Jump to content

Recommended Posts

Posted

I'm pretty new to this investing thing, but I'm curious to know what other people's experiences are. I currently have about 5k invested at this point (not including sets I've already sold) but have made 1k off the sets I've sold, so only consider myself to be 4k in. Is there are a point where you broke even, and if so how long did it take?

Posted

I think most people are cotinuously buying and selling so it's hard to say if when you break even. I just know that for each lego set or minfig I have sold, there has been a gain. the amount profit is what I keep track of in my spreadsheets.

  • Like 1
Posted

I started investing since mid last year.  For me, I love to collect and build, so I say I will never be in a position of break even, or even close to that.   

I think if I wasn't a collector/builder, I might be able to break even quicker.

Posted

I think most people are cotinuously buying and selling so it's hard to say if when you break even. I just know that for each lego set or minfig I have sold, there has been a gain. the amount profit is what I keep track of in my spreadsheets.

I figured a good amount of people would follow this line of thinking. My wife makes me keep track of total profits and total amount invested separately just so we have an accurate reflection of how much of our money is currently invested. I'm trying to ultimately get to the point where I break even so the money I have invested is all profit from prior sales rather than money from our own bank account. Of course I would likely be able to sell the sets I have now and make everything back plus more, but it would make her feel better that way.

Posted

I've been investing for about a year and half and I'm hoping to break even in another 18 months.To be more specific, I invested about 50% of what I sold over the holidays and hope to do so again next winter.  Then I'll have a fair amount of stock but I have a cap for the total amount I am every comfortable invested.

Posted

You can't really say you broke even on everything because you are always buying new and selling others. Depending on what deals you find and sets you get you can flip it quick or wait a few years. Everyone has a different strategy that works for them.

Posted

Tricky question.  The 'Break Even' term threw me a little as generally you at least break even on every set sold.  But I see what you are really getting at is making back 100% Return on Investment, to pay out the capital invested with profit.  I'd have no idea personally as I'm always buying sets and selling others etc, so can't put a stake at any point to calculate it that way.

Posted

Tricky question. The 'Break Even' term threw me a little as generally you at least break even on every set sold. But I see what you are really getting at is making back 100% Return on Investment, to pay out the capital invested with profit. I'd have no idea personally as I'm always buying sets and selling others etc, so can't put a stake at any point to calculate it that way.

So, you are not tracking "bought at/sold at" at all? Or rough estimate works good enough for you?

Posted

I'm a little surprised more people don't track this number more closely, as it's actually the one I probably pay the most attention to. I have a spreadsheet with a column of what I purchased everything for, and another column with what I sold each item for. The sum of the first column minus the sum of the second equals total current investment (assuming all profits go back into other sets). As I have a cap on what I'm comfortable investing, I have to follow that as it if I'm near my cap and I have some other investments I want to make, I have to sell something else and weigh whether it's worth selling or not to buy something else.

Posted

I have so many columns in my spreadsheet, it's not even funny. I track everything I can. MSRP, purchase price (and therefore discount); sales tax, eBay fees, Paypal fees. I track where my inventory is, have I input it into Brickpicker, and whether I intend to sell a set or keep. Ultimately, this gives me profits

My investment goals are to pay for the sets I keep with the sets I intend to sell. I can ultimately track my break even. Of course, I've got to start selling more than I'm buying,

Posted

So, you are not tracking "bought at/sold at" at all? Or rough estimate works good enough for you?

 

Oh no, I track everything bought and sold in quite a bit of detail.  I work on an average cost of inventory basis within each accounting period.  ROI on each set is the main metric I use as well as overall ROI.  But I don't have a set capital amount like an initial $10k for example.  My overall capital invested varies and for that reason taking profits and dividing by capital at any one time doesn't really tell me much so I don't do it like that.

Posted

In my spreadsheet I track total purchases and total sales along with at least a dozen other columns. Just like Cetona said, Total Purchases - Total Sales = My current capital investment. I have set a cap of how much I want to have invested in Lego at any given time. Without tracking this data...even just ball parking numbers without tracking all of the other data such as ebay fees, paypal fees, shipping costs, taxes etc. I would without a doubt invest way more capital than I wanted to. It is way easier to purcahse than it is to sale....

Posted

Have you not sold any because you have not listed? Or no takers ?

