Are you thinking about how to sell silver or gold and whether you have to liquidate reserves for it in the future? Maybe you recently inherited some gold and do not know how to use it the right way. Or, you could be a precious metal investor, searching for a way to offload a chunk of your collection. No matter what the case is, you will want to consider a few critical factors to make sure you get a good return on your investment.
Like anybody else, you will want the best price for the gold you are planning to sell while retaining some of your collection for future use. No matter reason you have for selling the precious metals you possess, this guide will be ideal for you to ensure your transactions go smoothly and are worth it. Below, we will discuss some important factors one most consider prior to selling silver or gold, which include:
- The gold type you plan to sell
- The amount you intend to sell
- The best time to sell
- Who to sell the gold to
Find the Right Buyer
While previous metal sellers have plenty of questions, the first one thing they should consider is the ideal candidate for selling the gold to. Remember, trustworthiness of buyers is critical because there is no shortage of dishonest dealers in the industry who will grasp at any opportunity to lowball you.
Ask yourself “am I certain about the price the buyer is offering?” In addition, you must also consider if the buyer shows a willingness to sell the same gold to you later on if you want to re-buy it. To make sure you have a favorable deal, consider finding a reliable buyer who is offering fair market rates and agrees to the conditions mentioned above.
If the business premises a buyer possess are not verifiable and they do not have a BBB rating or license to sell or buy gold, they will most likely not have the expertise to evaluate the price of your gold properly. It would be best to determine if the buyer:
- Received complaints from other sellers
- Has any hidden costs like shipping fees or seller fees
- Has a decent understanding of selling and buying gold
Know the Type of Gold or Silver to Sell
After you decide to sell a portion of your silver or gold collection, consider the gold type the market generally accepts. Usually, buyers need to be aware of the silver or gold type they hold and they will ask you certain questions about the product like:
- Is it collectible or bullion?
- Is it coin or bar
- Whether it is jewelry
- Whether it is private mint or government backed currency
Such questions are vital when contemplating about selling silver and gold tax free and the answers you get for them will help you determine the right price you could get and the per ounce price. Now, let us talk about the most popular silver and gold bullions dealers buy readily.
American Eagle Coins
The American Eagle silver and gold coins are produced by the U.S Mint in a variety of metals, denominations and designs. They include 2 American coins: the Lady Liberty and the Bald Eagle.
Buffalo Coins
The silver and gold Buffalo coin that the U.S Mint produced follows the James Earle Fraser’s Buffalo Nickel design. This is a classing coin that celebrates the majestic buffalo along with Native American tribes and has been incredibly popular investors ever since 2006.
European and World Coins
Historically, silver and gold coins were being circulated since the 1880s all the way to 1930. Some gold coins, especially the British Gold sovereign, along with various others from Switzerland, Italy, Austria and France are traded until today. Similarly, historical silver coins such as the Silver 10 Kroner from Denmark and the Silver 1 Gulden from the Netherlands are still quite valuable. Famous modern World and European silver and gold coins that traders accept readily in the United States include:
- Austrian Silver Philharmonic
- British Silver Philharmonic
- Britannia Silver Coin
- South African Gold Krugerrand
- Chinese Gold Panda
- Canadian Gold Maple Leaf
- Austrian Gold Philharmonic
- Australian Gold Kangaroo
Bars
Silver and gold bars mainly match content and purity. However, they cost quite less, especially over the silver and gold prices as they are minted privately. Every bar comes with a stamp that shows its exact serial number, fineness weight etc. These are included as an extra measure of security.
Gram Pieces
Gram pieces offer arguably the easiest way to sell silver or gold. Since the pieces tend to be less than the full size of troy ounces, they are more affordable. Several precious metal refiners make gram pieces as affordable and quick assets that investors can utilize for their collection.
Jewelry
When it comes to jewelry, you will not get similar resale values like you would with other coin and bullion products. More often than not, silver or gold jewelry tends to contain alloy and it tones down their purity, making their value quite subjective to buyers. It is also worth keeping in mind that refiners have to melt jewelry down into rounds, cons or bars, meaning that there is extra labor involved, resulting in low resale prices.
Consider the Payment Method
When planning to sell gold or silver, it is important to ask how you will get your payment. Consider whether you plan to liquidate in a rush and want instant payments or if you can afford to wait for long periods in order to get high premiums on bars or coins. Remember, your urgency for selling silver or gold will help determine the buyer you will end up choosing.
For example, someone from a pawnshop could pay you right away but you may not get the best price compared to what you would get from an auction.
Find the Right Selling Option
Another thing worth keeping in mind is the selling option that will yield you the best prices for silver or gold. Mentioned below are some of the best selling options you can choose from:
Coin Shops
More often than not, local coin shops tend to be a fantastic option as they usually pay you right away for silver or gold and their market prices of numismatic coins and bullion are quite fair. Sure, the prices may not be as good as the ones offered be dealers and auctions, but they are fair considering that you will be getting money right away.
Coin Shows
These are an exceptional option for those who are selling numismatic coins. These offer fantastic opportunities to sellers who want their coins to be assessed by a variety of dealers simultaneously, helping you determine the highest price. That being said, coin shows do not happen frequently and usually need planning. Because of this, they are not the best option for those looking to sell their gold or silver quickly.
Online Dealers
Many reputable coin dealers online purchase bullion and numismatic coins across the globe. More often than not, they offer the best silver and gold rates in the market. However, they need a minimum amount for even considering whether to buy your coins. What’s more, you will need to ship these coins at your own cost, after which, there is a waiting time for the payment. Opting for online dealers would be ideal for those who want to steer clear from the pressure tactics used by coin shops and pawnshops.
Online Auctions
Selling silver and gold coins on online auction platforms is an excellent way to land a good deal, especially if they buyers are aware of the value of your asset. On the other hand, uninformed buyers will be the opposite and may offer you undesirable prices. In addition, you may need to factor in things like shipping costs, platform fees etc.
Pawnshops
These should be your last resort when planning to sell gold or silver. Pawnshops are a fairly decent emergency option for those who require quick cash but are not the best option for those who possess valuable numismatic coins. Pawnshops are there to make profits, which is why you are likely to get shortchanged when it comes to rare coins as the dealers will also try to take advantage of your desperation.
Final Thoughts
When planning to sell silver or gold, you must make sure the process is safe, convenient and most importantly, fair. Remember, you have invested in the items you possess for a decent return and the last thing you want is a loss. One of the best ways to make sure that you can sell your precious metals at a decent profit would be to opt for a reliable buyer. It would be best to choose someone whom you have done business with before.
Remember to be completely discreet when it comes to the sale to steer clear from the possibility of theft and assault. More importantly, spend some time doing research to determine the right prices for your possessions. Consider visiting this section about Gold IRAs today if you want to learn about the advantages, benefits and facts of investing in Gold IRA.
