Many gold investors do so as a means of having a safe or conservative investment in their overall portfolio. Many say that gold is a good investment in uncertain times. If you want to learn more about the market, read on.
Get a good education in precious metal pricing before you try to buy or sell gold. Silver, gold and platinum prices vary from day to day, so spot check a price on the day you plan to do business. A higher percentage over the melt should be expected when purchasing fractional gold pieces such as 1/2 or a 1/4th ounce against a one ounce piece.
If you want to start investing in gold but don’t have much money to get started, think about buying scrap. If you do this on a regular basis your collection would grow quite quickly. Store it in a safe hiding spot until you have accumulated enough to cash in.
Make sure you verify the price of gold the same day you plan to buy it. This information is available on a number of websites. When you do buy, avoid more than an 8% markup. Some sellers try charging more, but that’s overcharging, which is generally unethical.
Never sell to an unlicensed gold dealer. While you could still get ripped off, a licensed buyer is more likely to be reputable. There are a number of people out there willing to buy, so avoid thinking you have to go with the first buyer you see.
Buying gold can exciting, but keep that to yourself. You really don’t know who can be trusted when it comes to your investments. Do not tell others about your investment, and keep it locked up either in a home safe or at a bank. Doing so means you are protecting your gold.
It is important to understand that market before becoming active in it. There are bad companies in any market, but this market is known for having many. Despite your best efforts, some buyers and sellers are more than happy to cheat you wherever possible. For this reason, it is very important to thoroughly research any gold buyer you are considering.
Get a good grasp on what you own. Just because something looks like gold doesn’t mean it is worth gold’s weight. Other metals are frequently put together with gold in order to make it stronger. These metals can reduce the value of gold. Many items are only gold plated. If you’re not sure about the value of your items, you should have them appraised before you try to sell.
Always research the market price before you try and sell your gold. Check out the competition and what they are offering. This is a price point that you can work with. Start the bidding a bit above what you really want. That way, the buyer can negotiate a little.
When at a gold party, talk with the rep about how they make the determination on the karats of the jewelry being sold. In most cases, the item is simply stamped. However, there are some times when there aren’t visible signs, so the reps have ways to determine it. One simple way to do this is to use the acid test; if your rep does this, he might be a novice in the business.
Before selling jewelry as scrap, have an appraisal done. This tends to be true for pieces that have intricate workmanship and details. While you will probably pay to have an appraisal on your gold, this can certainly increase profits further along the way. Appraisers may know others that will buy your precious jewelry, too.
While many people think that investing in general is hard, investing in gold is not hard if you learn a little about how it works. Since you just read about great tips on gold, there really is nothing preventing you from jumping into this market. Use the tips to help you invest more wisely.