Are people on your local CL morons too?

[Joe777Cool]

Are people on your local CL moron's too?

First guy is asking $5 for 40% halves, next guy has 5 silvertowne Oz silver bars and wants $1, third guy just responded to my wanted ad for ASE asking $38 each.

Mind you that I can want into several local stores and buy Ase at $28ish, 90% and bullion at spot, and 40%.

Worst part is there is no reasoning with these people. I offer spot and u would think I was trying to rip them off. Am I being naive here? Are there that many people willing to pay crazy prices even though inexpensive alternates are plentiful in my area and online?

I dont understand.....

 

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[rpg25]

Not sure if you've purchased lately, since the drop and all. I've hit 3 different LCS' and the premiums have increased recently with the drop. Before I could get junk at spot, now it's a $1 more per dollar face value. Premiums on ASEs have also gone up. Before in they were $3 over and now are $5. It's not just my area either, I'm a member of a couple of different coin/silver communities and others are reporting the same thing. Online stores are just as bad. What I'm getting at is that this is market value currently. I can't find silver at spot since the drop. Your LCS is the following the market if he is keeping those prices.

 

[crhstreetwalker]

I didn't know silver was inexpensive online. Isn't eBay silver still selling for pre-crash prices? (eg. ~$210 per roll of 90% halves.)

 

[Owassokie]

Joe,
I don't know if I would call it naivety but rather a mixing and matching information and experiences. With $30/oz silver, you could probably go to your local stores and buy 90% near spot. You can't find 90% coinage at spot right now. If you can, I'd advise you to spend every dollar to your name. People can talk about finding this or that on feebay. I'm sure you can find a few sales to support any perspective. I'm going to stay away from feebay and just show you an example that is available as we speak. I think this may come to a surprise to several people. As of right now, $1 of 90% has a melt value of $16.84. I just looked at a leading online PM dealer and they are willing to pay you $19.13 for $1 of 90%. So 90% coinage isn't selling anywhere close to spot. Like some others have said, they can say silver is worth $xx.xx / oz but real silver is worth what people are willing to pay for it.

OO

 

[Wilmingtonsilver]

You seem to be in one of the rare areas that is selling physical PM at spot. Most places around the country are showing a large disconnect between the paper price (spot) and the physical price. The reason for this is that the paper market is not following a simple basic rule of economics, supply and demand. Currently while the paper market is being manipulated by the big banks, the demand for physical silver is outpacing the supply of physical silver. An example of this is to look at how quickly the US Mint sold out of all of it's mintings of ASEs this year. Also, look at the big silver houses online, and you will see that most of them have a wait period of close to a month or more on delivery if they are even taking orders. If you are able to find bullion at spot in your local LCS, I would recommend to buy as much as you can possibly afford. At the very least, you can quickly turn it over at a profit on the auction sites.

 

[silas1128]

Found a guy on CL that wanted $140 for 6 half dollars. Tried telling me I was dumb when I said they were worth $60-70 max... Se said I was a dumb ass and he had already sold them.. Then they were listed again a little while later..

 

[Joe777Cool]

Yeah I have already dipped into my crh funds and emptied a good portion of my cash savings to buy up all the silver I could at spot (yes I CAN buy 90% at spot!), adding about 50 ounces just in the past 2 weeks. I rarely buy silver on Ebay and I don't really use their prices as "reality," specifically due to the fees....everything is inflated (now if I am SELLING something you better believe that's the price I'm using!) It's all relative to the market I believe - my LCS's are selling ASE's at $28-$29, it doesn't make sense to try and sell them on CL at $38!!! There are several websites selling silver rounds at $1.99 over spot, this has been discussed on another thread already. Is the silver that the guy who wants $160 for 5 oz bars special somehow?

My gripe here is when I point these things out, people get so angry! I should be the one angry because you are trying to rip me off!

