Make Some Extra Money … Buy Low ~ Sell High
Want to make some extra money? One way to make some extra cash is by buying stuff at a low price and reselling it at a higher price. Sounds simple enough right? Well, this idea falls into the category that I call “simple ~ not always easy” but if you’re willing to put in the effort it can be lucrative.
Where to Find Stuff
Some of the best ways to do this is to get familiar with eBay, Craig’s List, and your local classified ad sources (online and print). If you’re in a good area for flea markets and garage sales those work well too.
Know or Research
You should try to stick to the type of products you know something about or you’ll need to get really good at researching the selling price of the items you want to pick up.
Be Prepared
You might be surprised at some of the good deals you can find if you just get in the habit of watching for them.
There are people who don’t know how to list items on eBay and they will let things go for way below their value (sorry … but it’s true). There are people who don’t understand the value, those who just need money fast, who could get more if they knew more about how and where to “sell” their stuff, those going through a divorce who have no emotional attachment to their “stuff” and just want it gone and those who are relocating and need it “gone” by a certain time and this even works great with retail stores when they have a closeout, a great coupon, and/or rebate. Now … before you go accusing me of suggesting you take advantage of people … that’s not the case! This stuff is going to sell to SOMEOME … I promise you. This is a business decision and nothing more.
This method can work for the following:
- High end items. The margins will be greatest on high end items. Think electronics, expensive bikes, motorcycles, go carts, golf carts, jewelry, etc.
- Large lots of items that can be broken down and sold off separately. A couple of examples that would work well: (a) large lots of children’s clothing (name brands work best) that you can turn around and sell individually, (b) direct sales items that representatives getting out of the business might be selling off (think Mary Kay, Tupperware, direct sales jewelry, nutritional products, etc.), and (c) incomplete “sets” like silverware, dishes and tools.
- Items that can be broken down for parts. The most common example would be cars. But really get creative here … I know someone who parts out old boats … maybe computers and other electronics?
- Shop outlet stores. If you are fortunate enough to live near a good outlet mall you do have an advantage. We once bought a couch at the Pottery Barn Outlet for about $400 and sold it on Craig’s List for $1,200. The outlet mall is 45 minutes away and we no longer have the storage space to buy/sell these bigger items but if I really needed the money I’d figure it out trust me! Some of the other stores that have a great selection: Coach, Lladro, Under Armour, and Quicksilver. Don’t be afraid to bargain with the manager for these products. They want to move this stuff too. I personally wouldn’t mention that you’ll be selling it online because sometimes they frown on having their brand moved that way but get creative and it doesn’t hurt to make a lowball offer on bulk items.
- Look for incredible savings, rebates, and coupons. In a recent post I told you about an MSN/Live rebate offer where they were giving a 30% rebate for eBay purchases made through their search engine. I believe the maximum rebate was $200 so that meant you could purchase something in the $660 price range to take full advantage. If you bought 2 or 3 laptops using this rebate you would’ve made $400-$600 by relisting them at full price and selling them right back on the marketplace.
Things to keep in mind and factor in:
- Sales tax
- Shipping costs (buying and selling)
- Selling costs (ads, listing/auction fees, PayPal, etc.)
- Gas and travel expenses
- Your time
- Condition of product (ask for a lot of pictures and have them rate the product’s condition 1-10)
- Authenticity (be especially careful with jewelry, designer products, antiques, etc.)
A Few More Tips
Keep in mind that you don’t have to sell the product using the same method you used to purchase it. In fact, sometimes it’s even better not to. If you purchased a couch on Craig’s List and relist it there … those who had seen it listed there previously will not want to pay your higher price a week later. Also, pay attention to how you present the product for sale. Give as much detail as possible and use company listed features whenever possible. Add as many pictures as you can and try to make the pictures look good … no … make that GREAT! I can take the same necklace or piece of clothing that someone else had for sale and make it ”look” twice as expensive by using some basic merchandising techniques … think lighting, color setting … think about how nice things look when you window shop in the mall. For higher end items I promise you this extra effort will pay off!
Have you used this money making method before? Have you ever bought something for the specific purpose of reselling it for a profit? If so, how did it go? Do you have any ideas to add to this list? You know I’d love to hear from you and it’s always great when we can all learn more on the topic from you … the readers … so let’s have it! LOL *SmiLes* Suzanne
Find Some Great Deals on eBay!
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My name is Suzanne Franco and I’ve been an eBay buyer and seller for over 5 years now … and I’ve learned quite a bit in that time.
