Guitars as an investment: which vintage models rise in value the most?

When is a guitar vintage?

There is no agreed age when a guitar officially falls into the “vintage” category. Generally, a guitar is considered vintage when it is 30 years old or older. We also apply this age at TFOA.

What did you pay at the time?

Anyone paying a lot of money for an old guitar these days would almost forget that these instruments were once quite affordable. Early- to mid-twentieth century selling prices were between 80 and 300 euros, converted to today. For example, the acoustic Martin D-28 (1931) cost only 86 euros and the Fender Broadcaster (1950) only 146 euros, of which, due to a legal dispute, fewer than 250 copies eventually exist.

The Gibson Flying V, known for its unusual design in the shape of a - you guessed it - V, and the 1958 Explorer cost 213 euros each at the time. The Gibson L-5, which was designed under the supervision of Lloyd Loar (inventor of, among other things, the guitar's F-hole) had a higher entry price at 237 euros, as did the Gibson ES-345 (300 euros). These prices show that the guitars were sold purely as consumer items at the time.

Many percent profit

Today, you can count yourself rich if you bought one of these guitars. The 1958 Gibson Explorer - a commercial flop for the first 20 years, but then very popular among hard rock and heavy metal musicians - is now worth an average of 350,000 euros. The Flying V follows with a market value of 275,000 euros. The pre-war Martin D-28 has also risen considerably, with a current value of 160,000 euros.

Models like the Gibson L-5, the Fender Telecaster and Stratocaster have also exploded in price: these are around 100,000 to 130,000 euros. Even guitars once marketed as affordable alternatives, such as the Gibson ES-335 and ES-345, now fetch tens of thousands of euros. 

A return not inferior to equities

The increases in value are quite impressive. A Gibson Explorer fetched around 350,000 euros more than its original price, representing an annual return of 11.7 per cent. The Flying V is not far behind with 11.3 per cent. The Martin D-28 is up 8.3 per cent annually on average, the Telecaster by 9.2 per cent and the Stratocaster by 9 per cent.

Even the more “modest” models, such as the ES-335 and ES-345, show an annual increase in value of 8.3 and 7.7 per cent respectively. As such, these guitars are hardly inferior to shares or real estate in terms of returns, the difference being that here you have a physically and culturally valuable object in your hands.

How do guitars compare with other investments?

For investors constantly looking for returns, crypto, real estate or art are often mentioned, but alternatives such as watches, whisky and vintage cars are also popular. While these categories reach spectacular heights, they also come with a bit more uncertainty and are not all tangible. Art requires specialist knowledge, real estate involves management burdens and crypto is notoriously volatile.

Vintage guitars, on the other hand, combine emotional value with a property that is tangible. In addition, the uniqueness of a guitar plays a major role and the sound is already something that is unique and distinctive. Whereas crypto often remains abstract, a vintage guitar usually carries a unique story with it. This makes them not only an investment in euros, but also in emotional value.

Getting started in the vintage guitar market

Guitars from the '70s, '80s and '90s in particular offer interesting opportunities for new collectors and investors. These relatively young vintage guitars are more readily available. A good example is the Martin D-18 from the 1970s, which can currently be found for around 3,000 euros. These guitars have a more accessible price point, which can also make them attractive to new collectors looking to enter the market.

So it can't hurt to take out your guitar that has been gathering dust in the attic for years. Maybe your guitar has become worth a lot of money, or maybe it will give you inspiration to invest in a new, unique guitar. Or a less unique guitar, which in many years' time will turn out to be unique after all.

Research justification

For this research, The Fellowship of Acoustics took a two-pronged approach. First, the original selling price of each model was traced using historical sources such as digitised manufacturers' catalogues and price lists from the year of introduction. This data was supplemented with current market data from platforms such as Reverb, eBay and the Official Vintage Guitar Price Guide. The original price was then converted to euros.

The current market value was then determined by a broad analysis of recent sales transactions and current offers on platforms such as Reverb and eBay and The Official Vintage Guitar Price Guide. As condition, originality and provenance vary greatly from instrument to instrument, a realistic average value was used.