Is buying used guitars totally dead?
Used axes just aren't the good deals they used to be.
Above is an example of why there really isn't any point to buying used. It's an Ibanez GRG121DX in Metallic Gray. The price? Cheap. Simple guitar, fast neck with cool inlays, probably has a decent sound (I've not played it personally so I don't know that part for sure,) and ready-to-rock. But the point is cheap. At this price point, there isn't a used guitar that can compete what what you get for the money with this Ibanez.
I browsed my local guitar store's used inventory online recently. At the time I write this in April 2018, the used section had 24 solid-body electrics, 3 semi-hollow electrics and 1 lefty electric. Out of literally everything listed, there was only 1 guitar in the $200 to $300 range, and it wasn't even one I was particularly interested in.
I also browsed the Clearwater Florida GC used guitar inventory. Only 17 electrics there, but they had 4 guitars in the $200-$300 range, 2 of which I would actually be interested in... but even so, they were priced too high for what they were.
Is a used guitar a good deal anymore?
Easy answer: No.
Used guitar selection these days is meager, and from what's there the choices available aren't that great. Most importantly, you simply don't save that much compared to buying new. In fact, there are times when you don't save anything at all.
Bear in mind I'm not talking about vintage guitars here. I'm talking about used guitars that are under 10 years old. Years ago there was a huge price difference between new and used. But as guitar building technology gets better, cheaper and easier, the prices for new guitars keeps going down to the point where buying used doesn't make any sense anymore.
When you examine the $200-$300 range for new guitars, you find some nice surprises...
...and you also find a lot more choice compared to used. You're better off just skipping the used guitars entirely these days.