| Author |
 Replies: 15 / Views: 1,727 |
|
|
Valued Member
Canada
191 Posts |
I was trying to buy some old silver canadian coins. They were still too expensive. I asked can you sell lower. The guy said cant, cause that lower than bullion value. Where can you sell silver, gold and platinum for bullion value? If I try to sell it at a dealer they will take 20%. So I dont understand how anyone can buy such coins as an investment when it depreciates immediately by 20%. How does anyone other than dealers buying coins from people desperate to sell make money?
|
|
|
|
Valued Member
United States
423 Posts |
With silver approaching $50 USD per ounce it is a struggle. 20 percent seems high. There are buyers at the 10 percent level if you can find them.
|
|
Moderator
 Australia
16470 Posts |
How? Easy.
1. Buy coins.
2. Wait for price to go up more than 20%.
3. Sell coins.
Buying something that does not offer any dividends, rent or other return on investment while you own it, but rather all the profit comes from gambling that the price goes up before you sell, is technically "speculating" rather than "investing".
Don't say "infinitely" when you mean "very"; otherwise, you'll have no word left when you want to talk about something really infinite. - C. S. Lewis
|
|
Moderator
United States
171012 Posts |
Quote:
Buying something that does not offer any dividends, rent or other return on investment while you own it, but rather all the profit comes from gambling that the price goes up before you sell, is technically "speculating" rather than "investing". 
|
|
Pillar of the Community
United States
5340 Posts |
Well, for me the key has been to buy gold and silver more than 4 or 5 years ago when the value of gold was 1/3 what it is now and the value of silver was 1/2 what it is now.
You have to play the long game, in other words. There is no quick money to be made.
|
|
Moderator
United States
171012 Posts |
Quote:
Well, for me the key has been to buy gold and silver more than 4 or 5 years ago when the value of gold was 1/3 what it is now and the value of silver was 1/2 what it is now.  Quote:
You have to play the long game, in other words. There is no quick money to be made.
|
|
Pillar of the Community
United States
1024 Posts |
The margins in the us are slim on gold and silver. 20% sounds way to high. But if you are buying 10 th ozs then the premium is much higher. Whether gold or silver.
|
|
Pillar of the Community
United States
2378 Posts |
Or you can buy below spot when the chance arises and sell it at melt or below when you can (for a quick sale and happy customer). Been doing it for some time now. Best part about it is that I get to upgrade my collection for free as I'm doing it. Make a little cashback on my credit card and another app that I use on top of profit from flipping my purchases. Now and then I get a deal that's so cheap I just keep it instead of flipping it. My coin collecting that started when I was 10 has morphed into an obsession to get "good stuff cheap". I've come to realize that I'll probably never end up with an 09Svdb using this system but I can live with that as long as I'm getting a deal on something.  |
|
Pillar of the Community
United States
7266 Posts |
Quote:
So I dont understand how anyone can buy such coins as an investment when it depreciates immediately by 20%. How does anyone other than dealers buying coins from people desperate to sell make money? That's why it is called a "Hobby" not an "Investment Program".
|
|
Pillar of the Community
Canada
5091 Posts |
To sell at bullion you need to open a store. Then you need to pay rent, etc. and then a 20% margin doesn't seem so high. I doubt that any dealer could do it for less than 15% unless the demand for a particular item was high. An ebay store would have less overhead of course. |
|
Pillar of the Community
 United States
4765 Posts |
To successfully buy and sell coins (including bullion), you need to know what it is worth. And not just melt value.
And then, hold fast on your conviction. Don't be bullied by a silly lowball offer. Be prepared to hold the coin for a long time.
Same goes for buying. Know your coin. Don't grossly overpay. Pounce when you see a deal.
|
|
Pillar of the Community
United States
3297 Posts |
I made money last week selling 1-1/2 oz of gold. +25% ($1100) on a purchase made a year ago.
But past results are not a guarantee of future success. Been there, done that.
"Two minutes ago I would have sold my chances for a tired dime." Fred Astaire
Edited by thq
09/27/2025 6:14 pm
|
|
Pillar of the Community
United States
7171 Posts |
You have to think like a dealer, buy low sell high and turn over inventory.
Right now most dealers are offering below spot for gold and silver and selling it for spot (gold) or slightly over (silver).
You have to over inventory fast and get ready to dump it if the market sours. It's a tricky game and you need lots of cash.
|
|
Valued Member
United States
273 Posts |
Quote:
"I made money last week selling 1-1/2 oz of gold. +25% ($1100) on a purchase made a year ago." *** Edited by Staff to add Quote tags. Please use them in the future.  ***If you can recollect the details, this is exactly what the original poster was asking. Since not many of us have actually sold anything, the numbers would be instructive. Also that this is a longer term game/hobby and not conducive to short term flipping, When trying to sell real estate there is industry devoted to estimating what it is worth and trying to sell a collectible art piece, forget about it. But on any given day, the entire world knows what spot is and with this knowledge you can shop for the best deal. As best you can remember what was spot or premium to spot when you bought and what was discount to spot when you sold?
|
|
Valued Member
 Canada
191 Posts |
When the coin dealer says "its less than bullion value" so he cant offer a lower price, I assume it means he can get bullion value for it.
My question is who will give him bullion value for his silver or gold coins?
Does he mean collectors will? I'm a collector and I wont. He makes it sound like threres a company out there that buys silver from dealers at bullion value. Is that true?
|
|
Pillar of the Community
United States
7171 Posts |
When a dealer offers below spot/bullion that means generally 3 things. 1) he has to much 2) he expects the price to drop 3) he is wholesaling the lot.
Lately from speaking to my dealer he is wholesaling more then usual as a lot is coming in.
Edited by hfjacinto
Yesterday 09:42 am
|
| |
Replies: 15 / Views: 1,727 |
|
Posted 09/24/2025 06:45 am
