Buying decisions
10 Things to Check Before Buying an Item to Resell
Use this ten-point resale buying checklist to check identity, condition, sold comps, demand, fees, delivery, profit and ROI before committing your money.
By Frank Cheung · · 4 min read
Know the item, its likely buyer and the numbers
An item is worth considering for resale when you can identify it, support its expected price with relevant sales, and retain enough profit after costs to justify the work and risk. Use these ten checks before you buy—not after you discover a problem at home.
If a crucial answer is uncertain, use a cautious estimate or walk away. A low purchase price does not make an unidentified, unsafe or unsellable item a good deal.
1. What exactly is the item?
Check the brand, model, edition, size and distinguishing features. Read labels and model numbers rather than relying on a recognisable shape. Printed graphic text may describe artwork, not an official model. A photo can help with research, but confirm the details against visible evidence.
2. What condition is it in?
Inspect wear, stains, odours, repairs, damage and missing pieces. Test functions where it is safe to do so. Decide whether preparation will genuinely improve value and include its cost. Never compare an untested or incomplete example with a working, complete one without an appropriate adjustment.
3. What have similar items actually sold for?
Look for several recent sales rather than the highest active asking price. Read the listing details and watch for accepted offers, bundles and prices that include different delivery arrangements. The sold comps guide explains how completed sales can support a realistic estimate.
4. Are the comparable items genuinely comparable?
Match the product, variant, condition, size and completeness. A whole item is not comparable to its replacement parts; a genuine item is not comparable to an imitation. Separate ordinary examples from unusual editions, and avoid allowing one exceptional sale to determine the buying price.
5. How much demand is there?
Check recent sale activity, seasonality and the likely buyer pool. A niche collectible might command a good price but take time to sell. Active and sold counts need matching categories and time windows before they can support a sell-through comparison. Do not assume rarity guarantees demand.
6. What will marketplace fees cost?
Check the current rules for your seller account, category and location, including payment processing or promotion where relevant. Establish whether fees apply to buyer-paid postage as well as the item. Rates vary, so use your actual selling arrangement rather than a generic percentage found online.
7. How much will shipping and packaging cost?
Estimate packed weight and size, tracking, insurance if appropriate and protective materials. Consider breakage and carrier restrictions. If delivery money is included in sale proceeds, include delivery expense as well. Collection can avoid postage but may narrow the market.
8. How much profit will remain?
Subtract acquisition cost, selling fees, fulfilment, cleaning and repairs. Allow for the time involved and the possibility of a lower accepted offer or return. Compare a realistic sale price with a conservative one. The resale value guide helps frame the buying decision around evidence and likely costs.
9. What is the ROI?
Purchase-price ROI = transaction profit ÷ purchase price × 100. Compare it with cash profit: a high percentage on a very cheap item can leave little money. If the purchase price is zero, percentage ROI is undefined. Use the reselling ROI calculator to test your assumptions.
10. How difficult or risky will the item be to sell?
Consider authenticity, safety, returns, storage and the work needed to describe it accurately. Check marketplace restrictions for the product. If you cannot authenticate or safely test it, or cannot afford the cash being tied up, a theoretical profit may not justify the purchase.
Worked example: putting the checklist into a buying decision
Imagine a complete, checked item with relevant sold evidence suggesting £70 in sale proceeds. The purchase price is £25. For illustration, allow £8 for marketplace and payment fees, £5 for postage and £2 for packaging. These are assumed costs, not a particular platform’s current rates.
| Item | Amount |
|---|---|
| Expected sale proceeds | £70 |
| Purchase price | −£25 |
| Marketplace and payment fees | −£8 |
| Postage | −£5 |
| Packaging | −£2 |
| Estimated transaction profit | £30 |
| Purchase-price ROI: £30 ÷ £25 × 100 | 120% |
Check the downside as well as the headline return
At £55 in sale proceeds with the same simplified £15 selling-cost allowance, profit would be £15 and ROI 60%. Actual percentage fees would vary with price. Decide whether that lower outcome still meets your cash-profit floor and compensates for the effort.
Use the checklist to decide, not to justify a purchase
Buy only if the identity, condition, evidence and costs hold together. If the calculation depends on an exceptional sale, free packaging you do not have or ignoring a defect, revise it. An honest “not enough information” is a useful buying decision.
About the author
Frank Cheung
Frank Cheung, Founder of FlipWorth
Check an item before you buy it
Research likely resale value, then compare your buying price with costs, profit and ROI.