Selling Gold Jewelry: Money-Making Tips to Get Started
Written by Danielle Healy
August 24, 2020
Are you looking to make some extra cash or clear out a tangled mess of a jewelry box? Selling gold jewelry can be a great option to achieve both! Unfortunately, there is no way to guarantee how much you'll get for your unwanted jewelry. Still, we've outlined a few money-making tips to increase your chances of maximizing returns.
Calculate How Much Gold You Really Have
Gold jewelry is rarely made entirely of gold. More often, gold jewelry is mixed with other metals in a process called “alloying” with the gold's purity reflected in carats or karats. The maximum karat reading is 24, while the most common karat reading in the United States is 14. Most jewelry is stamped with a hallmark that indicates the karat weight. To calculate the gold purity percentage, take the karat number, divide it by 24, and multiply the answer by 100. The higher the percentage, the higher price you can ask when selling.
If you are unable to read the hallmark stamp on a piece of jewelry, have a reputable jeweler or repair specialist test the metal before accepting the price of your piece. One way to do this is through a jewelry appraisal, which brings us to our next point.
Get an Appraisal
Many gold buyers pay by weight. In addition to bringing in any gold jewelry you want tested for purity, check your stash for pieces with intricate detail work, or those you suspect could be valuable antiques. Such an item could potentially be worth more as a finished piece than for the gold metal it contains. Getting a certified appraisal is a dependable way to confirm or deny any suspicions about a piece's exceptional worth.
Monitor the Price of Gold
Many global factors drive the price of gold, causing it to fluctuate frequently. When it comes to selling gold jewelry, knowledge is power. The market price won't likely reflect the amount you will receive for your unwanted jewelry, but having a sense of gold's current market value will give you a workable frame of reference when comparing multiple offers. If you are in no rush to sell your jewelry, monitoring the price can also help you decide when it's the best time to start selling.
This year, the price of gold has risen to record highs not seen since September 2011. Gold is considered a “safe haven” asset because it retains its purchasing power over long periods of time and performs well amidst economic downturns. If you've long been considering selling off some gold jewelry in your possession, now may just be the time as analysts believe prices could surge to as high $4,000 per ounce within the next three years; however, global events like the development of the Coronavirus vaccine could drastically impact these projections. So keep up on market fluctuations and decide when it's the right time for you to make that sale!
Research Reputable Gold Buyers
You've likely seen more than one “We Buy Gold!” advertisement in your lifetime. The options for places to sell can seem endless, but doing ample research on reputable gold buyers is one of the best ways to protect yourself from being underpaid for your jewelry. Be diligent about checking reviews and asking about selling licenses, accreditations, and the processes they use to determine their prices. A reputable jewelry buyer will be transparent with you on all of these fronts. It's also wise to get quotes from multiple sellers, as the offers you receive might vary significantly from buyer to buyer.
Even if you're selling gold jewelry that is no longer wanted, you don't want to lose a potentially valuable asset. Before leaving your jewelry with a seller or sending it off to one, photograph and document each piece's information. Any appraisals you had done before selling can also be used for insurance purposes in the event of a loss.
With these tips, you'll be better prepared to make your gold jewelry selling experience pleasant and profitable! Have a piece in mind that needs an appraisal? Have jewelry in need of repair? Comment below with your questions, and we'll help you get started!