Does it hurt when you sell at a loss?


I've been into this audio hobby for 30 years, and I am afraid to actually tally up the money I have spent, as well as the money I have lost when I have either sold or traded in equipment. I'm sure there are other hobbies and habits that can cost quite a bit, but I have to wonder, when I see a Linn CD12 up for sale for 11k, does the original owner actually lose 9k in the process. How does everyone justify this behavior, or are we trapped psychologically somehow?
Thanks I would appreciate some feedback.
cody

Showing 1 response by kthomas

The pain of selling near-new that you paid retail for and getting approx. 50% of retail would be unbearable, IMO. If somebody paid $20K for the CD12 within the past couple years and is now taking a $9K loss to sell, I have to wonder what they're moving to.

Selling at a loss is painful if you bought the piece just "to try it out". You lose money a few times, you become a lot more patient when buying a piece for that reason. Selling at a loss something you paid 50% of retail a couple years ago, used it for a couple years and now sell for 40% of retail is rational (at least in audiophile terms), and not too painful. -Kirk