Running successful garage sales requires a little planning to rake in the most money. Consumer Reports will help you ban clutter and earn extra cash.
Get rid of your clutter and pocket some cash
Planning and running a
garage sale yourself takes a lot of time. The benefit, though, is that
you get to pocket all the proceeds. And as long as you sell items for
less than you paid for them and don't hold sales so often that you have a
regular business, you don't need to report your earnings to the IRS.
To make the most money, start by gathering all the goods you no
longer want from every room in your home—old indoor and outdoor
furniture, electronics, housewares, garden tools, appliances, clothing, and the like.
Store them in an out-of-the-way area, say, in your basement or
garage. Pick the day you'll hold the sale, and check with your municipal
government to see whether you need a permit. Also ask whether there are
restrictions on where you can post signs to advertise your sale.
When the day comes, make sure you have lots of change and small bills on hand, and follow these additional tips.
1. Be Organized
Too many garage sales are a
haphazard collection of stuff. Don't be afraid to use time-tested
supermarket and department store promotion tricks. Organize similar
items together so they catch the shopper’s attention. If you have a lot
of a particular item, “buy 3, get 1 free” is a great option.
What should you sell? Just about anything that’s not precious enough
to sell in an auction or consignment shop—including broken items—is fair
game for garage sales.
“People often buy things for parts at garage sales, especially broken electronics,” says Lynda Hammond, author of "Garage Sale Gal’s Guide to Making Money Off Your Stuff."
2. Don't Put a Price on Anything
Figuring out what to charge
is the most time-consuming and stressful part of garage sales, says
Hammond. Ask buyers for their best offers; they will often name a price
that’s higher than the one you would have suggested.
“I had a friend who wanted to get rid of a dining room table and
chairs, and was going to put a $150 price tag on it before I convinced
her not to,” says Hammond. “A man at her sale told her he only had $400
on him for the set; the lady having the sale was so flustered she talked
the buyer down to $300.”
If people seem too shy to negotiate, then you can name a price. To get an idea of an appropriate valuation, go to Statricks.com.
It aggregates pricing data from online auction sites such as eBay and
classified sites such as Craigslist. You'll find hundreds of thousands
of used products, from small appliances, bicycles and cell phones to computers, photo and video equipment, and sporting goods.
3. Get the Word Out
You can place free classified ads on such websites as Craigslist, eBay Classifieds, Gsalr.com, and YardSales.net.
You'll probably be able to specify the categories of items you’ll be
selling, and in most cases post some photos. Also post information about
your sale on social media sites such as Facebook, Instagram, and
Twitter.
"Do a 30- to 60-second video of the items," says Andy Curry, a
consultant on small-business marketing based in Colorado Springs, Colo.
"Then put it on Facebook and ask all your friends to share it. On
average, people have 350 friends on Facebook, and you can get a ton of
free advertising doing that."
Find a way to set your sale apart. J.D. Roth, founder of the personal finance website Get Rich Slowly,
called one of his sales a “geek garage sale,” and emphasized that he
had graphic novels, board games, and computer gear in a Craigslist ad.
The crowds that turned out bought the geeky stuff, but they also bought
kitchen gadgets, artwork, and clothing. His total earnings: over $2,400.
Make directional signs to attract people to your house from major
routes. Hammond suggests using signs no bigger than 15x15 inches that
simply say “Sale” and have an arrow pointing the way; Curry says bright
yellow with black lettering works best. Have someone check the signs
during your sale, if possible, to make sure they haven't fallen down or
aren't covered by signs for competing sales.
4. Go Through Your Stuff
There’s a good chance you’ve
forgotten about a $20 bill you slipped into a jacket pocket or
keepsakes you stashed in drawers. So check carefully. A woman Hammond
knew ran a garage sale that included several old pocketbooks. One of
them had several credit cards tucked into a pocket. Fortunately, her
husband checked the bag and found the cards before they opened for
business.
5. Start on Thursday or Friday
Begin early—say, 6 a.m. or 7
a.m.—to ensure that you’ll get the going-to-work and
driving-the-kids-to-school crowd. “You’ll have few other sales to
compete with, and you’ll attract serious shoppers,” Hammond says. You
can always continue the sale during the weekend if you have items left.
6. Be Friendly
People are less likely to
buy from someone who is reading a book or talking on a phone, and more
likely to buy if you greet them and are available to answer questions
and negotiate, says Hammond.
When parents with young children visit, find something to give the
kids for no charge. You can also throw in freebies for folks who buy
lots of stuff, which builds goodwill, even among customers who are
watching.
7. Think About Security
Keep your house locked
during your sale, and keep your money and a phone with you at all times.
People toting counterfeit bills sometimes turn up at garage sales, so
turn down payments in big bills.
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