Buying gold and other precious rocks can be a good investment. You just need to know the basics to maximize your profits. Knowing the value of what you have is important. Be familiar with the different types and how you can sell it.
Experienced jewelers on Long Island stores said it best, “Timing is everything.”
Never buy too much
While gold can be a good investment, it is important to take things slowly, especially if you’re just getting started. Keep in mind that there’s always a risk, but you can make better decisions. Be sure to research, read reviews and to consult a professional so you will know when and what to buy. Take note that gold is not the perfect inflation hedge that most gold dealers usually say.
Check the purity
Never make a gold purchase without checking the purity of the item. Some gold coins are 90% pure—the higher the purity, the softer the end product and the more valuable it is. Choose the highest purity you can afford. Here’s a summary to guide you:
-24 Karat is pure gold.
-18 Karat has 18 parts gold and 6 parts of one or more additional metals, and is 75% pure.
-14 Karat has 14 parts gold and 10 parts of one or more additional metals, so it is 58.3% pure.
-12 Karat has 12 parts gold and 12 parts of one or more additional metals, making it 50% pure.
-10 Karat is the minimum that contains 10 parts gold and 14 parts of one or more additional metals. It is 41.7% gold.
Many investors have had bad experiences from different firms. Avoid making the same mistake; research and make sure to check the credibility of your dealer. Get more recommendations from people who are part of the industry.