Gold is possibly one of the oldest forms of legal tenders we all know of; it is all over the world recognized for its rarity and value. While gold prices tend to fluctuate within a very short period of time, a patient investor can do quite well if he or she knows what to look for. Buying and selling gold is a fun way to earn extra cash and if buying old is something you want to be a part of, here are top tips on how to make money by buying Gold.
Know what affects gold prices
When the economy is doing quite well, prices tend to fall and when the economy is bad, prices soar through the roof. It is because of these very reasons, a number of investors cling to the value of gold when their financial future remains uncertain. If you want to make good money, buy when the prices are low and sell they are high. For most people, this may sound like an obvious tip, but if was a walk in the park then every investor would actually do it. If you are to buy gold, then do it when no one wants the precious metal. It cannot get better than that. Moreover, if you have bought a good amount of gold; do not be a hurry to sell your gold; hold that gold. When it comes to investing in gold, patience is everything. Get as much gold when the economy is doing great and prices of gold down. Keep in mind gold is actually a kind of long term savings asset and day to day prices are extremely volatile; do not panic and sell your gold just because you think the prices might fall in the short term. Once you do that, wait for the economy to come grumbling down for it always does, and when the prices soar through the roof, dust off your precious metal net in thousands of profits. Amazing isn’t.
Buy gold that no one wants or in wholesale
Technically, a good number of gold transactions largely focus on quality gold coins. The condition, as well as, rarity increases the price dramatically. When you look across the market, there are plenty of gold coins, scarp and even bars that are not in perfect condition or are just plentiful. You can actually buy them cheaply from other gold dealers who want to unload them since people are looking for high quality gold bars and coins. The best part, when the prices of this precious metal go up, your less quality metal will sell jut like the rest. As if that is not even enough; buy as a wholesale, but sell as a retailer. If it is something you can, look for any opportunity to bulk your gold in bulk and bring down you expense. Normally, most gold dealers would waive sales tax, as well as, shipping if you buy a certain amount of gold; take full advantage of such offer. However, when you will be selling, sell as a retailer to the public. Plus, if you can, sell you gold on the online auctions sites or to other investors who are not as brilliant as you. It always pays to think more than others.