Gold prices hit historical highs over and over again this year – so now’s the perfect time to sell your gold! Whether you have a few bits of scrap gold around the house, or have been steadily collecting gold coins for years, it’s the perfect time to make that investment pay off.
- Why Gold Keeps Rising in Price
- How to Sell Your Gold for Cash
- Compare Gold Prices and Buyers
- Ways to Invest in Gold
- More Investing Tips
Precious metals – particularly gold – tend to rocket in price when the global economy looks shaky. We saw this in the 2008 crash, for example: when currencies are unstable, metals are favoured. That’s because the value of a metal is tangible compared to currency. For centuries, we’ve hoarded gold because we’ve always known it holds value.
That means gold prices go up and down over time. If you’re holding gold stocks or physical gold right now, it’s a brilliant time to sell your assets. Historical highs can only remain so for a short time – and then, like anything, the value will dip again.
If you’ve invested in gold on the stock market, you can sell your shares when you think the price has peaked. It’s important to make sure you’re selling above the price you purchased, plus the platform fees for both the purchase and sale of the stocks, to make a return on your investment.
However, if you have physical gold assets you want to sell, there are a few ways to do so.
We’ve all seen the ‘cash for gold’ postal services. Can they be trusted? If you’ve received an unsolicited envelope in the post, then no!
You’re much better off taking your gold to a reputable dealer to make sure you’re getting the best price. Hatton Garden Metals offers a range of ways to sell your gold. From sending your scrap gold by insured post to exchanging your gold coins for hard cash, it’s a very straightforward and easy process. When you’re choosing your buyer, always look for signs they are reputable, such as:
- Clear information on Companies House that matches their advertised address
- A website domain with no hidden contact information (which matches their contact details on the website)
- A clear tracking system for the post, check, and sale of your gold
- Transparent pricing of gold on the website
- Someone who answers the phone and can help with your questions with ease
- Positive online third party reviews such as on Trustpilot
Finally: trust your gut. If a price sounds too good to be true, check it with other gold buyers. Some will offer a better purchase price than others – but any that are resoundingly out of the same ballpark are unlikely to be trustworthy.
Compare Prices and Sellers
Always shop around before you sell gold. It’s important to make sure you’re getting the best market price for your gold. Compare gold buyers to make sure you’re getting the best in customer service, reliability, trustworthiness and – of course, gold price.
Look on a buyer’s website to see if they have a gold price calculator, too. Work out the weight of the gold you’re selling and use these gold price calculators to determine how much a buyer would give you for the accurate weight. Compare across a few buyers, if you can, to make sure you’re getting the best deal.
It’s also worth remembering that, when you sell your gold, you won’t have the most accurate weighing equipment at home. So, check that the gold buyer has a clear policy on what happens if the weight of the gold you send them is less than your estimate. A reputable buyer will be fair: they’ll offer to buy it at the actual weight price, or give you the opportunity to have your gold returned to you.
When you’re comparing gold buyers, it’s easy to find websites that show lists of bullion dealers. However, remember that these won’t show you all the buyers on the market (usually only ones they’re receiving a commission from). That means you could miss out on the best deal when you sell your gold. Go direct to gold buyers to get price quotes to make sure you’re getting the best deal possible.
If you don’t already have gold assets, it’s worth considering investing in them, especially physical gold. That’s because it’s an actual asset that will always retain value – unlike digital currencies, which (as the 2008 crash proved) can mean you lose your investment altogether.
Buy Gold Coins or Bullion
This is what most people think of when they hear about people investing in gold. You can buy gold coins or bullion bars to hold the physical item yourself in a safe at home, or in a safe that you pay a dealer to keep for you. The costs of holding gold securely means you pay a fee to them – but it’s much safer than holding it at home.
You don’t need to be a millionaire to buy gold, either! We all think of gold bullion bars as the ones we see in heist films. At the moment, a 400oz bullion bar (like you see in movies) from the Royal Mint costs £595,599.66. However, you can also buy as little as 1g for £64.75. So as you can see, you don’t need thousands of pounds to buy gold!
Gold coins are also a popular way to invest in gold. They’re easy to store and keep safe, and it’s simple to sell them, too. What’s even cooler is that you can buy historical gold coins that have value not only for their gold content, but their rarity, too. For example, investing in a 2020 Gold Sovereign means you’re investing in history as well as content. It’s just like rare coins, the Peter Rabbit 50p, or other memorial coins: they hold value on the collector’s market as much as the gold market!
Invest in Gold Jewellery
If you don’t yet own gold jewellery, consider investing in some. Make sure it is marked as real gold and that you buy it from a reputable jeweller (eBay is full of fakes!). The advantage of real gold jewellery as an investment is that you can use it as an accessory. Take good care of it – you could sell it as a piece of jewellery later on, or as scrap gold (where you’re paid for the weight of gold). As an item of jewellery, particularly if it’s set with precious stones like a diamond, it could hold further resale value. If, however, you’ve worn it to death and, for example, a necklace chain is broken, you can trade that in for the weight as scrap gold.
Stocks and Shares
The stock market is one way to invest in gold. It is, however, one of the most volatile options: you’re not holding physical gold, you’re tracking the price of it. Exchange-Traded Funds (ETFs) track industry prices, while you could buy shares in singular mining companies or part of the gold supply chain instead. If you’re investing in gold shares, it’s important to spread your investment to minimise risk. You may also have trouble if, for example, a fund totally crashes. Unlike holding physical gold that still has a value, losing a stock investment means you don’t have the physical asset to sell.
Remember that, yes, gold is at an all-time high right now. So, if you want to make money from gold and have scrap jewellery around the house, it’s a good time to sell it! Don’t wait for the price to dip – you could lose hundreds of pounds if you wait around to sell your gold.
However, if you don’t have gold investments just yet, don’t panic. The price may go down in the near future – which is perfect for anyone wanting to buy – and it’ll go up again, too. Gold is one of those things that, even if it does dip, it will eventually come back up in price. If you’re buying gold now, think of it as a long-term investment.
It’s a good idea to invest in gold alongside other assets. Spreading your investments helps to diversify your risk – so if one thing crashes in the markets, you won’t lose everything.