Well, my wife has been to many auctions, but usually for misc. collectibles and boxes of junk she somehow turns into good cash on E-bay. I'll have her with me, so I'm not TOO worried about the auction process itself. However, she has no interest and never paid attention on coins or silver, other than when getting home to tell me about it. So, details here, and maybe more than needed. We live in a pretty rural area and the coming auction is the same auctioneers at most of them my wife has been to. Sometimes they are packed, other times almost nobody there. To top it all off, an old friend in another State just hit his first auction, rural, only 5 people showed, and he scored 100 Morgans for $1,400. Besides being rural, this auction will be on a work day at 5 PM and most towns far enough away I can't see "many" getting there in time, and the inspection is open at 2 PM. I'll probably leave empty handed, but IF I walk into a scene of few bidders I have some questions... Knowing I won't likely run into 14 x face, I need to figure out what my max is assuming a fast resale. I can calculate current melt value quick enough, but since I'm not looking to hold it I don't want to go that high. Being my first auction and a newb on coins I also don't want to consider numismatic value and leave that to higher bidders if it happens. So, while it's obviously opinion and will vary, what percent of melt would you consider safe for a fast resale? It seems on E-bay lots of 90% are going for above melt. 19-20x face for halves and below, and individual Morgans or Peace for $25-27. So, (made up example) would 15-16x face be safe, as high as 18x for Morgans? Otherwise, all I know is they are putting the silver up in 100 total lots, and I don't know what size lots. Besides not likely I'll get lucky since they are advertising silver, the info will come in more handy to let my wife know what to do when she runs into it at other auctions where it's smaller amounts not specifically advertised
It doesn't matter much if it's a live auction or online. The numbers are all that matters. So in your example, if you got a $10 face lots for $150 and could sell them for $170-180 (after fees), that's ok if you are happy making 15-20% on your investment.
Well, yeah, and that's why I mentioned the numbers I used were random. 5, 10, 15% profit are also all decisions. What I'm looking for I guess is where the safe line is to turn them around period. I was initially thinking a percentage under melt, but can't believe things on E-bay going well above melt. I'm also sure it comes and goes, and other venues lower. I see some "Want" ads here offering 16 or 16.5x, but spot has changed since. So, for those who frequently sell, what percent of melt value is most frequently seen, offered, accepted, etc. Other than seeing these crazy E-bay auctions I'm trying to avoid going to 90% of melt, only to find it's rare to get full melt value and I'll be sitting on it awhile. Again, I know the questions are vague Maybe a better question would be "Is it normal to get 100% of melt or better on E-Bay, and 80%+ even here?".
Don't forget you have auction house fees as well. Most are around 12%. So if you're making say 15% on a flip before you deduct auction fees, you're really only making 3%, or about enough to cover your gas to and from the auction. If you just like to break even, then go for it. Otherwise, don't forget the hammer price is not the final price you'll be paying out the door.
Don't forget you have auction house fees as well. Most are around 12%. So if you're making say 15% on a flip before you deduct auction fees, you're really only making 3%, or about enough to cover your gas to and from the auction. If you just like to break even, then go for it. Otherwise, don't forget the hammer price is not the final price you'll be paying out the door.
This auction company hasn't released yet the auction terms, but most of theirs have no buyer fees at all, yet others as high as 40%. They work it out with each family, owner, etc. but I'll be sure to take those into account, should they be applied on this auction. I hope they don't though, since math is much simpler without, lol. Other than my wife needs to be even more aware to take it into account when she runs into it while doing her own thing since the fees vary so much.
