Hypothetical Question - Where do I sell my silver?

[ChrisF]

So, although the title says Silver this includes gold.  I initially started stacking this year as a collector of silver bullion and proofs.  I then started adding a few gold coins (full sov and quarter oz QB).  I have since come to the realisation that selling all my silver will become a pain in the hoop when Im old and wrinkly as I have at most 2 or 3 of all sorts.  So I'm planning on stacking for weight primarily silver (tubes of 25 when I can afford it)  and gold (Sovs).  My concern with stacking for weight though revolves mainly around the fact that if in 30 years time I have say a 1000oz of silver where is the best place to dump it?  

I was primarily hoping for a response from those located in the North East of England as if I did sell, I would want rid of it that day to preserve maximum spot price.  I am of course assuming in my naivety that selling to a local business would be the fastest way but would it net me the most profit?  I have been looking at silver prices from some local shops and if you take into account spot is at £13 an oz at time of writing the shops are paying between £10 and £10.50.  To my mind not that great value if you are paying a premium on silver when made into coins and taking a hit when selling.  What Im after is minimising the loss at sale time.  Im planning on purchasing silver in tubes mostly for now in case we leave the EU and cant get Silver ex VAT from within Europe.     So sorry for the ramble but that leads me to the question is selling locally the best option, do I use some other method I've not thought of?  For the bonus question, should I buy closest coin to spot or pay a tad extra premium with the hopes I can sell on Ebay from tubes of 25 i.e Perth Lunars as well as the option to sell elsewhere.

Any help and advice greatly appreciated. 

[Pete]

You will never get a "good" price from any dealer for bullion because their offer takes no account of VAT ( if any ) you have paid for your coins.
Also a dealer wants to resale and make a profit whilst remaining competitive in the market place.

Now things will likely change post Brexit ( so I believe ) because we stackers will not be able to buy at the EU dealers differential ( low ) VAT margin scheme.
Sellers will consequently have less competition from the likes of GS.be, STG, etc with their low VAT on many products.

The value of your bullion will be spot or thereabouts according to weight.
Spot has been perhaps "artificially" low of late and there are people out there who believe silver is grossly undervalued so if this is correct then in time you might get a nice surprise.

As for finding buyers I am sure, at a price better than that offered by a dealer, you will be able to easily shift tubes of 20-25 at a time on this forum.
1000 ounces is only 20 or 25 tubes.

Another suggestion at the opposite end of the spectrum is to set up an eBay auction with full description and nice photographs of a generic coin or use a library photo ( but state so ).
Set up a repeat listing so you are selling 3 coins per day, at different times, 6 or 7 days a week.
Get yourself a bit of space in the garage or spare room and bulk buy small jiffy bags and ziplocks large enough to contain a coin, stationery etc as required.
Set up a despatch bench and operate like a small business with everything to hand in trays and boxes.
Use an address template on a PC and print a week's worth ( 20 say ) of address labels in one go, postage as well.
State that you only ship on a specific day once per week.  Make the one trip to the post office each week.

All this work when you get older will keep your mind ticking over and the exercise will help your health but it will take a lot of time that's for sure - but do you care ?
Of course you could eBay list bundles of coins say 5 or 10 at a time, maybe mix & match to dramatically lower the number of transactions.

 

[Paul]

2 hours ago, ChrisF said:

So, although the title says Silver this includes gold.  I initially started stacking this year as a collector of silver bullion and proofs.  I then started adding a few gold coins (full sov and quarter oz QB).  I have since come to the realisation that selling all my silver will become a pain in the hoop when Im old and wrinkly as I have at most 2 or 3 of all sorts.  So I'm planning on stacking for weight primarily silver (tubes of 25 when I can afford it)  and gold (Sovs).  My concern with stacking for weight though revolves mainly around the fact that if in 30 years time I have say a 1000oz of silver where is the best place to dump it?  

I was primarily hoping for a response from those located in the North East of England as if I did sell, I would want rid of it that day to preserve maximum spot price.  I am of course assuming in my naivety that selling to a local business would be the fastest way but would it net me the most profit?  I have been looking at silver prices from some local shops and if you take into account spot is at £13 an oz at time of writing the shops are paying between £10 and £10.50.  To my mind not that great value if you are paying a premium on silver when made into coins and taking a hit when selling.  What Im after is minimising the loss at sale time.  Im planning on purchasing silver in tubes mostly for now in case we leave the EU and cant get Silver ex VAT from within Europe.     So sorry for the ramble but that leads me to the question is selling locally the best option, do I use some other method I've not thought of?  For the bonus question, should I buy closest coin to spot or pay a tad extra premium with the hopes I can sell on Ebay from tubes of 25 i.e Perth Lunars as well as the option to sell elsewhere.

