Selling an SBR

[snorko]

I am thinking about selling an SBR and am not sure how easy or difficult it will be. I believe if I limit myself to selling within Indiana I can do so without a dealer. I offer it for sale, they pay me and file a form 4, I keep the gun till their stamp is approved then simply hand it over.

If that is correct are their any other steps to be taken? I would definitely list it on INGO only for added assurance.

 

[edwea]

If I recall, it has to be a paper form 4 as well.

 

[Jarvitron]

This SilencerShop post details how to do it. It is fascinating that it has to be a paper form 4 but also that article hasn't been updated since 2016.

 

[Aszerigan]

I am thinking about selling an SBR and am not sure how easy or difficult it will be. I believe if I limit myself to selling within Indiana I can do so without a dealer. I offer it for sale, they pay me and file a form 4, I keep the gun till their stamp is approved then simply hand it over.

If that is correct are their any other steps to be taken? I would definitely list it on INGO only for added assurance.

You are correct. Individuals need to file paper forms though, they can’t be efiled individual to individual.

 

[Cameramonkey]

Just my .02. The only fly in the ointment would be trust due to the delays. I have to give you my money, but cant get my product until ATF decides I can MONTHS later. So for months you have both my money and "my" product.

Easy deal between friends or family, but I wonder how you get past trust issues with a complete stranger?

Not saying you yourself arent trustworthy, Snorko, just the perception based on the fact you dont do a simultaneous handoff.

Seems like it might take a class 3 shop acting as an intermediary for it to go smoothly. (for a fee of course)

 

[Route 45]

This is interesting. Can you un-SBR it, take it off the registry and sell it as a normal pistol? Seems like that would work with something like an AR that's easily converted back into a pistol by removing a stock. I guess it would be more difficult with a platform that doesn't easily revert.

 

[I Invented the Internet]

Seems like it might take a class 3 shop acting as an intermediary for it to go smoothly.

Maybe even meet the buyer at a class III with a range to let him try it out and if he buys it, he can continue paying conjugal visits while awaiting approval. That's the route I would prefer to take if I ever sell a suppressor again.

 

[snorko]

This is interesting. Can you un-SBR it, take it off the registry and sell it as a normal pistol? Seems like that would work with something like an AR that's easily converted back into a pistol by removing a stock. I guess it would be more difficult with a platform that doesn't easily revert.

More difficult in this case. SBR is an unfired SLR-107UR which started as a rifle and was cut down to Krink length. So going through un-registering hoops would entail pin & weld of a faux muzzle device. I don't think I can just remove the folding stock.

Wouldn't using a class III FFL involve a second transfer fee? Can one simply consign an SBR? I was hoping to avoid the extra complications. I understand about trust issues. While my feedback is stupid good we are talking about a lot of cash for the above. Interestingly I just checked Gunbroker and there were two recent completed auctions with 10-13 bids. One was an SBR and the other an uncut 107UR. Basically sold for the same price.

 

[Cameramonkey]

More difficult in this case. SBR is an unfired SLR-107UR which started as a rifle and was cut down to Krink length. So going through un-registering hoops would entail pin & weld of a faux muzzle device. I don't think I can just remove the folding stock.

Wouldn't using a class III FFL involve a second transfer fee? Can one simply consign an SBR? I was hoping to avoid the extra complications. I understand about trust issues. While my feedback is stupid good we are talking about a lot of cash for the above. Interestingly I just checked Gunbroker and there were two recent completed auctions with 10-13 bids. One was an SBR and the other an uncut 107UR. Basically sold for the same price.

That is what I was thinking. You'll take a hit on the consignment fee, but would give both sides peace of mind. Kinda like an escrow sale. But that is going to be a unique transaction, and I can imagine different shops will handle it differently. Some might want a %, some might do it for a transfer fee similar to an online sale. Probably a % since its going to take up room in their safe for a while.

 

[Aszerigan]

I've been known to broker NFA deals and keep the rifle in my safe under a T&E letter until the deal is done. Any SOT can do it if they're a manufacturer, assuming they're willing.

EDIT: I also perform a full function check, condition evaluation and (often) test firing to ensure the full function of the firearm. These are necessary evaluation steps in the process.

 

[Aszerigan]

Can one simply consign an SBR?

Yes, but it would involve another tax stamp transfer to the dealer. A dealer can not offer an item for sale that isn't in their inventory.

 

[snorko]

T&E letter?

If that effectively lets the gun be stored at a certain dealer without a transfer that sounds ideal and worth a fee.

 

[Aszerigan]

T&E letter?

If that effectively lets the gun be stored at a certain dealer without a transfer that sounds ideal and worth a fee.

Test and Evaluation letter. Essentially a gunsmith review, function check, condition evaluation etc. It needs to be written with an end date but can be "continued" pending needing further time. They are not written as "this dealer is holding an item for me while I sell it," but assuming the dealer does a proper condition evaluation, it's absolutely legit.

That dealer would need to have an SOT02 (manufacturing SOT). Manufacturers can take possession of NFA items without doing the standard Form 4 (again, for a certain purpose and for a certain time) like an evaluation. It would need to be returned to the proper owner before the end date of the T&E letter.

Make sure each party has a copy of the letter, and it is signed by both groups.

 

[Aszerigan]

To be upfront in case someone out there is watching - the FFL helping with the T&E is required to do a function check (that doesn't mean firing), condition evaluation and have documentation of doing so. There has to be a paper trail, otherwise it can get be misconstrued at a shady storage situation.

 

[jagee]

More difficult in this case. SBR is an unfired SLR-107UR which started as a rifle and was cut down to Krink length. So going through un-registering hoops would entail pin & weld of a faux muzzle device. I don't think I can just remove the folding stock.

Wouldn't using a class III FFL involve a second transfer fee? Can one simply consign an SBR? I was hoping to avoid the extra complications. I understand about trust issues. While my feedback is stupid good we are talking about a lot of cash for the above. Interestingly I just checked Gunbroker and there were two recent completed auctions with 10-13 bids. One was an SBR and the other an uncut 107UR. Basically sold for the same price.

I bought an SBR off gunbroker. It was shipped/transferred to a dealer. I went in and "received it" and submitted paperwork. (And purchased a dedicated can for it.) SBR and can lived at dealer until .gov said I could go pick them up.

No conjugal visits as some asshat burned the range down with tracer rounds and they didn't rebuild.

 

[WebSnyper]

Yes, but it would involve another tax stamp transfer to the dealer. A dealer can not offer an item for sale that isn't in their inventory.

Does that tax stamp for the transfer to the dealer incur the same $200 cost?

 

[Aszerigan]

Does that tax stamp for the transfer to the dealer incur the same $200 cost?

Yes. Every time something goes on a form 4, it's $200. Dealer, Trust, Individual, Corporation, etc.

 

[WebSnyper]

Yes. Every time something goes on a form 4, it's $200. Dealer, Trust, Individual, Corporation, etc.

OK, thought so but wanted to confirm.

 

[Slow Hand]

Person to person = $200
person to dealer = $200
dealer to person = $200
dealer to dealer = ’free’. ( already paid for with SOT)