If all you have is $5 in cash, no outstanding debt, and a ham sandwich, then you are still wealthier than 80% of the American population. That’s right, 80% of American adults have a negative net value because they owe debt on credit cards, student loans, car loans, and mortgages that accrue an average of $6,658 in interest every year. Typically, the total outstanding debt of an American family is a whopping $129,579.
Making payments to all of your creditors can put a real burden on your monthly cash flow. When your debt payments consume most of your income, you run out of money, which forces you to put expenses on credit cards, thusly perpetuating the cycle.
Financial guru Dave Ramsey has written several books about the American problem of drowning in debt. He suggests finding creative ways to generate more income to pay off your creditors. You can have a yard sale, consign old clothes, or even get a part-time job on the side.
You could also buy and sell antiques. Sometimes, you can find diamonds in the rough that cost pennies, but sell for exponentially more. Valuable items are often sitting unnoticed at estate jewelry sales, yard sales, and thrift stores, waiting to make you money. When you sell antiques for $100 that you paid $5 for, it really improves your cash flow with little effort and up-front investment. Not to mention, junk shopping is a really fun hobby. To get your business started, we’ve created a list of tips for making cash when you buy and sell antiques.
Look for unique pieces. Rare items are often the most desirable and hold the most value. When you see a quirky animal figurine or an old neon sign for sale, snatch it up! One-of-a-kind pieces are not easy to come by and are great moneymakers.
Look for items that have not been restored. If you’ve ever watched an episode of Antiques Roadshow, you know that a poor restoration can destroy the value of a priceless antique. You can tell if an item was restored by looking for signs of anachronistic tool use or evidence of power machinery. If you have a question about the item’s origins, it’s a good idea to have an expert take a look at it.
Buy and sell to a credible source. Sometimes you find hidden gems at yard sales, but if you’re investing to make a profit, stay away from back-alley deals. A reputable pawn shop that is licensed by the state as a second-hand dealer is a great source for when you want to buy and sell antiques alike. If the value of your purchase is the gold or silver that it is made of, have a precious metals dealer take a look at it before you buy it.
Look for names or hallmarks that you recognize. There is a lot of subjective work associated with valuing antiques. Finding a piece made by a renowned creator helps determine its value.
Get friendly with the item before you buy. Run your fingers over the surface of the item, examine the details, bring a magnifying glass, loupe, or a flashlight to inspect a piece before you spend money on it. Familiarizing yourself with a piece will help you authenticate it and recognize if there is a minor flaw that reduces its value.
Do your research in advance. Many great finds do not last long. You need to know the value of an item before you have the opportunity to buy it. Buying and selling antiques involves quite a bit of guesswork; there’s no bar code you can easily scan to instantaneously find the resale value. Having a good understanding of the selling value of antiques will give you the greatest chance of finding something you can make money on.
Do you have any antiques or collectibles you are considering selling? Please contact us if we can be of any assistance to you.
