PayPal Friends & Family listings. Why is this becoming so common?

I have had some scammers beg me to let them use regular PayPal when buying from me. The seller takes all the risk. If you want hard guarantees, buy from a dealer. I have made numerous purchases using F&F with no problems. Do your homework, ask the right questions and speak to the seller on the phone for significant purchases. 

“It seems like buyers demand around a 20% discount to take on the added risk of F&F. ”

I have not experienced that at all…my last 12 transactions on USAM, all F&F ranging between $16K - $150. I have sold items within 95% of my asking price. If a buyer wants protection, they can fork out 4% PayPal fee. IRS is a non-issue as you seldom make any profit when you reselling an item.

As far Trust goes, it’s a two way street. You need to do your due diligence in every transaction (feedback and pay close attention to how they are communicating), there are lot of good people out there.

BTW, PayPal protection is worthless! I never relied on them to do right by seller or buyer. 

The only way to buy on "friends and family" terms is if the seller first sends the goodsout first on approval.

@viridian 

 there is less used gear on the market

my experience is the opposite