I get asked about the value of sterling flatware so often that I decided to establish a new ratio that reflects information about actual sterling sales on eBay. It takes two factors into account:
- Sample prices for actual recent sales of sterling flatware on eBay("actual sale prices")
- Current market price for commodity silver ("scrap price")
To calculate the ratio, I look at some recent sales on eBay of sterling flatware. I try to find a mixture of complete sets as well as one or two piece sales. I determine what the scrap value is at current market prices and calculate this ratio:
actual sales price divided by scrap price
I include the shipping cost in the sales price.
Here is the ratio for today: 0.89 (or 89%).
- If the ratio is 1.0 (or 100%), sterling flatware is selling at the scrap price.
- If the ratio less then 1.0 (or 100%), sterling flatware is selling below the scrap price.
- If the ratio is greater than 1.0 (or 100%), sterling flatware is selling above the scrap price.
To me, the fact that the ratio is 89% today is very disappointing. That fact signals that many buyers are buying based on scrap value alone and plan to have the sterling flatware melted down. Of course, there are always exceptions. Some sterling flatware sells for a much higher price than scrap. However, I'm reporting on the general case.
I'll publish the ratio from time to time, especially if I detect a significant shift.
Disclaimer: The method used to select sample actual sales on eBay was not based upon generally accepted statistical sampling methods. The actual ratio could be higher or lower. However, we feel it is reasonably close.
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