 

[Joe777Cool]

Joe,
I don't know if I would call it naivety but rather a mixing and matching information and experiences. With $30/oz silver, you could probably go to your local stores and buy 90% near spot. You can't find 90% coinage at spot right now. If you can, I'd advise you to spend every dollar to your name. People can talk about finding this or that on feebay. I'm sure you can find a few sales to support any perspective. I'm going to stay away from feebay and just show you an example that is available as we speak. I think this may come to a surprise to several people. As of right now, $1 of 90% has a melt value of $16.84. I just looked at a leading online PM dealer and they are willing to pay you $19.13 for $1 of 90%. So 90% coinage isn't selling anywhere close to spot. Like some others have said, they can say silver is worth $xx.xx / oz but real silver is worth what people are willing to pay for it.

OO

I totally get that, I have another LCS that pay's $19 x face (their stuff is more expensive). I also understand that premiums have gone way up in the past 10 days or so. Clearly silver is worth what people are willing to pay, but why do people pay such high prices when there are much better deals out there? Lazyness?

 

[OnARoll]

Lets face it with everyone having a smart phone and an internet connection, it makes it very hard to get good prices even on CL..everyone seems to know a little bit..You're right these people aren't even reasonable, with haggling..I saw a guy on CL selling a common date franklin half for 80 dollars, SMH..And dont get my started on flea markets, the prices, 25x face cmon people!

 

[crhstreetwalker]

Clearly silver is worth what people are willing to pay, but why do people pay such high prices when there are much better deals out there? Lazyness?

Maybe they don't have access to the locality deals like you do.

 

[Owassokie]

Joe, You're a lucky man. I wish I could get some of your action. Do some of your local places have some 90 or 40% available? I wonder if they would be willing to ship?!?!

I agree it sounds like your CL folks are being unreasonable. But I think we all have those people that don't understand that their price needs to adjust with the market. Sometimes it works in our favor, other times (now) it doesn't.

OO

 

[fistfulladirt]

I've watched Craigslist in my area for the last five years and don't recall ever seeing siver offerings at spot.
My LCS is charging a $5 premium on ASE's, which would be great if he had any...
He hasn't offered 90% since the crash, and even if some comes in, he picks up the phone, he has buyers paying up to 25% over.

 

[50cent]

of course, what else would you expect? people from craigslist are pretty messed up if you ask me.

 

[Joe777Cool]

It sounds like I could make some money just selling to you guys!

 

[50cent]

nice going on the charter membership, what kinda prices you got joe?

 

[StevoCBR]

Hey Joe I would also be interested in that action. I live in a town of half a mil and it's scarce. My fav dealer is selling eagles for $30 and was 22 times FV on 90 and i think that was at $23.60 silver. He has been in the business for 20 years and told me he is only stocking up lately on some 90 because he apparently has been able to get some collections lately. told me earlier this week it's a 3 week wait from the refinery for anything, and that is a direct connect to a refinery. There are have been some excellent points and ultimately it is supply and demand that is why premiums rose to offset price drops and simply scarcity in silver. Also the 2nd largest producing silver mine in the world located in UT just had a hill side fall and is saying that set them back years. So tell me what that will do with the price?

I would second anybody that says if u can get close to spot you might want to make some acquisition of Ag. If big bro don't come get it first we will say one day, why didn't i sell all my toys and buy silver when we could get it for under $100.

 

[LooseChange]

First guy is asking $5 for 40% halves, next guy has 5 silvertowne Oz silver bars and wants $1, third guy just responded to my wanted ad for ASE asking $38 each.

Mind you that I can want into several local stores and buy Ase at $28ish, 90% and bullion at spot, and 40%.

Worst part is there is no reasoning with these people. I offer spot and u would think I was trying to rip them off. Am I being naive here? Are there that many people willing to pay crazy prices even though inexpensive alternates are plentiful in my area and online?

I dont understand.....

Those sellers are either hanging onto the past, or they understand that the market always charges a premium over spot for physical PMs. They might not realize that private sellers are not supposed to get retail when they sell.

In any case, if you really can walk into several local stores and buy for spot, why would you offer the CL lunatics spot? Take a walk and buy at spot at those local stores. Do it before those local stores realize that the market always charges a premium over spot for physical PMs.