5 Things You Should Know About Selling Silver

If you’ve been stashing silver bullion like a modern-day pirate, waiting for the right moment to cash in, the time might be now. But how do you sell silver without losing your hard-earned treasure to dodgy deals and uninformed decisions? Whether you’re a seasoned investor or someone who inherited a mysterious stack of shiny bars, here’s a sensible guide to navigating Australia’s silver market.

Know Your Silver Like You Know Your Coffee Order

Before you sell silver, make sure you actually know what you’re selling. Pure silver, often marked as .999 or .9999 fine silver, is the gold standard (ironically) of the silver world. Coins, bars, and rounds can all have different values, depending on their purity and weight.

Just like you wouldn’t pay top dollar for a flat white if it’s actually a lukewarm instant coffee, buyers won’t fork out premium prices if your silver isn’t up to scratch. Get your silver professionally appraised, and don’t forget to ask for documentation if you’re the proud owner of silver with historical or collectible value.

Timing Is Everything – Play the Market Like a Pro

Selling silver isn’t just about finding the right buyer; it’s about picking the right moment. Keep an eye on the spot price of silver, which fluctuates daily based on global supply and demand. Websites like the Perth Mint can give you live updates on prices.

Pro tip: Silver prices often spike during times of economic uncertainty. If the headlines are full of doom and gloom, your shiny stash might be worth more than ever.

Choose Your Selling Avenue Wisely

When it’s time to sell silver, where you sell can make or break your profits. Here are your main options:

• Bullion Dealers: Reputable dealers are your safest bet. They’ll offer a fair price based on the spot price and usually handle large transactions with ease.
• Online Marketplaces: Sites like eBay can be tempting for selling directly to other buyers. But beware – fees, shipping costs, and the occasional scammer can eat into your profits.
• Local Buyers: Pawnshops or jewellers may buy your silver bullion, but they often offer prices well below market value. These are best for quick sales, not top dollar.
• Silver Exchanges: Specialised silver trading platforms can connect you with serious buyers. Just make sure you research the platform’s credibility before handing over your bullion.

Haggle Like a True Aussie

Once you’ve found a potential buyer, don’t be afraid to negotiate. Selling silver is part art, part science, and a sprinkle of cheeky charm can go a long way. Armed with knowledge about your silver’s purity and the current market price, you’re in a strong position to secure the best deal.

Remember, some buyers may try to lowball you, especially if they sense you’re inexperienced. Stay confident, and don’t be afraid to walk away if the deal doesn’t sparkle.

Keep It Legal and Tax-Friendly

Here’s a less glamorous side of selling silver: the paperwork. In Australia, selling bullion might be subject to capital gains tax (CGT). If you’ve held your silver for over 12 months, you could be eligible for a CGT discount. Keep records of your original purchase price, date, and the amount sold to make tax time easier.

And always check that your buyer complies with Australian law. Reputable dealers will request identification and issue receipts, keeping everything above board.

Don’t Forget to Celebrate

You’ve done it – you’ve successfully sold silver! Whether you’re reinvesting the cash or treating yourself to a long-overdue holiday, take a moment to toast your savvy selling skills.