If you were to want to add gold to your investment portfolio today without lugging around gold bars, would you know how to do that? Do you know all of your options for investing in gold? To learn some basics so that you can get started with gold investing, keep reading.
Have an understanding of the current market value of gold before you sell it. You can call a jewelry store for this information. Gold value changes often, sometimes from day to day, and you want to make sure your buyer is offering you a fair price for your pieces, based on current market value.
Just like you would do a price comparison on a vehicle you are interested in purchasing, make sure you go to more than one place to inquire about the value of your gold. Different shops and dealers are going to quote you different prices. Get the most money possible for your jewelry.
Before buying or selling gold, know how all the prices work. Silver, gold and platinum prices fluctuate often, and therefore you need to verify spot pricing the day prior to your intended deal. Understand that you will likely pay a higher price for fractional pieces. A half an ounce, for instance, will not exactly cost one half the price of an ounce, it will be slightly higher.
Is it better to sell your gold jewelry for melt value or as jewelry? You will see that pawn shops and private buyers only pay melt value. However, if you are patient, you will find a buyer who is willing to pay top dollar for your jewelry.
Realize that any piece that contains gold can be sold to a buyer. Examples of saleable items include broken jewelry, spoons, forks, household goods, etc. You can get something for an item if it is not made out of pure gold. It may simply be gold plated or part of the item has gold within it. You still stand to make a fair amount of money selling it.
Do not assume that gold that is old, ugly, broken and unwearable is not eligible to be sold for a profit. The value of gold is not based on the attractiveness of the piece. It all depends on the weight of the gold, so feel free to bring in gold that is in any condition.
Consider the long-term value of gold as an investment, if you are in the financial position to do so. Rather than buying low and selling as soon as the price increases, hold onto your gold. Over the years your wealth will accumulate for retirement or give you something precious to leave to your children.
Mailing away your gold to a buyer is always an option. Lots of sellers prefer this process, as it is easy. Oftentimes you will be provided with a prepaid envelope and will receive a check in the mail. The price they pay will be very low, though. A seller might offer you as little as 30 percent of the value, so be careful.
If you are purchasing gold for investment purposes, understand that there is no guarantee. Gold prices fluctuate often, meaning some investors website win big and others lose big. Always make sure you are not investing more than you can afford to, and have a clear understanding of the risks before you invest at all.
You may be able to find antique jewelry at resale shops or antique stores that can be sold for more than you paid for it. Make sure to check the gold stamp to determine if it is 24K. This means the gold content is relatively high and you will be able to sell it at a higher price.
Cash For Gold
Shop around town if you are taking scrap jewelry or gold pieces to sell to a store or pawn shop. Though there may be a standard market price for gold at a particular moment in time, not every store will pay it. Stores that are not near shopping malls may have lower overhead and are able to pay more.
Buy Gold
If you have a nice gold piece, consider selling it privately rather than through a gold purchasing agency or jewelry store. Many companies that are in business to buy gold will only buy it to melt and sell, meaning they will pay only for the weight of the gold. An individual who likes your piece might be willing to pay a higher price tag, because they are likely to keep and enjoy the piece.
When you buy gold as an investment, you should consider how easy it will be to sell when you are ready. Common gold coins are relatively simple to sell. Rare gold coins and coins mostly traded outside the US can be more difficult to sell. Gold bars can be expensive and difficult to resell if you need to send them to a dealer.
Do not buy gold from strangers who approach you in the streets and offer to sell it to you at an unreasonably cheap price. It might sound silly but people fall for it all the time. These pieces are brass or gold plated and the seller will do anything to get you to buy it. Ask to go to the pawn shop and if they refuse, walk away.
Entering the gold market can be tricky if you don't have a proven strategy that works. Reading tips is one thing, but getting tips from people who have done well in this market is how you succeed. Keep all the ideas learned from this article close by as you start out in your gold buying adventure.
AU Precious Metal Solutions
142 South St, Rochester, MI 48307
(248) 833-6133