Any help and advice greatly appreciated. 

@ChrisF I know each of the main dealers in Newcastle --> Corbits, Intercoin & Newcastle Jewellery Company

All sell a decent range and good prices and have had good deals from them all. Newcastle Jewellery like to pile it high sell it cheap and get it out the door.

I have asked the same questions to them, if i ever needed to sell back to them in emergency, and they treat 95% of all gold and silver as what it is 'bullion' 

Whatever 'spot' is they will pay you 90%-98% of spot of the day regardless of it having a milk spotted maple leaf or supposedly more valuable funky series1 Lunar Rat.  

Silver is silver to them

It is unfortunate neither of these three dealers are internet savvy or have a web presence

So unless silver sees a fantastic upside in years to come, you can expect a loss

Private sales via eBay will maximise your stacks value as Pete says above and is your best bet

From these experiences and knowledge of the past few years, why i changed from buying silver to instead buying circulated gold bullion at lowest premium

I buy at 3-4% over spot, they will pay 95-98% of spot, this is only a 9% spread at worst 5% spread at best.  Selling gold at spot here on the forum always seems to generate a sale qucik enough

[ChrisF]

Cheers guys, some very interesting points from the both of you.  Its certainly food for thought.  It does look that if I was to buy silver bullion semi numis would be the way to go like Lunars rather than Brits.  I font be buying in quantities that would worry me regarding CGT.  As was stated I was going to get some silver now as come brexit I think we can dismount buying silver VAt free so I should get some while I can.  So I guess I'll get tubes of silver until 2019 then buy gold sovs after that =)

[sovereignsteve]

8 hours ago, ChrisF said:

where is the best place to dump it?

off the Tyne bridge?

sorry couldn't resist it, in a strange mood tonight, I'll get my coat

[tbone]

Get to know your local dealer and work out a trade.  I know a guy who sold many dozens of Morgans of various grades/values for a high grade numismatic coin and a bit of gold/cash.   But he knew the dealer well and didn't get ripped off.

[IamManchurian]

for me, and ive just started, but my plan is to diversify my holdings. Once i get to a certain amount, i want to trade some in for gold. Hopfully silver price goes up, if not its like a savings account anyhow and ill be happy with the return on gold.

[ChrisF]

19 hours ago, sovereignsteve said:

off the Tyne bridge?

sorry couldn't resist it, in a strange mood tonight, I'll get my coat

@sovereignsteve

I think the water in the tyne would melt anything thrown in 

@tbone   I have been planning to pop along to some of the coin dealers in Newcastle to see what they have out of curiosity if nothing else.  If I can pick up a few nice semi numis coins cheap in the process even better.

@IamManchurian Very good attitude to have sir.  Im in no rush to sell either not for another 25 - 3 years anyway   

[Nora]

On 8/15/2017 at 10:11, Paul said:

I buy at 3-4% over spot, they will pay 95-98% of spot, this is only a 9% spread at worst 5% spread at best.  Selling gold at spot here on the forum always seems to generate a sale qucik enough

For anyone in the USA (or abroad, though it could be less practical), there is a company just down the street from me in Utah, called UPMA, that has a 0% buy/sell spread.  Obviously the best that I've seen!  Has anyone seen any others with a similarly low spread?

[JohnA]

My local coin dealer gives spot on all silver. Unfortunately he doesn't like to give premiums on numismatic silver. So at least I have a place to go for quick selling of bullion.

[ChrisF]

@JohnAnsink Which dealer is that John?

[Bullionbilly]

On 19/01/2018 at 10:58, JohnAnsink said:

My local coin dealer gives spot on all silver. Unfortunately he doesn't like to give premiums on numismatic silver. So at least I have a place to go for quick selling of bullion.

You may do slightly better than spot on here 

[JohnA]

3 hours ago, ChrisF said:

@JohnAnsink Which dealer is that John?

http://www.thecoinandjewelryexchange.com/

[ChrisF]

Ah! Bit of a treck for me to get there from the UK