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When to sell a retired item?


dbost01

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Hi, I am new to selling lego sets and was just looking for advice.

 

Specific Advice.

 

I have a few 8129-1: AT-AT Walker and according to this website the average selling price right now is about 250.

 

1. Should I think about selling my 8129s this Christmas period?

 

2. If I should sale them this Christmas period what is a good date to list them?

 

Thanks

 

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Hi, I am new to selling lego sets and was just looking for advice.

 

Specific Advice.

 

I have a few 8129-1: AT-AT Walker and according to this website the average selling price right now is about 250.

 

1. Should I think about selling my 8129s this Christmas period?

 

2. If I should sale them this Christmas period what is a good date to list them?

 

Thanks

I would consider selling the set Christmas 2014. The set retired in December 2011, so it has only been two years since the set has been off the primary market. Next year it would be about three years, and I see that the profits would be the best at that time.

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No problem. The overall best time to sell a set is about 2-3 years after it has retired. I always go with the 3 year, because it brings in more money.

 

The profits on paper may be higher, but what about implicit costs of holding onto sets for longer? 

 

Investors need to always think about what they could invest the profit into, and make the decision to sell even if that were before it reaches it's maximum. 

 

For example selling and investing in 41999's to flip. That would outweigh holding onto those 8129's. 

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I just looked at the Price Guide page for the 8129 AT-AT Walker, and the set is literally, all over the place in terms of growth. Up $50, then down $30, then up $40. LOL, I understand why you might be a tad confused.

 

When data is hard to read, like in this case, I like to look at the "Performance Over Time", which is located right below the pricing and quantity sold charts, as seen below:

post-5354-0-82421500-1382568298_thumb.pn

 

As you can see, this set is up 1.33% in the last 6 months, up 28.84% in the last year, and up 123.03% in the last 2 years, where majority of the growth has happened. 

 

Typically, I don't really look at increased in the last 2 years, on a set that has so recently retired, as a set probably had an initial growth period, directly following retirement, and is for short-term investors. Instead, we should look at slightly newer data, for the last 1 year. This gives us a better idea of how the set might perform now. After the initial growth, most sets slow down, and some even fall in value, so its important to know the time period that you are looking at.

 

Another way for you to determine how a set may be doing in the next year, is by going to the CAGR percentage, which is located at the top of the Price Guide page, as seen below:

post-5354-0-50321800-1382568546_thumb.pn

 

The CAGR, or Compound Annual Growth Rate is . If you have more questions, you can read one, or more, of the many blog articles on it in the Blogs Section. Here's a quote from one of the articles that Ed Mack wrote on CAGR...

Using the CAGR formula allows us to take an investment's measure by eliminating the volatility, or the up-and-down changes that occur during the fiscal year. Overall, this gives us a much better impression of how the investment is actually performing than if we looked at it month-by-month or even week-by-week. CAGR is especially helpful when you are making decisions on long-term investments.

 

So, since the CAGR percentage of the 8129 AT-AT Walker is still relatively high, at 32.03%, this set has time to grow, and could likely break the $300 mark by Summer 2014. Once the percentage weigns to the single digits, I think it is a safe time to sell, as you probably can't look for that much more positive change in the value of the set.

 

Hope this helped! :D

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