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It's the kind of phrase Vintage & Rare use to describe guitars which are very expensive....
Why not post some photos? That would help with evaluating it.
As far as shops taking a big commission is concerned - they have overheads to cover and are more likely to secure a sale at a premium price than a private seller. They can also take a card payment from the buyer - which most private sellers can't. You should consider these points when deciding if the commission quoted is fair.
As I said earlier, you need to be careful selling this. It might not be a 'Golden Era' vintage guitar but it is from a period where people will pay significant amounts - particular through dealers in wealthy areas - for a well-cared for, original example.
While not perfect, that's in very nice condition and good enough that it will attract buyers for whom whether it is actually a great guitar or not may be secondary. It's maybe not "investment grade", whatever that means, but it's certainly the sort of thing that someone specifically after a nice example of a Strat from that era would be interested in. The actual year matters for many 'nostalgia buyers' now.
I assume you're referring to it as an '81 because you know when you bought it. You probably know already that the serial number indicates it's a '79, but that Fender used up the decals for a couple of years later. You can get a more accurate date if you read the codes on the pots, the last 7 digits of which will read '137yyww', where yy is the year and ww the week if manufacture of the pot - the guitar will usually have been made within a few months of this (later of course!). Fenders of this era often have dates stamped in the neck pocket and other places inside too - they usually differ a bit, and the date of the guitar is usually taken as whichever is the latest of them and the pot codes.
But certainly, if you don't want to keep this Strat, you can afford quite a decent acoustic .
"Take these three items, some WD-40, a vise grip, and a roll of duct tape. Any man worth his salt can fix almost any problem with this stuff alone." - Walt Kowalski
"Only two things are infinite - the universe, and human stupidity. And I'm not sure about the universe." - Albert Einstein
When I take apart an old guitar like this I always lay the screws out in the pattern they go in on the guitar. It might sound crazy but this sort of thing really matters to many vintage guitar buyers, who want originality at all costs.
"Take these three items, some WD-40, a vise grip, and a roll of duct tape. Any man worth his salt can fix almost any problem with this stuff alone." - Walt Kowalski
"Only two things are infinite - the universe, and human stupidity. And I'm not sure about the universe." - Albert Einstein
It's also hassle free. You drop the guitar in, and they transfer the money into your account after they have sold it. The only worry would be if the shop goes under while your guitar is in there but I'd imagine Charlie's would be one of the safest shops around given the regular income he gets from repairs.
Though (generally) Strats from this era represent Fender's nadir, there are the odd decent ones. They have some historical significance as well, as they are among the very last big headstock/3 bolt neck guitars built, before the introduction of the 'Dan Smith' Strats in 1982. And an a relatively 'affordable' year of birth guitar for the 33 year olds who fancy buying one....
I'd give it a proper clean, restring it and get it playing as well as possible, then go down the commission/consignment sale route.
Even after commission has been paid - especially in London - I'd expect you to get more than £1000.
To be honest, if it were mine, I'd keep it...
Charlie Chandler. You could try Chandlers but they charge more commission than Charlie does.
I assume given that CC would only be making £150 (less the VAT) that he wouldn't want it sitting in the shop too long.
As the economy recovers and people slowly feel more confident about their finances, you may well see prices strengthen - it certainly won't fall in value.
Or you might just find you enjoy owing and playing it...