I just haven't listed any of them yet. I want them to reach a point to where I can make a decent profit after fees. My oldest set is 10198 Tantive IV and I plan on selling later as the profit is not worth it right now(after fees). My lego investing collection is pretty small so far about 10 sets. (im a newbie) 

  • Like 1
Posted

I started investing January 2013

 

Already broke even and even making profit.... But I got really lucky.... got 2 Toy Shops, Bakery and Post office 50% off in local shop when they were long retired.... pretty much made 100% net profit on all those 4 (nearly 300$) and i also sold my ''old'' LEGO from childhood (except Black Knight's Castle) for nearly 400$ .....

 

Problem is I dont really have that Cash because I spent 1200$ buying my ''Display LEGO'' (MMV, MVR, Helm's Deep + countless Uruk-hais, random figs I love and accessories)

 

So I can say I spent all my profits on LEGO for myself (so I got 99% of that LEGO for ''free'' from profits) and I got around 600$ still invested :)

Posted

Technically if you are buying sets cheap and immediately selling then you are flipping sets not investing.

 

As some people here know I also buy bulk lots, break them down and sell the sets/pieces separately. I have never made a monetary loss doing this and I am approx 4k up since Jan 2012.

 

But I only discovered investing from Jeff/Ed's podcast interview in Nov 2012. Since then I have a paper profit of 25% (it jumped from 15% after Dec's BP price update) across 92 sets. This is before any seller fee which I estimate at 15-20% so I am only just breaking even.

 

But I do keep the buying/selling side separate from the long term investing side.

Posted

Technically if you are buying sets cheap and immediately selling then you are flipping sets not investing.

 

As some people here know I also buy bulk lots, break them down and sell the sets/pieces separately. I have never made a monetary loss doing this and I am approx 4k up since Jan 2012.

 

But I only discovered investing from Jeff/Ed's podcast interview in Nov 2012. Since then I have a paper profit of 25% (it jumped from 15% after Dec's BP price update) across 92 sets. This is before any seller fee which I estimate at 15-20% so I am only just breaking even.

 

But I do keep the buying/selling side separate from the long term investing side.

I would not consider paper profits when determining "break even." Nothing is money in the bank until you've sold it.

 

Like others, I have a gee-whiz-bang spreadsheet (which I developed with, um, encouragement from my wife after she saw a credit card bill and wanted to know how much of that was coming back in) that tracks total purchase price of every set (including tax and shipping, when applicable) along with the net proceeds from the sale. I also track costs of materials (poly bags, packing tape, bubble mailers, printer ink, etc.) As last year was my first year investing I am deep in the red, though for tax purposes I "made" about $750 last year (I used a cost-basis inventory method to determine value of inventory on hand on my schedule C).

 

Also like many others here, my main goal is to subsidize my Lego collecting addiction. So I also have to separate out which purchases were made for personal use and which were made for resale. This is going to be especially important this year as I am in a state where Amazon is now collecting sales tax. I am applying for a sales tax exemption certificate, which also means I need to start charging sales tax for in-state sales. Yep, it's getting real now.

Posted

I would not consider paper profits when determining "break even." Nothing is money in the bank until you've sold it.

 

Like others, I have a gee-whiz-bang spreadsheet (which I developed with, um, encouragement from my wife after she saw a credit card bill and wanted to know how much of that was coming back in) that tracks total purchase price of every set (including tax and shipping, when applicable) along with the net proceeds from the sale. I also track costs of materials (poly bags, packing tape, bubble mailers, printer ink, etc.) As last year was my first year investing I am deep in the red, though for tax purposes I "made" about $750 last year (I used a cost-basis inventory method to determine value of inventory on hand on my schedule C).

 

Also like many others here, my main goal is to subsidize my Lego collecting addiction. So I also have to separate out which purchases were made for personal use and which were made for resale. This is going to be especially important this year as I am in a state where Amazon is now collecting sales tax. I am applying for a sales tax exemption certificate, which also means I need to start charging sales tax for in-state sales. Yep, it's getting real now.

 

As i have not sold anything, its all paper profits (or losses). But I am aware that the BP price guide is just that, a guide. You are not guaranteed to the get the value listed on the site.

 

But as BP is updated I update my spreadsheets to see what I have "made" in the last month.

Posted

Currently 8k "down" and I think it's a great thing to track.  It will be awesome when my profits equal my amount invested and I can see my collection as "paid off."  Started a year ago, missed POTC ships but got some harry potter and three Imperial Shuttles...that time frame.

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

  • Recently Browsing   0 members

    • No registered users viewing this page.


×
×
  • Create New...