Is It the Right Time to Sell Your Gold?
Aside from the most common question, where can I sell unwanted gold, the next one many consumers regularly have is, when is the right time to sell my gold? Whether it is old jewellery, coins, gold…
Aside from the most common question, where can I sell unwanted gold, the next one many consumers regularly have is, when is the right time to sell my gold? Whether it is old jewellery, coins, gold desk accessories or similar, the right time has always been and will be when you need the help and extra cash in your life. The fact is, gold will always be valuable and can be converted to cash consistently, unlike other assets. Granted, right now the market value of gold is probably at one of the higher points it has been in decades but, relative to the economy and modern income levels, gold has regularly produced a good return when sold.
Gold Jewellery Timing
For anyone who is considering selling gold jewellery but not ready to do so yet and may in the future, there is very good news on how to sell gold. Given all of the economic jitters in New Zealand and internationally, gold as a financial asset is not likely to see a decrease in market demand anytime soon. And for those with unwanted or broken gold items, that translates to solid buys and good price returns when liquidating gold jewellery. It also means that week to week, gold will remain strong without a lot of fluctuation, so there’s no need to try to time the market for the peak point. The variation may be a lot of personal work to try and track while only producing a few dollars ($NZ) gain in the process. There's no best time for everyone as a standard. For people individually, the right time to sell gold jewellery tends to be when the liquidation proceeds, the cash received, can best be applied to an important or critical need. That may be a car repair, medical bill, new improvement at home, filling a pay gap, a big event like an anniversary or birthday or similar. The market has nothing to do with these events, nor should it. So, don’t delay life trying to anticipate the highest point of day financially. In the meantime, lots of gold can be eligible for a sale. Earrings missing a pair broken bracelets or necklaces, a weak or faulty clasp, or just worn down items from heavy use can be sold. The value in all of these is the precious metal content. Keep in mind, items with lower gold quality like 12 or 14 karat gold will price less than those with higher purity, like a 24 karat ring or bracelet, but they will all still sell. The best gold to recycle and sell tends to be older pieces that have been unused for a long time or tend to be broken and unusable. If you have odd earrings, a bracelet with a broken clasp, or a necklace that is tangled and beaten, you can tell yourself “someday I’ll fix this“, but if you haven’t repaired it so far, when will you do it? The high skill required combined with the relative softness of gold means it can be expensive to repair jewellery, even cost-prohibitive. Instead, when you sell gold that is damaged or broken, you can receive extra money that can be used to buy a replacement and new jewellery versus trying to fix old pieces. Once in a while, however, someone will have a gold jewellery item that is relatively new. The most common brand new pieces tend to be wedding and engagement rings with the settings included because something went wrong with the relationship and things ended quickly. In these situations, it might be better to sell the given jewellery through online channels or a jeweller where demand is better for the retail value of the items being practically new and unused. When a customer is dealing with a gold buyer, the items are being evaluated in the gold recycling market which prices the metal for spot worth, not the jewellery consumer context. This tends to surprise some folks who hope to get what they paid for a ring just a few months earlier or similar at a retail store. Much of that sticker shock is due to the jewellery profit markup to the consumer which is well over the spot price of gold adjusted for resale as scrap.
It Can Be Challenging to Sell Personal Gold
Private sellers who realize how challenging it can be to safely sell personal gold are off to a good start. There are a lot of characters out there who would love to buy gold off of an unsuspecting person at a steal. Finding a reliable gold buyer for unwanted, broken gold items and jewellery to recycle is like finding a gem in the middle of the desert. While there are lots of channels available, especially online now, most tend to be unreliable or cost the consumer too much with hidden fees and traps. A solid, trustworthy gold buyer will provide a number of key benefits any consumer should expect and be looking for, including:- A reliable and verifiable business presence in New Zealand
- A transparent process either online or in person for safe selling of personal gold and similar
- A clear education process so a consumer understands what to expect and what is involved
- A fair pricing schedule connected to the given precious metal market
2021 Forward Will Continue to be a Good Time to Sell Gold
Gold prices have steadily increased in the past couple of years and finally tapered off a bit with the closing of 2020. Ask anyone who studies economics, finance or investing about gold and he will likely testify that the price of this precious metal has skyrocketed at an unprecedented rate in the recent past, especially since 2013. In fact, many such experts advise to sell gold jewellery and other gold items right now in order to capitalize on the high price while it still remains at current levels. Part of what drove the price up was the utter financial chaos in the Spring of 2020. “Risk assets” initially surged after the 2016 American presidential election and promises of massive deregulation as well as a trillion dollars’ worth of infrastructure spending being on the way. However, a lot of those promises just didn't manifest as quickly as expected. So, people with money to invest seeing the public markets overheated decided gold was a safe haven for value protection. As demand for gold pushed things higher, 2019 saw a record reach for gold rising when everyone expected it to back off. The trend seemed to be ready to reverse in January 2020, and then news of an unknown flu-like virus started coming out of China. People began to panic again when it got serious by February. Substantial amounts of money have gradually moved away from equities toward gold, commodities and bonds. Gold had always been inversely correlated to currency, especially the American dollar, and the U.S. dollar hadn’t exactly been bolstered in the manner that the current administration under President Trump had promised. All of these factors combined helped drive gold up further, even after the momentary dip in March 2020 when COVID arrived in full fashion. Gold has historically performed best when fears of inflation abound, all had plenty of that by mid-March 2020. The Spring panic dip saw a massive migration of money to gold and other safe havens as people worried that various governments were beginning to lose control. The constant barrage of news video showing protests and clashes in the streets with people and police didn't help any. So here we are again at the beginning of another year, and the same question exists as to whether gold will continue to rise, stagnate or fall. Instead of asking and wondering more, people are in a very good position to act and sell their gold now. Gold jewellery, gold coins, gold bullion, scrap gold or anything else with gold will sell well right now. The precious metal’s price has gradually ticked up to the point that most of those who own gold can sell right now for quite the tidy profit versus anything they paid years ago, even at spot market pricing.
