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My One-Way Transition from Investor to Seller


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Agree that the fees ebay and paypal charge are scandalous - and the rule changes really favour buyers (even to the point where they get their money back on a perfect boxed set).

 

I always accept cheques/postal orders or uk bank transfers - but most people want to pay by paypal. Hoping to try selling via facebook/gumtree/preloved to mitigate some of this, but only time will tell

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The EU markets are running behind US markets. You will undoubtly also have seen on the local second hand sites the explosion of people dealing with Lego. I think we just need to be even more patient then our trans-oceanic neighbours.... but it will come :)

 

As for the crazy deals. You're right that it also stuns me at what cheap price people from US can sometimes buy a set, but then again, I can not complain about certain prices I paid for some of my investments. It doesn't hurt looking at other countries like Germany. I order alot from sites like TRU and have also started with buying from Amazon.de and the price is cheaper than if I would buy it in Belgium.

 

I think you state correctly not to buy too much. I have a 'rule' of buying 5 of the large sets (SSD,HH, DS, etc) and about 10 of the smaller sets and I'm confident I'll be able to sell them all.

 

Basically....  I said it in the beginning and i'll say it again, you'll need to be patient. Try to sell via other channels instead of moneywolf Ebay. I'm sure there are some national selling sites you can use that are free. Granted ,you won't get the top price, but at least you won't have to pay x% of it to ebay and your customers will see a lower price then what they find on ebay.

 

Thanks for the feedback.

 

The growth of "Lego Kg Lot" auctions is growing dramatically in Italy, as well as "I buy used Lego" on second had local websites or magazines. I think that many of this people is hoping to resell the lot at higher prices, but I am sure there are parents who can't afford to buy expensive sets for the kids. The problem is that prices of bulk Legos are going over 20/25 euro per kg, which is ridicolous considering the quality sometimes is very poor!

 

For what concerns my "activity" I feel very serene and I am not worried. For the moment I am just collecting some sets I like and that I think could be winners in the future, and I am very patient :) If I won't sell them, my baby will be very happy in a few years!

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A lot of what you wrote is probably true, but don't get fooled by so many "discount reports". Don't forget that the US is also so much bigger than Italy. You could maybe compare discounts in all of Europe to all of the US, and not even that would probably be a fair comparison. "Crazy" discounts don't happen all over the US all the time. You might see one here or there, sometimes, if you are lucky. But this "here or there" spans a quite large country. If I would limit this comparison to "Italy vs. the state I live in" Italy might actually win (or not, but it would be a fairer comparison).

 

I definitely see your point, but having a competition between 3 or 4 large retailers is always better than having just one (or two) like we have here ;)

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  • 1 month later...

Intent, basically.  No tax liability on selling your old junk. However, if something is purchased with the intent of being sold. Then it needs to go on your tax return.  But realistically turnover is going the big decider and as well as your net eBay/paypal income. 

 

If you

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  • 3 weeks later...

Hi. I'm back.

 

Interesting tax discussion, but I feel that my thread got derailed as a result, so please post tax advice elsewhere.  Thanks! :)

 

How am I doing with the selling?  Well, I avoided selling for a few months, but put about 40 sets on eBay the other day.  5 have sold so far (3 Batman sets, 1 Ninjago and a Chima CHI Temple).  The profit is not huge (

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If I lived in the UK or EU I am not sure I would be doing this.  In some weird way Americans have been trained to be insatiable consumers.  AT some point that will come to an end.  I expect to liquidate most of my small friends stock, and smaller superheroes stock.  All of which are currently retired.  It will clear up space and realize some profit and return of basis.  My wife who does not work will be handling almost all of this.  As a distribution of labor it makes sense.  The large exclusive stuff is great and as an investor requires time.  Never invest money you will need, nor go into debt painting a perfect picture.  The debt scenario rarely works out.  Best of luck to the OP.

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Hi. I'm back.

 

Interesting tax discussion, but I feel that my thread got derailed as a result, so please post tax advice elsewhere.  Thanks! :)

 

How am I doing with the selling?  Well, I avoided selling for a few months, but put about 40 sets on eBay the other day.  5 have sold so far (3 Batman sets, 1 Ninjago and a Chima CHI Temple).  The profit is not huge (

Edited by Dkc
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Guest TabbyBoy

I'd now say that I've transitioned from an investor in most sets to an investor in large exclusives only especially as they are now harder to obtain in quantity.  Even though these large sets cost more and take up more space, the profit per sale is much higher and there is a lot less packing/posting.  Not to mention being more under the radar from the nosey tax man!

 

I've had a very tough time offloading most of my CITY sets but, I now have a much better strategy going forward.

Edited by TabbyBoy
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have a set budget to invest.  Not a dime more than that.

invest only in large sets in order to minimize the number of sets I have to sell

don't chase after any sets that I think will be winners.  Only invest in sets that I don't mind keep for myself.

have a set amount of space to store the Legos.  Once my space is filled, I won't buy any more sets until I sell to clear the space

 

Great "rules"--it's very easy to be swept away in the dream of big money without realizing the reality of time, space, and cash restrictions.

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I'd now say that I've transitioned from an investor in most sets to an investor in large exclusives only especially as they are now harder to obtain in quantity.  Even though these large sets cost more and take up more space, the profit per sale is much higher and there is a lot less packing/posting.  Not to mention being more under the radar from the nosey tax man!

 

I've had a very tough time offloading most of my CITY sets but, I now have a much better strategy going forward.

Ditto to this though I'm still on the path of offloading. Got rid of most city stuff but still need to sell all my non-helms deep LOTR.

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  • 1 month later...

For anyone interested in my ongoing one-way transition story, I'm afraid I have some bad news:

 

I've been buying again, but this time with backing of my wife who is impressed with the selling and profit I've been generating.  I've sold and shipped 81 sets now (got another to send tomorrow).  Total profit is

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For anyone interested in my ongoing one-way transition story, I'm afraid I have some bad news:

 

I've been buying again, but this time with backing of my wife who is impressed with the selling and profit I've been generating.  I've sold and shipped 81 sets now (got another to send tomorrow).  Total profit is

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