I Sold $25,000 in Gold to a Local Coin Shop – Would it be Different Today?

Just going to do a quick voice check Here Before we get started Sound [Music] In 2016 I sold a tube of American Gold Eagles for 12.50 per ounce I walked away With 25 000 and maybe that's an example Of why you shouldn't sell your gold Without significant cost because that Same tube of gold today would be worth About twelve thousand dollars more it Might also be an example of how premiums And other costs can make it a more Expensive way to save because I lost Around fifteen hundred dollars on that Sale selling the gold for less than I Bought it now we're going to ignore some Of that I have a fragile ego we're just Going to run through the mechanics of Making a similar sale focus on what we Could expect today so we're going to Look at some pricing we're going to talk About some specific options that we have To sell and more or less ignore the fact That I lost a little bit on that Particular sale a little bit more by Selling at a bad time partly because It's just not really relevant that was About specific timing nothing I do in The future is going to match those same Circumstances and then partly because There's also a lot more to the story of That sale I had a significant cause I

Bought a property and then on top of That I bought that gold using cash that I'd carved out from a relatively loose Budget so that was money that maybe I Would have otherwise wasted and then if We just cut right to it the property I Purchased has appreciated a lot more Than that fifteen hundred dollar loss From the coin sale or the twelve Thousand dollars in value that I guess I Would have had today had I held on to it So it's not something I look back on and Regret and I've been able to replace the Gold I sold by now anyway but that's not Really the point So let's look at a sale like that Selling a tube of gold is going to be Different than selling an ounce or two If I want to sell a single coin maybe Even a few I have a lot of options I Could list it on Reddit Facebook Craigslist I could take it into a coin Shop or Jeweler or I could sell it to an Online dealer like JM Bullion those are The obvious options but if it's a Significant amount of gold like a two But one ounce coins or more and I want To move it quickly say inside of a month There's really no way that I'm going to Sell to a buyer that I don't trust so Big sales to me I mean local coin shops Are online dealers so when I made that Sale in 2016 we just didn't have as many Options as we do today local coin shops

They were the clear place to go I saw a Video recently from a person calling a Bunch of random shops using the voice Modulator and if I remember right he Didn't get reasonable options from those Buyers and that's part of the reason I'm Coming back to this topic again I Haven't gotten very deep into the Buyback price what you can expect to get That really shouldn't be a big mystery But knowing who to go to and how to Handle sales above a certain level I Think that's the more important part Than what a few random shops are Offering so let's just jump back to the Video I referenced for a minute the guy Calling around using voice modulator I Mean just think how a car dealer would React if you called out of the blue Sounding like a robot from the 80s and Then ask them what they'd pay for your Car now what they'd say is bring it in And then they'd assume you wouldn't it Just it's going to sound pretty fishy Now the color I'm talking about wasn't Rude in any way he was just trying to Protect identities but I had a little Bit of trouble following that video Because each potential deal was Dead on Arrival the buyer needs to be Comfortable with you too so starting off With a sketchy sounding voice modulator That immediately tells them that you're Hiding something from them now luckily

For us I'm able to make my voice sound Like a real person so just to make sure The deal I got in 2016 isn't completely Irrelevant today I made six calls I made Two to local shops two to shops that I'm Familiar with out of the area and two to Shops that I really just picked at Random and in each case I told them I Have a tube of American Gold Eagles and A tube of American buffaloes that could Take their pick I asked them if they Were interested in buying either one and Then I asked them for a price So the random shops that I picked well They both said they'd take Eagles or Buffaloes at spot and when I said the Coins were in perfect condition and I Was hoping for two percent over spot one Said bring them in and the other said Spot was the best it could do it more or Less told me off now I didn't ask the Second one if he'd take the whole tube In a single purchase but the first was Interested the other four shops they all Said they were interested in either tube I guess one gave me a it depends on Timing and they each quoted about one to Two percent of her spot and actually They'll give me numbers but I have a Calculator too the shop owners I know They confirmed they're using two percent Over spot So this is all pretty similar to what I Got in 2016. my local shop offered two

Percent over spot for the tube at the Time if I remember correctly I'm pretty Sure the timing today it would work in My favor I could possibly negotiate that Higher but that's a pretty short-term Thing both my local shops said they Already had orders in for 2023s but they Don't have anything on the shelves and I've seen the same from the shops that I've stopped into recently it's just a Tough time for inventory I'm trying to Ignore that a little bit but one did say That I would have to sell before his Order came in mid to late January or I Might be waiting he said it depends on His inventory any other time so when I Found all seems fair and the Transactions would all be pretty easy Two percent on top of spot that's the Lowest bid that I would take and I don't Think that that's overestimating I'm Going to get to online dealers in a Minute but before I do there's an Elephant in the room and it looks a lot Like a taxable event disclosure any cash Transaction above ten thousand dollars In the United States when do an IRS form 8300 and that happens locally or online So if you're trying to keep it all Mysterious you can view that as a Negative but one thing to consider here Is that if you're going to turn around And use those proceeds for something Like a down payment on a property with a

