Bought with my own money..I think it would have been 'Focus 2' (aka 'Moving Waves') for £1 in 'Swindon Resales'. Later swopped it for my pal Dunny's horrid acoustic guitar, my first 'axe'.

MakeShift
The Red Album.

I was living in Germany and inherited Grand Funks' Red Album from my brother when he graduated high school and moved back to the states in 1970. Still have it.
The first album I bought was Deep Purple In Rock on a trip to Berlin in '71 or 2. I think it was 10 DM. Still have that one, too.

Mine was Realization by Johnny Rivers. 

Ha-"World of Blues Power Volume 2"-a 99c compilation in the bargain bin-I only bought it cos it had Lightnin Hopkins on the cover and he played violin on Weasels Ripped my Flesh-which I couldn`t afford,and his playing on Directly From my Heart to You just went straight to my heart and apparently still affects my soloing .
never did find Volume One......   

I didn't realize this was a competition, so here is my entry. The first record I bought was Johnny B Goode by Chuck Berry. It was a 45 rpm, and it cost .30 cents. It was 1959. I didn't really like the song, but the rest of the guys in the band wanted to learn it.

I was 3 weeks old.

Randy

Led Zepplin 1 ,  I heard it at a party and bought the album the next day.

MakeShift
@57gregy,

That's a great Red Album as well. The one that I bought was The Beatles early hits album, commonly referred to as "The Red Album". There was a Blue Album as well, which may have been close to purchase number two for me.

Aaaaaaannnnnnd... A White Album!

I remember it distinctly and the revelation of stereo music. My parents had just bought a stereo turntable and I was listening - falling asleep - to one of their old classical albums on my headphones...mono. Getting incredibly bored, I put on the first album I'd ever bought - John Lennon's Mind Games - it had me at its first spacious hook dreamily oscillating from left to right.
 
I think that experience more than any one thing I remember, got me hooked on music...well later it might have been for the girls too! 
 
 
 

 
I was am so very, very stupid.

Alvin Lee was friggin amazing. His performance at Woodstock annihilated everyone else including Hendrix.

When we moved from Madison, WI to Santa Barbara, there were 10/12 albums I took with me, that I would not allow to go on the family truck along with 45k books of literature and whatever else that truck handled!
I can not even remember all the albums, now! But here is a partial/short list.
 
Cheap Thrills -- Big Brother and the Holding Company
Crosby, Stills, Nash and Young
Procol Harum - Whiter Shade of Pale
Jimi Hendrix - Are you Experienced
Creedence Clearwater Revival - 1st
Chicago 2
The Crow - (The Album that had Evil Woman)
Ides of March - (The Album that has Vehicle - fabulous album!)
The Moody Blues - Days of Future Passed
Steve Miller Band - 1st
 
All in all, they were the albums that were most important to me, where the music was not just a song, and things were eimportant to the folks doing it. I think there were a couple of other things I can not remember, like Marc Almond's 1st and like "Bookends" by Simon and Garfunkel.
 
The first album, I ever heard, when I arrived in America in October 1965, was "Blonde on Blonde" by Bob Dylan, where the gentleman at whose house we stayed for a month was an upper class hipster in real estate that owned a couple of those really big houses in the Langdon/Mifflin area close to the UW campus. He also had the Paul Butterfield Blues Band and Al Kooper that I can remember.
 
I fell out of the Beatles at the end of Abbey Road, though I was never that big on the Beatles, even though I had a lot of respect for their last 3 or 4 albums, specially the White Album, that still is one of my favorite albums of all time! It got to the point where it was obvious that the media were distorting everything they said and it was making them look half stupid, half the time, and I got annoyed with it.
 
In Santa Barbara, I got into Led Zeppelin, and the following year, heavy duty into the European and Imports scene, and the rest is history! Led Zeppelin 1 and 2 and 3 were in my collection big time, as well as about 15 different bootlegs, because if there ever was a band that was fabulous in concert, this one was it. The energy alone could suck you in so fast! 

So, I guess I could K-tel you, but then I would want to make you listen to it.

If you count 45's it would be Ray Stevens "The Streak".

 
Tommy James and the Shondells - Hanky Panky    Ooof....

A couple of the other album's I bought were Black Sabbath and Jeff Beck's Beckola. I wore those two out along with my old Beatle records.

 
I was 11. At the time, I knew nothing about it whatsoever, except that Ozzy Osbourne was supposedly the most shocking, the craziest and, by consequence I was hoping, the heaviest.
 
I spent quite a bit of time trying to pick which looked the most shocking - Diary of a Madman or the picture disc of Iron Maiden's Piece of Mind. The plate with the brain and sliced veggies made a lasting impression on me, but in the end, I decided that Ozzy was the most shocking because it also had the reversed cross. Pretty spooky.
 
I didn't like it all that much at first - except for Over the Mountain and the title track. But it grew on me. I ended up picking up the electric guitar because of Randy Rhoads' solo in Over the Mountain and eventually started studying classical guitar because of him. 
 
My bedroom was looked like a Randy Rhoads shrine. It is still one of my favorite albums ever - and the album I've bought the most copies of. :)