The Auction way is not always the best

Selling to M J Hughes Coins may net you more money than selling at auction.

With precious metal prices still at an historical high, sending your silver items to auction, or to an antiques dealer may not be the best route.

A large number of items, such as various silver cutlery, teapots, trays etc are now worth more in ‘metal’ than as commercial pieces. This is a sad fact, but with modern day life, and changes in fashion, most people have no use for these items. Furthermore, people can no longer afford to eat daily meals from a cutlery set now worth a few thousand pounds in silver!

We purchase quantities of silver obtained from the saleroom. It is dreadful to think people who consign their silver to auction often come out with less than half of the silver price, the price we would pay!

For example, a teapot worth £300 in silver goes to auction. The person bidding on the piece intends to sell for its metal price, therefore may pay around £280. Auction houses charge buyers a premium on top of the hammer price (Usually around 20%). The bidder has to build this premium into the price he/she wants to pay, so will bid around £220. If the piece sells for this price, the vendor will have to pay a vendors fee to the auction house for selling (Again around 20%).

Therefore, the vendor would get a net payment of around £170, nearly half the price we would have paid! If sold to us, the vendor would not have to wait for the item to sell, or wait for payment!