Plenty of people know how to make money buying and selling scrap metal. It is important to understand your local area and what type of scrap metal is actually selling. Locate several recycling centers and check out their buying prices. These prices are usually by the pound or by the ton. Don’t accept their “going” rate; it definitely pays to barter to make sure that you maximize your profits when selling scrap metal. This is one of the best tips you can get; because when the recycling center gives you their rate, they expect you to believe that the rate they gave you is the only rate at which they are willing to pay you. That is nonsense- they are easily bartered if you are assertive enough.
Decide whether you are going to buy scrap metal and sell scrap metal to the scrap metal recycling center or if you plan to find scrap metal on your own. Obviously the latter means more profit because you get to cut out the middle man, but your profits will be slower to accumulate. Check local classified ads, both in the paper and online to find scrap metal for pick up or to find out the going rate for scrap metal. Places like Craigslist.com are great places to find the recycled treasure you are seeking. Recycling centers will buy metal at higher prices based on its functionality or its ease of processing. In other words, if you recycle sheet metal that can be reused then you will be paid a higher price for it because it does not need to be reprocessed and prepared for use. Metal that is small and bulky will command higher prices because of its ease of being thrown in the pot to be melted down and used again.
Be on the look out for items such as angle iron, depending on the length can be sold for reuse or recycling. Metal pickets and posts are good for recycling because of their heavy weight and higher quantities when you find them. This can increase your profits exponentially.
I have tried hauling away other people’s junk and charged a premium for it. I was then able to turn around and sell what I hauled away for a premium price at my local recycling center. Above all, make sure that you stay safe. Scrap metal can be very sharp and can cause serious complications if you cut yourself with it- especially old or dirty metal. Wear gloves and protect your body carefully when buying and selling scrap metal so that you’ll be around to reap the benefits of your profits.