Posts Tagged ‘video game investor’

So You Want to Invest in Video Games?

Thursday, May 29th, 2008

Now, I’m not one to collect video games without playing and putting some miles on the fruits of some engineer who labored over the game for a fairly long time, which usually goes unappreciated by most players. However, there are some benefits that come along with being a video game investor versus a collector. I never really considered investing in video games because of the ease of proliferating great games, whether through virtual consoles or back-compatible video game consoles. But, for the brave who dare to try I rounded up some interesting informational items that might be useful.First, if you truly consider yourself a video game “investor” you are entitled to some benefits from the government courtesy of the IRS. Put simply, if you can resist opening up that sweet new game that you purchased and can provide a receipt, you can use video games bought as a tax write-off. But, I urge you to be cautious and to check with your friendly tax expert to see if your purchase will qualify. This also means that you have to report when you sell your video game investment and pay taxes on the income generated.

Alright, so let’s say you decide to give video game investing a try. Where do you begin? I recommend starting with the more popular channels of distribution- eBay and Craigslist. This will give you a general idea of what is craved by the masses and what is passé, to say the least. To save you a little time I have a short list of video games that are fetching over $120 on eBay. I used eBay as a starting point for ease of use for beginners and the traffic that will increase your possible consumer population. Going back to my list of video games that are hot now (remember this is time sensitive stuff!). Most of us have heard of the great RPG, Final Fantasy VII, but did you ever think about what is worth? I purchased my second copy at a Shopko store around 2002 for $20. Now, on eBay, it is selling for $122 if sealed and around $50 if opened. Not a bad turn around in six years, especially when you consider it’s a used item that you can enjoy while it slowly becomes worth more money! Another popular RPG that is now worth three times what one might have bought it for is Secrets of Mana for SNES. It is now selling on eBay for $150 unsealed, another game you could have been playing while the value soared. Earthbound for SNES is another game that has grown to be worth much more than what it was released, now around $185 opened.

Now, I have three games that really have exploded with respect to their monetary value. One that surprised me was Grand Theft Auto: San Andreas Special Edition for Playstation 2. In this edition you can “pimp” out your ride and compete in a car show manner (as far as I could understand). This PS2 version is selling for $200 on eBay if sealed. Another game that has accrued a lot of value is Chrono Trigger for SNES. If you have this magnificent specimen sealed you can reap the $660 price. What is amazing is that there are still five days left for this particular item to grow from when I found it on eBay. Finally, the single console video game that is going for more than any other I could find, an NES classic, Stadium Events (NTSC version). This little gem is selling for an unbelievable $1,000 with four days left in its auction.

I must remind you that these may not be typical cases, but if you already own a game mentioned and it is no longer getting any play, you could fill your pockets with some cash if needed. Video game investing involves being able to spot a good deal and attempting to predict what game will be the next hit. If you really want to be an investor of video games, be sure you keep good records including copies of receipts, where you purchased, and dates especially if the receipt does not have this information on it. Personally, I could not imagine owning a video game and not using it for its intended purpose, but for those of you brave enough and disciplined enough to forge a path to real video game riches, good luck!

Rx by,

Dr. M. CLK