Best Electric Guitars Under $500

If you’re a guitarist and you read any of the more popular guitar magazines it can be a little depressing. Those famous guys in the bands you love, it seems like every one of them plays an instrument costing thousands of dollars. How are you supposed to compete with that if you’re a student or an average working Joe or Jane? Some of the most iconic instruments are just plain out of reach for average people on a budget. Who has a spare $2,000 sitting around to plunk down on a new Gibson? Not me, and I’m guessing not you.

I’ve played guitar for 30 years. It took me a long time to realize that the price tag on the guitar doesn’t always make it sound better, and it definitely doesn’t make you play better. A room full of expensive guitars basically just means to have to add a rider to you homeowners insurance policy once you find your guitar collection is worth more than your car.

I finally saw the light when I went to hear a jazz band several years ago. The guitarist was a great player with amazing tone, and I was very impressed. I was even more impressed when I realized he was playing an inexpensive Ibanez guitar through a plain old, solid-state Peavey amplifier, no effects between him and the amp. And it dawned on me that what I’ve been hearing for so long was true: The sound is in the player, not the gear.

Since then I quit being such a gear snob, and I came to realize there are some great instruments out there that won’t break your wallet. At the time of this writing every guitar on this list could be found for under $500. They aren’t as pretty and perfect as their more expensive brothers, but they are solid instruments that a good player can make great. I’ve had experience with each of these instruments, and have owned or currently own a few of them. In my opinion, you can’t go wrong with any of them.

At first glance the Epiphone Les Paul looks exactly like its pricey Gibson big brother. Epiphone is owned by Gibson, and only Epiphone has the right to produce Les Pauls to their specs. Looking closer, you’ll see a few differences. The headstock shape is unique to Epiphone, and the guitar is not quite as thick. The USA-made Gibson body features a maple cap, where the Epi has a maple veneer, and the hardware and finish are of higher quality on the Gibson.

The differences go deeper than cosmetics, as you would expect. The Gibson Les Paul sound has become legendary in the rock world, and the Epi just about nails it, but not quite. But you have to ask yourself: Is the difference in sound worth the $1,500 jump in price? Unless you’re a professional musician, the answer is usually No! The Epi sound is pretty good, so good in fact that many gigging musicians leave their Gibsons at home and bring the Epi to work. You’d rather that drunk guy spilled his beer on your Epiphone instead of your Gibson, wouldn’t you?

The main difference in sound I hear is a little lack of clarity in the Epi. Both have mahogany bodies, but because of the maple top the Gibsons have a little more bite. Then again, depending on your style of music, the Epi sound might be just what you’re looking for. Both guitars have great sustain due to the set neck and stop-bar tailpiece. Both are very playable and comfortable instruments, with the Epi being noticeably lighter. All in all, unless you have money to burn, go with the Epi.

Like the Epiphone, Fender’s Standard Stratocaster is a lower-budget version of a classic, in this case the American Standard Stratocaster. Yeah, one word means a price bump of about $600, and the differences are even harder to spot than the Epiphone. Standard Fenders are made in Mexico, and you'll see them referred to as Mexican Strats or MIM Strats.

MIM Strats have the same general specs as Americans: Three pickups, 5-way selector switch, maple or rosewood fingerboard, basic Fender-style bridge. On the American version some of these appointments are kicked up a level. For instance, instead of the vintage tremolo bridge you’d find on the MIM Strat, the American Strats have a slicker 2-point tremolo bridge.

I don’t get too excited about the difference between bridges or neck shapes. The main difference to me is the sound. MIM Strats sound good, but I find the pickups can be a little weak. This is not always the case, as you can find some diamonds in the rough out there, and some MIM Strats really have super mojo. Again, you have to ask yourself if this sound difference is worth the extra cash. Both guitars are super-playable, and both look fantastic. The good news is that Stratocasters are kind of like the “shop cars” of the guitar world. They are easy to work on, and if you’re not happy with some aspect of the guitar you can change it later down the road. Aftermarket parts are available from Fender and other manufacturers, and they usually aren’t expensive.

MIM Strats are available with either 3 single-coil pickups or one humbucker and two single coils, so you can find one for any music style.

Ibanez guitars are legendary, especially in the hard rock and metal community. Like Schecter, they feature some really great instruments for reasonable prices. The big dog of the Ibanez lineup is the RG, and many RG models will land you under the $500 spending limit.

