One of the most popular items to bid upon in the penny auction business is gold bullion. There are many sites that offer gold as an auction, and as a result, there are many opportunities for bidders to get gold coins and bullion for an extremely low price. You need to be careful, though. Gold is a popular item and bidding on it can easily eat up a lot of bids. There have been many penny auctions where individuals spend hundreds of dollars to win an item worth far less than what they paid for in bids. In even more cases, people spend a lot of money on bids and do not even end up winning the item.
Bidding on gold and other precious metals, then, requires a clear cut and effective plan. While you will not win every time you bid on an item, you can reduce your expenses by winning gold at low prices. Gold Penny auctions, as a general rule, sell for less than face value of the product up for auction. If a gold bar that you are bidding on sells for $500 retail, the item will probably not be sold for more than $400. This gives you a $100 profit should you turn around and sell it immediately. But this doesn’t factor in the amount you spend on bids. If you are spending $150 on bids to win the item, you’ve actually lost money. This means that you need to use your bids as wisely as possible.
Entering auctions at as late of a price as you can stomach will be your best bet. You want others to exhaust their bid supply before you attack. This will intimidate other bidders because they will see that you have not even begun to tap into your bids and they will have already lost quite a bit of money. The majority of the time, they will back off.
We will try to find the best gold penny auction sites online for you.