If you’re planning to shop from a pawn shop, or sell items to a pawn shop in 2022, you’re in good company. Each year it is estimated that 30 million individuals will buy from or sell to a pawn shop. If you want to ensure that you’ll get the best offer for your item, or get the best deal on a purchase, you’ll need to be a good negotiator. Here are five tips for negotiating at a pawn shop, in 2022.
5 Negotiation Tips for Buying from a Pawn Shop in 2022
1. Bring Cash
Cash is the preferred form of payment at pawn shops. The reason? It allows pawn shops, which are often small, locally owned and operated businesses to avoid excessive credit card fees. While large franchises and big box retailers can easily absorb the fees charged by credit card companies, these fees can drastically cut into the bottom line of small businesses. So, when you’ve found an item you want to buy at a pawn shop, begin by letting the pawnbroker know that you’ll be paying cash.
2. Knowledge is Power
Many pawnshops also have online stores. This can work to your advantage in myriad ways. First, you can check the online store regularly to confirm the item is still in stock. Pawn shops tend to be more flexible in prices for items that they have had for a long time. So if you find a specific power tool that you want in the online store, and you’re not in a hurry, check and see if they still have it the following week. The longer items stay in a pawnshop’s inventory, the more likely they are to be discounted. When you go to the shop, you can share with the team member that you know the item has been in stock for a while, which can give you a leg up in your negotiations.
You can also use the internet to conduct research on the value of assorted items. For example, say you want to buy a gold chain. By monitoring current prices of precious metals, you will have an idea of how much items are worth. You can use that information to make your case for why you should be able to buy that chain for a certain price.
3. Make a Reasonable Offer
Pawnbrokers are more likely to take you seriously if you make a reasonable offer. If a diamond ring for example is priced at $1000, you can’t expect to offer $250 and have the pawn shop accept. Instead try one of these options.
For higher priced items, offer about 80% of the list price to open negotiations. There is no guarantee that the shop will accept, but it will demonstrate that you’re serious about the item which can lead to favorable negotiations.
For lower priced items, or for items that the pawn shop has several of, ask about their lowest price. For example, if you need a power drill, and you see that they have four in stock, ask about their lowest offer. Then offer $5-$10 less. You may just walk out with a barely used, brand name power tool for an incredible price.
4. Inspect Item and Make Your Case
Sometimes, by inspecting an item carefully you can make a case for why you should be able to buy it for less than the list price. For example, if you’re looking at a guitar for your child, and you see one that is what you want, but is too expensive, take a close look at the body, neck, and strings. If you notice wear on the strings, or scratches on the body, point them out to make your case for paying a bit less.
5. Be Willing to Walk Away
Pawnbrokers have an advantage when it comes to negotiating because they do it every day. So if you’ve exhausted all your negotiation techniques, it is perfectly ok to walk away to stick to your budget. Every now and again, walking away may pay off for you with the pawn shop agreeing at the last minute to sell at your price.
5 Tips for Selling to a Pawn Shop in 2022
1. Know Your Product
To get the most money for an item you’ll sell to a pawn shop in 2022, you’re going to need to know your product. If you’re selling jewelry, know the current price of gold and silver. If you’re selling diamond earrings, be sure you know the carat and clarity. If you’re selling a mountain bike, research values of comparable bikes before you take it to the pawn shop. You can’t expect to get a great price for your items if you don’t know what they are worth.
2. Clean Your Items Before You Go
Bringing dirty, dusty, or dingy items to a pawnshop to sell will immediately put you at a disadvantage as a seller. So take time to spruce up your item, so that it shows nicely. This will help you negotiate for a better price.
3. Check the Shop’s Inventory for Similar Items
Pawn shops don’t generally keep dozens of the same items in stock. So you may want to visit the shop before you bring in your items to make sure they don’t already have too many of the same item. For example, if you visit a shop and they have six Dell laptop computers, you’re not going to have a lot of leverage when trying to sell your Dell laptop.
4. Don’t Take Anything Personally
If you take in a beautiful, nearly new designer watch, but you’re only offered 50% of its value, do not take it personally. Once you get emotional, you’ll be in a terrible position to negotiate. You need to have realistic expectations when you take items in to sell them. It will serve you very well to remember that pawn shops sell items to customers at discounted prices. That means they buy them at discounted prices. You’ll set yourself up for disappointment if you take an item into sell, expecting to get the same price you paid for it.
5. Let the Shop Make the First Offer
Let the pawn shop staff make the first offer on your item. After all, they do this every day. So it’s entirely possible that they may offer you more than you thought your item was worth. If you ask for a certain amount right away, you may wind up shortchanging yourself. So, let them make an offer and then take it from there.
Buy and Sell Jewelry, Electronics, Tools, and More in the San Gabriel Valley
Azusa Pawn buys and sells jewelry, electronics, musical instruments, sports memorabilia, antiques, power tools, and much more seven days a week. Azusa Pawn has served Baldwin Park, Glendora, Azusa and surrounding communities for more than a decade. We are proud to be a member of the California Pawnbrokers Association.
Azusa Pawn is located on West Gladstone Street in Azusa. We are easily accessible from the 605, 210 and 10 freeways. We also have a large online store and we regularly post new inventory on our Facebook page, so be sure to follow us to see selected new items when we get them.