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Earn cash buying and selling lego
Sep
Reading Time: 5 minutes
While you might think Lego is barely a kids’ toy, it will possibly be way more than that.
A growing number of individuals buy Lego with the hope that its value increases over time. In other words, these people see buying Lego an investment, much like buying stocks & shares.
In this text, we’re going to elucidate the way it’s possible to generate income from Lego. Carry on reading for all the main points, or click on a link to leap straight to a selected section…
Why put money into Lego?
If you will have a baby, you’ll probably know that Lego repeatedly launches special sets alongside big movies or TV shows. You’ll have seen the plastic bricks themed with Star Wars, Harry Potter, Lord of the Rings or the Teenage Mutant Ninja Turtles. And that’s along with the regular ones, like police stations, castles or haunted houses. There are also limited edition ‘Creator’ and ‘Insect’ sets that are also popular at once.
It’s also price knowing that the Lego brand now also extends to video games and cartoons – it’s an enormous business.
Buying and selling Lego could turn into a superb money-making opportunity and it’s all concerning the life cycle of Lego sets. The corporate produces and sells sets for a few years, after which they retire and won’t be sold in traditional outlets anymore. Those that miss the boat and are desperate for a discontinued set will then have to search for the special editions on eBay or Amazon. So, should you select to speculate in Lego, that is your likelihood to command high prices for those unique sets that may not be bought directly from Lego.
Which sets should I purchase?
Do your research first. Like with every other investment, to purchase and sell Lego for a profit, you’ll have to know your market. Certain genres and sets do higher than others. The trick is that no one really knows if – or when – the brand might discontinue a special edition. This implies there’s no way of telling whether a certain set could possibly be sold later at the next price.
To decide on properly, try a few of the specialist sites dedicated to purchasing and selling Lego. For instance, the web price and investing guide Brickpicker offers plenty of study on price trends. This might provide help to make more informed Lego purchases.
Keep in mind, though, that because Lego is under no obligation to discontinue their sets, there’s never any guarantee that what you purchase can be a superb investment.
Brick for brick, the sets linked to movies or cartoons are inclined to be costlier. Be sure you calculate the value per brick of the sets on offer, then wait to purchase it when it’s on sale or a special offer. As an illustration, the resale value of the Star Wars sets has done well prior to now, but previous success will not be necessarily an indicator that these’ll be good buys for the longer term.
Storing Lego
It’s crucial that you simply keep your Lego in pristine condition. This implies the box have to be unopened and stored appropriately – away from anyone who is likely to be tempted to open it and play with its contents.
Keeping your box out of direct sunlight can also be a must, as a faded set can be less desirable than a set in pristine nick.
A number of the more serious investors within the US lease climate-controlled facilities to maintain their Lego in optimum conditions. That’s to not say it’s best to too. Those are inclined to be the people investing on an even bigger scale, for example, buying 3,000 boxed sets!
How much can I make?
It depends. As previously explained, it will possibly be tricky to predict which Lego sets will make a superb investment. There’re US-based investors who claim to make a 10-15% return on their buys. But keep in mind, some think that this can be a ‘bubble’ and the costs will soon crash. Again, similar to with any investment, it’s best to understand the risks before you spend your money.
You might also generate income selling old Lego in bulk. MusicMagpie and Zapper, for example, will buy the bricks off you. Alternatively, you might try your luck on eBay. Some serious collectors often need a spare piece for his or her set which could just be hiding in your pile of Lego.
Some inspiration
For those who’re on the fence about whether to speculate in Lego, you then is likely to be swayed after reading about Josh Mangleson, a Lego collector from Brisbane, Australia.
Mangleson says he first began buying Lego as a baby, before noticing how the worth of his sets had skyrocketed over time.
“In highschool before I had my first job I’d try to find ways of earning money to purchase latest LEGO sets. I’d take a look at buying them online, and I began to see the values on a few of my older sets and will hardly consider my eyes. So I began to see my very own LEGO collection as a little bit of an investment”
Mangleson explained how he sold a complete of 250 sets, netting him a $20,000 (£10,600) profit, which he has since used to place down a deposit on a house.
Meanwhile, US-based collector, Lucas Lettrick, says he makes a typical 150-250% return when buying a selling Lego sets. Lettrick says he’s spent a cool $65,000 (£53,000) buying Lego in a recent video interview with the Wall Street Journal.
Yet despite his steep investment, Lettrick recently explained on his YouTube channel, that you simply don’t have to plenty of capital to begin out.
“The higher strategy I might say, especially should you’re starting out and is the best way I started off, is putting smaller amount of cash into purchases after which constructing your way up.
“Start small with a small amount of money, buy really good purchases which can be on really great discounts you can really maximise what you’re selling them at and the way much money your’e getting back out of them after which slowly, as you construct up that pot of Lego money, you possibly can start buying greater sets.”
Top suggestions
- Be patient. It’s unlikely that you simply’ll immediately make big bucks buying and selling Lego. The profit arises from making a wise purchase, sitting on it for some time and waiting for the value to rise. Like every commodity, the value may fall before it rises. Or it might never rise.
- For those who intend to sell your Lego on eBay, read our How you can Make Money on eBay article.
- Learn as much as you possibly can concerning the market. Use Brickpicker to assemble information and study the value research.
- While you determine to purchase, look out for deals and take a look at various retailers. For those who buy your set at a low price, there’s more potential for profit afterward when (or if) the set has been retired by Lego.
- There’s also a marketplace for mini figures. It’s definitely definitely worth the investment as they could turn out to be collectible afterward.
- For those who do determine to speculate in Lego, then make sure that you accomplish that as a part of a diversified portfolio. And should you can, you might wish to purchase multiple style of set. For instance, stick solely to Star Wars sets and you might be in trouble if the general public’s interest within the franchise fades in future.
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