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Old 01-27-2013, 07:05 AM
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tiger8mush tiger8mush is offline
Rob G.
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Join Date: May 2009
Location: Connecticut
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Quote:
Originally Posted by Ulidia View Post
Remember, also, that when buying a high value card, you're typically paying a higher price than anyone else is prepared to. And of course, the thing that all too many overlook are the buy / sell spreads of buying and selling cards which are prohibitive from an investment perspective - for example, you buy a card at $100k in auction? Given premiums etc, you'll need to sell it for a considerably larger amount just to break even.
Good point. So lets you buy a card at auction (more than anyone else is willing to pay, of course) for $1k. Then lets say 15% buyers premium of $150 + $20 insured shipping. So you have $1,170 invested in this card. You hold the card for 5 years as investment and then decide to consign it to an auction company that has 0% sellers premium. You spend another $20 to ship to them, insured. $1,190 now. So the card has to sell at auction for AT LEAST 20% higher than it did 5 years ago just for you to break even. You are taking a risk that it sells lower, you are NOT GUARANTEED it'll sell for that price. Did you also spend extra $ on home insurance for the card or a safety deposit box? So if you want to make 10% in 5 years (only 2% a year), it'll have to sell for at least 30% higher than its previous hammer price. Heck, inflation is higher than 2% a year! So even then you are probably losing money.

Last edited by tiger8mush; 01-27-2013 at 07:08 AM. Reason: changed "0% buyers premium" to "0% sellers premium"
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