The highpoint of Ibanez guitars to me has always been the necks. Ibanez make some of the flattest, fastest necks out there, and they have been a favorite of shredders for decades. RGs come with a variety of features, but the necks are always awesome. Ibanez has even begun to bring back maple fingerboards in recent years, which is nice to see.

Depending on your playing style you can find an RG to meet your needs, but they do tend to cater to the metal crowd. Some models feature arch tops and mahogany bodies, venturing into the Les Paul sound, but the basic RG design is a flat-top guitar with 24-frets, basswood body, locking tremolo and hot pickups.

The hardware on Ibanez guitars is generally Ibanez-issue. They feature some great original concepts such as the Wizard necks, Edge tremolos and Infinity pickups. It’s sometimes tough to swap for aftermarket pieces, but this hardware is so good you may not want to!

There are a bunch of RG models to choose from for under $500, and if you play metal or hard rock there is surely one for you.

Schecter Guitar Researchis a company that has gained tremendous popularity in recent years, and for good reason. Schecter guitars, in my opinion, are probably the finest lower-budget instruments out there. Their quality is usually spot-on as far as fit and finish, and you’ll find features and options that you almost never see on instruments in their price range. The flagship of their guitar line is the C-1, and many other Schecter guitar models are built around this “C-style” body shape. It is truly a beautiful shape for a guitar body, and when added to the finishes and details Schecter includes with their various instruments it can make for some amazing guitars.

The C-1 features a mahogany body, Tune-o-matic bridge and set neck, giving it the basic structure of a Les Paul. Similarities end there. With 24-frets it ranges through the complete second octave, and coil splitting takes you into a unique range of sounds.

The chrome-covered Duncan Designed Humbuckers aim for that vintage tone, but slightly more expensive versions of the C-1 feature awesome pickups such as EMG 81/85s and Seymour Duncan Blackouts. You can also upgrade from the basic bridge to a Floyd Rose Original Tremolo. It will take you over the $500 limit, but very few guitars in that price range feature a Floyd Rose Original.

Going in the other direction, if you wanted to spend even less money you can pick up the Schecter Omen for about $300. This is a guitar based on the C-shape body, but some of the features are downgraded. Still, the Omen is a great guitar for the price, and features a string-through body and coil tap like its brother.

Schecter guitars are definitely worth checking out. I believe they are the best values of any instruments on my list.

Speaking of metal and hard rock, the undisputed heavyweight champion of metal guitars over the past 30 years has to be Jackson. Jackson makes some of the most iconic body shapes in the metal world, including the King V, the Kelly and the RR (Randy Rhoads) styles. Maybe I’m just simple at heart, but to me the coolest of all is the Jackson Soloist.

You can spend some big cash on a Jackson Soloist if you really want to. Some models go for nearly as much as a Les Paul. But the Soloist SLXT gives you a great option without running up the credit card. The SLXT features the standard-issue Soloist appointments: Soloist body style, two humbuckers, 24 frets, rosewood fingerboard, and those shark inlays you know you have to have. The through-body neck construction, string–through body and EMG pickups are a nice surprise. Along with the basswood body, these features contribute to some awesome tone and sustain.

The one downside to the SLXT is that it does not feature a locking bridge. Depending on your playing style, you may not care. Otherwise, if you want to play a great guitar with the Jackson name on the headstock, this one is a great choice.

You can also grab some great lower-priced King V, Rhoads and Kelly-style guitars for under $500, if you need a more adventurous design. Jackson guitars are among the best in the world for metal and hard rock, so whatever you pick you can’t go wrong.

I’ve given you some good starting points for selecting your new guitar. You’ll likely discover some others on your own. It’s not a bad idea to search online dealers like Musician’s Friend, and websites of the manufaturers you're interested in, so you can get a clear idea of exactly what you’re looking for in a guitar. Then, go to your local music stores and start playing guitars. Really test them out and put them through their paces. Once you know what you want you can make the decision whether to buy local or online.

Purchasing a guitar, inexpensive or otherwise, should not be an impulsive decision. Take the time to learn and experiment, then make your choice. Good luck, and enjoy your new instrument.

I've played guitar for 30 years and spent some of that time as a lead guitarist and songwriter in various bands. I have also played bass in a few bands. Today, I mainly play to amuse myself and annoy my dog. I enjoy writing about music and the guitar, and hope you enjoyed reading.

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