Tips on Selling Your Gold
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I
BUY your Gold
Host a Gold Party!
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It’s all the rage! Gold prices have skyrocketed and buyers have popped up
everywhere. Each is advertising that they “pay the highest prices”.
A lot of people have asked me for advice on the subject, so I’ll post it for
everyone.
Someone asked me the other day if I “pay the highest prices”. I replied: “I’m
allergic to saying that because EVERYONE says that. If 1000 people claim to pay
the highest price (or sell diamonds for the lowest price, etc.), you KNOW that
999 of them HAVE to be lying. Right?”
So I tell everyone this: “Bring in anything you can spare, broken chains, old
class rings, wedding bands, gold teeth, it doesn’t matter. Check what others
pay. Let me know what that is, and I'll beat their price.
I add another 30% if you'd like to be
paid in store credit (to buy jewelry, gift certificates, or repair/design
service).
I make jewelry here, so I always need it and I’m willing to pay well for it.
Platinum too. Diamonds, Gems, and some Silver. Don't
forget to bring your coins and watches too!
Now, here are some things you need to know about selling your gold, precious
metal, and jewelry.
Your best option, and highest price, will be from selling to a private
individual. Someone who intends to keep it, the end user. That’s retail. That
means you’ll be competing with me and every other jeweler in the world, but at a
disadvantage.
The jeweler has a wide range of inventory, guarantees, trade back options,
service after the sale, longevity in the community, location, advertising, etc.,
etc. In that arena, you are in a very weak position, and it’s a tough market.
Your ONLY advantage is price. In a way, you’re having a “Going Out of Business”
sale. When a jeweler sells a piece, he has to buy another to stay in business.
You don’t.
Years and years of experience have taught me that the magic number is around
50%. That means that you should start by asking 70 or 80 percent. After the
bargaining is over, you’ll do well if you can get half of what it’s worth.
That’s a great deal for your buyer, and for you too.
That’s retail. Now, once you’ve tried that (or you decide it’s too much
trouble), you can move into the wholesale market. Now you’re competing with the
wholesalers. (They’re relentless! We get calls and drop-ins from them daily.
They also offer special billing options. If I buy enough, they won’t send me a
bill until after Christmas, and they’ll often break that up into payments!)
And you’re are the same disadvantage against them as you were against the
retailers. Once again, your only advantage is price. Usually, fair offers will
range from 10 cents to 30 cents on the dollar.
Another alternative is to re-design your jewelry into new and exciting pieces.
Then you can still sell whatever is left over and that can pay for your design
work.
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Here is a real world example. The customer brought in the old jewelry on the left and we designed these two rings from it. |
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One woman brought me a handful of jewelry some months ago. She wanted to sell
it, and I made a bid, but also mentioned the option of re-designing. She liked
that idea and we designed a gorgeous piece of jewelry for her. When it was
finished, she was thrilled. The bill came to $1,600. (And she got a VERY
valuable piece of jewelry) And after that, I still had to write her a check for
her leftover gold!
Another option, is to do consignment. If a piece is especially unusual and
beautiful, I will consider taking it on consignment. In that case, we have
my appraiser do a full, properly valued appraisal (not inflated). Then we
write up the form and set the price a bit under the appraisal amount. If
it sells, you get 60% of the selling price, and I get 40%. I've heard of
people doing consignment for a much smaller percentage, but I give your piece
prime position in the jewelry case, and I try to sell it just as hard as I try
to sell all of my other jewelry.
While your jewelry is here on consignment, it belongs to you and you can pick it
up at any time. I suggest giving it at least 6 months, and not longer than
a year.
I hope this is helpful information. Please come by anytime. I’ll look at what
you have, tell you what is valuable and what is no, and bid on whatever you’re
willing to sell.
You’re welcome to e-mail me questions too.
Click here for my Gold Buying Page
I
always need it and will pay high for it.
Take care,
Barry
Be Aware
A lot of people have asked me about
out-of-town gold buyers and
gold parties. If they have a Florida
License to buy, take a copy of the drivers license and a thumbprint, along with
a detailed description of each piece bought, then they are probably legal.
If they don't do these things, they are illegal
and may be arrested. Those that sell to them may also be guilty of
money laundering (under the new Patriot
Act.). Please be careful.
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Paradise Jewelr
The Friendliest Store In The World!
5455 Airport Rd. North
Naples, FL 34109
Toll Free 877-591-2645
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