What is a Good Price?
By now you know the type of jewelry you have for sale, the weight and the purity. You are ready to learn how to figure the value of your gold jewelry. Remember your calculation of the gold disco jewelry in our ‘Gold Purity’ tab? It was based on .999 (24k) spot gold price of $1500 a t.oz. You converted the .999 spot price to the actual purity of your gold .585(14k) and .750 (18k) either of which is not pure so it will need to be refined. The point is this process costs money. And then the gold buyer needs to feed his children and pay bills. And if the buyer is reputable, in most US states, the gold purchase will need to be held for a period of time (10 to 30 days) while the local authorities review the purchase to make sure no monkey business is going on. A lot can happen to the value of gold over 30 days! Factor this into the price a gold buyer will pay. In other words don’t expect full market spot price for your scrap gold jewelry.
How Much Money Should You Expect
Gold buy prices obviously vary from buyer to buyer. If you plan on selling your gold to a mail-order firm or a mall-kiosk expect the 20-year old employee to pay in the neighborhood of 25% to 40% of spot gold. In other words they want to keep up to 75% as profit. These places are more of a convenience for the gold seller and you end up paying a lot for it.
Head to a pawn shop or a local retail jeweler and expect to see values rise from 30% to 60% of spot gold. This means they want to make up to 70% commission. Sometimes your best bet is your own family jeweler! However, your goal should be 70% or more of the gold market. That leaves the gold buyer with 30% or less commission. And keep in mind the higher the gold jewelry purity and the more scrap gold jewelry you have to sell the better the payout in terms of a percent of spot gold. Again, your goal should be 70% of more of current spot gold so with that said let’s get back to your hypothetical disco jewelry deal.
Your disco gold jewelry is valued just over $1700 based on 100% of current spot gold market, right? Your goal is to sell it for at least $1200. So before your go out-and-about know the price your want for your gold and have your quotes from gold buyers ready. Make appointments with gold buyers that have: Quoted a price on the phone or email; Made you feel comfortable; Have a positive reputation; A specialization in the type of gold jewelry you are selling. You are now ready to venture on to the lion’s den!
Click on the ‘Gold Buyer’ tab to familiarize yourself with the final element required to maximize your gold jewelry sale.