way to price an item is to reduce its purchase price by 20%. This is a standard practice in business and a reasonable approach for pricing secondhand goods. However, note that this is just a basic method. You can adjust the price based on several factors. For instance, if you bought a $500 dress seven years ago and now want to sell it:

• If the dress is still in good condition and not too old, selling it for 80% of the original price is reasonable.
• Multiply $500 by 80%, or 0.8. ($500 x 0.8 = 400)
• $400 is the starting selling price for the dress.

Compare the current condition with the product’s original state. When should you reduce by 30% or 20%? The most crucial factor is the condition of the item. If the condition is the same as when you bought it, then only a 20% reduction from the purchase price is needed. However, if the item is scratched, making noise, shaking, or has other issues, you might need to reduce by 30% or more. Generally, the longer you use the item, the lower its resale value will be.

• If you bought a beautiful $1,000 bookshelf and it’s still in like-new condition, you could sell it for $800.
• If the bookshelf is faded, older, missing shelves, or cracked, you could sell it for $600-$700.

Deduct 5% for every 1-2 years of use. For instance, a table that’s 10 years old can only be sold for 50% of the original price. Cars and houses lose value as they age. Unless the structure is still sturdy or it’s an antique (pre-1970 and in good condition), you will experience a loss with each year of use.

Pay attention to the structure and material. You don’t need to be a carpenter to recognize quality wood. Well-made furniture feels sturdy—the piece may be heavy, stable, and the joints should fit properly. If the item is low quality, be prepared to sell it for much less than the original price. However, if it’s still in good condition and durable, you could sell it for close to the original price.

• For example, inexpensive items from IKEA tend to have a much lower resale value compared to the original price, typically no higher than $20-100 per item. This is because they are made from cheap materials, not designed for moving or reselling.
• If the product is made from rough, layered particleboard, you’ve likely bought cheap furniture.

Consult an expert to appraise antiques. Antiques often hold significantly higher value than their original price. Unless you're an expert in antiques or have thoroughly researched similar items, their previous prices, and restoration possibilities, it’s best to seek help from a professional. Visit antique shops for accurate appraisals on the price you wish to sell for.

• If possible, provide the appraiser with details like the year you bought it, the place of origin, and the model, or at least the product’s background information.

Be prepared to negotiate. Typically, you will have the opportunity to discuss the price. Make sure you are ready before you start negotiating. Having a strategy in place is the best way to achieve a good selling price:

• Minimum Price. Determine the lowest price at which you’re willing to sell, so you don’t have to make snap decisions during the sale.
• Desired Price. The price you aim to sell at, based on the value of the item and your intention to sell.
• Asking Price. Similar to your desired price, but set it slightly higher in case the buyer is eager to get the item.
• Shipping Costs. Who will handle the pickup and delivery? Be sure to settle this before finalizing the sale.

Ask friends and family if they’d be willing to buy the item at your proposed price. Get feedback from a few people to see if your pricing seems reasonable. If several people express interest at a certain price, then it might be a fair price. If no one is interested, you may need to adjust the price.

• Remember, you don’t need to know if others like the item; you only need to know if they think the price is fair.
• If you're still unsure, websites like Splitwise Furniture Calculator and Blue Book Furniture can help you estimate a fair price. However, keep in mind that these prices are just guidelines.

Check similar products before negotiating. Unless you’re an expert, compare 4-5 similar items before making a purchase. Take note of any price differences and ask the seller about them. If you’re buying bedroom furniture, consider the average price ranges:

• Bed: $50-300
• Wardrobe: $20-100
• Desk: $25-200
• Dining Set: $150-1,000
• Dining Table: $50-150
• Sofa: $35-200
• Armchair: $25-150.

Ask about the age and history of the item. Has it been repaired? What is its current condition? Are there any issues to consider? Most sellers will try to hide defects, but you can gauge their pricing by asking the right questions.

• If someone claims "this item is expensive because it's antique," ask about the production year. If they can’t provide this information or it was made after 1970, it’s not an antique. Be cautious about any price they offer.

Check the stability of the product. The joints should be tight, firm, and not wobble. The item should feel solid relative to its weight, especially for chairs, sofas, and tables. Trust your instincts—if something doesn’t feel sturdy or durable, don’t spend too much on it. If it creaks or has scratches, consider lowering the price by $25-30 from the asking price.

• Don't buy cheap items — chances are, you’ll need to replace them soon.

Look for "fixer-upper" items to get a good deal. If you need a good table, don’t spend $500 on a perfect condition item. If the piece is durable and you like its design but it’s scratched, faded, or worn, you can buy it for a much lower price. Grab a can of paint or inexpensive wood polish and spend an afternoon restoring it. You’ll save quite a bit of money this way.

Determine the price you're willing to pay before contacting the seller. The product should be sold at a price that reflects its quality. If you really want an item and have researched fair prices, go ahead and negotiate. If you have evidence of similar product prices, you may be able to secure a better deal. When negotiating, keep these points in mind:

• Set your maximum price. Decide on the highest amount you’re willing to pay before engaging with the seller. Don’t make decisions on the spot.
• Clearly state your desired price. This isn’t a strategy, just be upfront about the price you’re willing to offer — "I’m willing to pay $200 for this table".
• Be flexible. If you haven’t changed your mind, don’t hesitate to negotiate. You shouldn’t go over the price you’ve set, but you can always try to bargain with the seller.

Calculate shipping costs before buying. You need to know how the item will be delivered to you and how it affects the overall price. Make sure you figure out who will handle the shipping before finalizing the deal.

• Remember, you may need to replace cushions or repaint if the item is faded or needs repair. Consider this when making your purchase and discuss it with the seller.

• The more you research, the better your ability to price items accurately.