Maximizing Your Profit: Where to Sell Gold for the Best Returns During Peak Prices
This article originally appeared on blogsternation.com
Gold is a valuable asset for your investments and a smart way to diversify your portfolio. Whether you’re holding bullion, jewelry, or coins, choosing when to sell your gold will have a major impact on your returns. No matter why you’re selling, knowing when and where to sell will make a significant difference in your profits.
Not sure how to know when or where to offload your precious metals investment? This guide will help you understand the right time and place for your gold transaction.
Maximize Profits When Selling Your Gold
When you want to sell your gold you need to know when to sell and how best to initiate the transaction. That means watching the market and following sales best practices.
Market Indicators to Track
Selling gold is all about timing. There are three main indicators to watch that will alert you to an impending jump in gold prices.
Uncertain economic conditions: It’s good for gold when people feel uncertain about the economy. Track the news for reports of economic shocks, inflation, sudden stock market dips, and high interest rates.
US Dollar values: Gold value goes up when the dollar weakens compared to other currencies. Track currency exchanges to clue into potential increased gold prices.
Demand: Gold has a lot of uses in consumer goods, industry, and electronics. It’s also relatively rare. Big jumps in demand for these markets, especially in large countries such as India, can foretell big increases in gold prices.
Best Practices in Selling
When it comes time to sell, follow these best practices to ensure the most profitable transaction.
Understand what you own. If you own bullion or 24-karat gold, this is easy since they’re as close to pure gold as you can get. Selling jewelry is more difficult because you could be dealing in lower karat gold. Have any jewelry appraised to understand how much gold you actually own.
Use a merchant specializing in gold bullion. Many places, such as pawn shops or discount jewelers, buy gold cheap and resell it for a premium. Avoid these businesses and instead use a bullion dealer. These brokers buy and sell gold as an investment and offer as close to market rates as you can get.
Thoroughly research any buyer before completing a transaction. Read reviews and secure a quote before you sell.
Jewelry Store’s Online Programs
Some jewelry stores offer a gold buying program through their website focused on purchasing bullion. These jewelers are selling gold on the investment market, rather than reselling jewelry as a retailer, so you’ll get a better price than a local shop. Most of these stores have a quote tool that provides an estimate based on how much gold you’re selling and will pay cash one business day after you send your gold.
Online Gold Bullion Buyers
Due to their low overhead and ability to operate at scale, you’re most likely to receive your best price from a digital bullion dealer. The gold market is also full of many different players, so they’re incentivized to keep their prices low. Just remember to thoroughly vet any online broker. The best ones will send you a shipping label with a tracking number and include insurance. Choose a buyer who pays out when the tracking number shows the gold as shipped, not when it’s delivered.
Local Gold Dealers
If you live near a major city you should have access to a gold dealer. Like their online counterparts, these dealers buy and sell gold investments, not jewelry for retail sales. If you find a trustworthy local dealer (read lots of reviews before choosing!), you’ll probably get a lower price but can walk out the door with your cash in hand.
No matter when or where you decide to sell your gold, be careful and follow the tips above to get the best price for your investment. Follow the markets, know your gold’s value, and choose a trustworthy and reputable dealer and you’ll maximize your returns and profits.