Loan Underwriters they're going to want To know where you got it they're going To require documentation from where that Mysterious cash deposit came from now in My case in 2016 I don't have any problem Drawing attention to a loss I lost Fifteen hundred dollars so there were no Capital gains but yes you will have Gains taxes to consider if you have Gains tax forms they're going to make Sure of that and here in the United States capital gains on bullion can be Taxed up to 28 so that's just something To consider with large transactions and Now that we're past the disclosure angle And we don't have to discuss how much we All enjoy taxes in the comments we can Cover the online dealer's buyback Programs now any online transaction Comes with a paper trail and some people Don't like that you also have to ship Your medals to the dealer some people Don't like that either but selling to an Online dealer has gotten really easy Lately JM bullying and appmax both have Very easy processes that even help with The process of sending the metals in JM They'll tell you exactly what they're Willing to pay before you even reach out So right now we know they're paying Three percent over spot for random Year American Gold Eagles so really not bad At all This idea that it's all a mystery how

Much you'll get if you sell your gold And silver is probably only around Because it's not as interesting to look Into selling your medals as it is to Look into buying them and if you're Afraid that timing might not be on your Side well I found the one to two percent Plus spot to be very consistent for say The past decade for Eagles buffaloes It's the same thing Maples krugs they've Always been spot to me and then less Popular choices it really depends on the Dealer and what you're actually selling Now if you have any question though all You have to do is find the item on JM Bullion site and look for the sell to us Price or just give them a call if you Don't want to sell online though you Should really reach out to some local Dealers And if you want to make this easy on Yourself down the road be sure to buy Standard bullion popular items that Dealers recognize at least as your base I personally I try to create some Uniformity here to really simplify Things if I do need to sell a tube of Eagles is still a unit I don't have to Get multiple quotes So it's just as easy To get a price on a tube of eagles as it Is to get a price on one same goes for Selling them everybody knows what They're getting so it's just a lot Easier to liquidate than selling 20

Random coins I think I alluded to this in the Beginning but if I'm not looking for a 25 000 sale or a thirty seven thousand Dollar sale if it's a smaller sale I can Probably find private buyers who will Pay more and it could probably sell any Gold coins that maybe weren't the best Choice to buy I can just get away with a Lot more then I can if I'm looking for That one big sale I've found that I can Sell just about anything as long as I Have time and I'm willing to do some Work Where this whole thing gets important is How it relates to stacking larger Percentages of savings in Gold I Wouldn't be comfortable building up Dozens or hundreds of ounces of gold if I didn't know how to quickly sell it in An emergency I wouldn't want a two Hundred thousand dollar down payment Locked up in Gold without understanding The process to convert it back to cash It I wouldn't want twenty five thousand Dollars locked up if my goal though was Just put a little bit away at a time More or less as a hobby or something Exclusively to hand down to my kids Someday then these rules of efficiency They Don't Really apply somebody is Going to have a little bit more trouble Selling that Homer Simpson coin 40 years From now but it won't be you if you're

Thinking about this more seriously Though and you plan to keep a Significant amount of wealth and gold I Don't think that I can overstate just How important this is to understand the Process of selling it allows you a lot More options to sell quickly if Something sneaks up on you and it makes You more comfortable holding larger Amounts knowing that it's convertible Wealth rather than just an object that You continually pay to accumulate but Never plan to use now you might find That your local dealers won't buy more Than a coin or two at a time and you're Going to want to know that so at a Minimum I would recommend reaching out To a few local shops if you have any in The area and ask them what they buy what They pay and if they're any timing Considerations and if you don't have any Local shops give one of the online Dealers a call because pricing it Depends on timing and who you're dealing With and you don't want to leave that to Chance if you ever need to use any of The gold or silver that you've built up It's easier to buy than it is to sell And I think that that's the most Important takeaway so if you have any Information on selling in your area I Think it's good for all of us to know we Should all be familiar with our local Selling options but I just think it's

Good to know what others have found and Then while you're in the comments be Sure to hit that like button if you Found any of this interesting be sure You're subscribed with notifications Turned on if you'd like to see more on The topic and if you're still here Thanks again for watching I always Appreciate your time Take care [Music] Thank you Foreign