Selling gold in Madrid: 18K gold fetches 33 euros a gram with spot at 51
With gold at 51.46 euros per gram, Madrid's gold-buying shops pay 33.6 for 18K. A 30% discount on spot that no one explains to the seller.
English · Original discussion in Spanish · Published
Selling gold in Madrid: 18K gold fetches 33 euros a gram with spot at 51
A private individual has gathered 60 grams of 18-karat gold in jewelry and wants to know where to get it appraised in Madrid without being ripped off. The answer he receives is a crash course in what no one tells the first-time seller: between the international price of the metal and what actually lands in your pocket there is a chasm measured in euros per gram, and not in your favor.
The starting point is the market price itself. With gold closing at around 51.46 euros per gram, the main gold-trading houses publish prices far below that. Thegoldhouse pays 33.6 euros per gram for 18K up to 100 grams and 34.1 above that; Arteoro ranges between 33 and 34.5. The 24K, which barely exists in jewelry because it is too soft, stays at 45.3 euros against the market's 51. The gap, according to circulating calculations, is around 30% and in some cases approaches 35%.
What they really pay per gram of 18-karat gold
The range used by serious buyers runs from 30 euros per gram for 18K to 22 for 14K, a karat rating more common than people think in inherited jewelry. Some outright offer 40 euros and still come up short: when faced with the chance to buy a hundred grams at that price, the offer evaporates. The bluff lasts only until a real buyer shows up.
The margin is no whim, say those who know the business. Melting involves losses, crucibles wear out, borax and boric acid must be added to keep the metal from splattering, and a hundred grams in does not miccionan a hundred grams out. Add to that the refining cost and transport of the material. The question is how much of that cost is passed on to the seller and how much is simply the price of someone else's ignorance.
Jewelry or weight: two ways to sell that are not worth the same
The buyer's underlying doubt is whether it is better to sell the pieces as jewelry or as metal. The prevailing answer is disheartening: unless there is a recognized brand and an easy market, no one pays above weight. A good piece is paid for what it weighs, not for what it once was. And if it has stones, careful: the buyer deducts part of the weight to avoid paying for cubic zirconia at gold prices. Whoever checks the settings with a diamond tester is doing it right; whoever doesn't is charging you for the stone as if it were gold.
The repeated advice is elementary: weigh it yourself before going, bring a precision scale, and visit two or three shops to compare. The difference between them can be several euros per gram, which over 60 grams amounts to hundreds of euros.
Gold buyers, jewelers or metal dealers: where the best price is
The neighborhood gold-buying scene has a bad fruta, not always without reason: partitions, cold lighting, the feeling that you owe something to the person buying from you. Against that, specialized metal dealers publish their rates on their websites and update them daily, which lets you arrive with your homework done. In Madrid, names like Degussa, Thegoldhouse or CIODE come up. The prevailing recommendation is to avoid the hole-in-the-wall and go to an operator with a public price quote.
There are exceptions that break the narrative. One seller says he was paid 96 euros for a ring that cost 100 ten years earlier, impeccable treatment and cash in hand. Another tells the opposite story: an acquaintance sold an inheritance at a shop after rejecting a better offer from his own friends, and lost at least 400 euros. The distrust of those who think they're smart usually costs more than that of those who compare.
One detail remains that almost no one looks at: taxes. In Catalonia a tax applies that does not exist in Madrid, and those dealing in physical coins see numismatic pieces trading 15% below spot. With gold at record highs, the question is no longer whether to sell, but to whom. And the answer, apparently, remains the same as ever: whoever robs you least.
A private individual has gathered 60 grams of 18-karat gold in jewelry and wants to know where to get it appraised in Madrid without being ripped off. The answer he receives is a crash course in what no one tells the first-time seller: between the international price of the metal and what actually lands in your pocket there is a chasm measured in euros per gram, and not in your favor.
The starting point is the market price itself. With gold closing at around 51.46 euros per gram, the main gold-trading houses publish prices far below that. Thegoldhouse pays 33.6 euros per gram for 18K up to 100 grams and 34.1 above that; Arteoro ranges between 33 and 34.5. The 24K, which barely exists in jewelry because it is too soft, stays at 45.3 euros against the market's 51. The gap, according to circulating calculations, is around 30% and in some cases approaches 35%.
What they really pay per gram of 18-karat gold
The range used by serious buyers runs from 30 euros per gram for 18K to 22 for 14K, a karat rating more common than people think in inherited jewelry. Some outright offer 40 euros and still come up short: when faced with the chance to buy a hundred grams at that price, the offer evaporates. The bluff lasts only until a real buyer shows up.
The margin is no whim, say those who know the business. Melting involves losses, crucibles wear out, borax and boric acid must be added to keep the metal from splattering, and a hundred grams in does not miccionan a hundred grams out. Add to that the refining cost and transport of the material. The question is how much of that cost is passed on to the seller and how much is simply the price of someone else's ignorance.
Jewelry or weight: two ways to sell that are not worth the same
The buyer's underlying doubt is whether it is better to sell the pieces as jewelry or as metal. The prevailing answer is disheartening: unless there is a recognized brand and an easy market, no one pays above weight. A good piece is paid for what it weighs, not for what it once was. And if it has stones, careful: the buyer deducts part of the weight to avoid paying for cubic zirconia at gold prices. Whoever checks the settings with a diamond tester is doing it right; whoever doesn't is charging you for the stone as if it were gold.
The repeated advice is elementary: weigh it yourself before going, bring a precision scale, and visit two or three shops to compare. The difference between them can be several euros per gram, which over 60 grams amounts to hundreds of euros.
Gold buyers, jewelers or metal dealers: where the best price is
The neighborhood gold-buying scene has a bad fruta, not always without reason: partitions, cold lighting, the feeling that you owe something to the person buying from you. Against that, specialized metal dealers publish their rates on their websites and update them daily, which lets you arrive with your homework done. In Madrid, names like Degussa, Thegoldhouse or CIODE come up. The prevailing recommendation is to avoid the hole-in-the-wall and go to an operator with a public price quote.
There are exceptions that break the narrative. One seller says he was paid 96 euros for a ring that cost 100 ten years earlier, impeccable treatment and cash in hand. Another tells the opposite story: an acquaintance sold an inheritance at a shop after rejecting a better offer from his own friends, and lost at least 400 euros. The distrust of those who think they're smart usually costs more than that of those who compare.
One detail remains that almost no one looks at: taxes. In Catalonia a tax applies that does not exist in Madrid, and those dealing in physical coins see numismatic pieces trading 15% below spot. With gold at record highs, the question is no longer whether to sell, but to whom. And the answer, apparently, remains the same as ever: whoever robs you least.
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Summary of a discussion on Burbuja.info - Foro de economía, actualidad y política., translated from Spanish and reviewed before publication. Read the full discussion (48 replies).
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