Reality Check! Is LEGO Investing Actually for You?
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- čas přidán 11. 06. 2024
- Thanks for watching my video where I shared my thoughts on reasons why you should or shouldn’t invest in LEGO! I'd really appreciate it if you liked this video and subscribed, I put out LEGO investing content weekly. Comment down below if you have any questions about LEGO investing!
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Chapters:
00:00 Intro
00:31 I’m not passionate about LEGO
01:18 It’s not passive income
01:51 Too much time, not enough reward
02:57 The market is saturated
03:43 I can’t buy sets at good discounts
04:39 No one is paying inflated prices
05:05 Poor economic times
06:13 The set or minifigure will get released
07:43 It’s uncertain/gambling
08:42 Fees and shipping take your profit
09:52 I don’t have the space
10:29 I always choose the wrong sets
11:04 I can’t scale it large enough
11:49 Conclusion - Zábava
Brian, this is EXCELLENT content! Such good clarity and perspective with very well thought out points. Thank you for keeping us focused!
Thank you Steven! Always appreciate your support!
Great videos and love listening to your advice. Definitely agree about the effort required (research, looking for discounts, storage, shipping etc), and the need to be passionate about it.
There's definitely been a surge in Lego investors (and Lego releasing more sets) since the pandemic, when people had spare cash.
That's created more supply than demand for many sets in recent years, which means prices often rise more slowly post-retirement. I think long term holds might be a better strategy at the moment, as many of the highly recommended investments each year since 2020 are often available at retail price (or less) on ebay during the first year post retirement (e.g. Medieval Blacksmith, Endor Heroes, Republic Fighter Tank, Horizon Forbidden West, etc.).
Sets growing by 100-200% in 1-2 years are increasingly rare, and it's harder to pick winning sets as everyone else is trying to do exactly the same (and often watching the same investment advice on CZcams).
Certainly in the UK I think it's taking longer for sets to start rising in value, and in an economic downturn some people will offload their stock at lower prices, which keeps ROI growth lower for a while.
Personally, I started investing in 2020 and have decided to hold almost all my sets long term, only selling the gifts with purchase or sets that have not performed well, or have grown but then flatlined.
Great content as always Brian! You are definitely my favourite Lego reselling/investing CZcams content creator. As stated above always bringing such clarity to the subject at hand and with a lot of transparency. Thank you for that! Regarding future content I would love to hear more about non-us reselling context. I understand that might not be your primary area of expertise 😊 but maybe you have insights from your community? Cheers!
Thank you for your support! Unfortunately, I’m not too familiar with other markets outside of the US. They can vary a surprisingly high amount, some sets that are great here are over supplied in other countries or vice versa. What I’d recommend is to do research on the sets I talk about in your region and see if they show the same good signs that they do here. Hope this helps!
Great video and great key points .This need to be a side gig only
Thanks Tony!
Great content man I did a few mistakes last year I think and for now I’m pausing because I don’t have room anymore. What’s the box behind you ? Not the tank the other one that you have 100 times lol
Thanks! Appreciate ya still keeping up with the channel :) Those are my Battle of Endor Heroes BrickHeadz haha
@@TheBrickDynasty yes I love your channel and Lego investing but I need to stop buying now so I try to not watch you too much. I think you deserve much more people following you so anytime I can I’ll drop a like or a comment to boost the channel.
How are these selling in the US ? Here in France definitely not taking off, the biggest gainers I know of so far have been the first plant ever made and the “ugly” dark trooper helmet
@@stanmarge6326 they’re doing good in my opinion! They were on sale for $24 for like 2 months here and they’re going on Amazon for $45 currently. My buy price is a little under $20 I believe, so I’m feeling great about them.
The Bird of Paradise and Dark Trooper Helmet have also done well here!
In my town, we have one Walmart. Closest Target is 50 miles away. Closest Lego store is 4 hours away. Barnes & Noble is 50 miles away. I find some deals there. So when your shopping choices is minimal, you do what you can... I only buy sets and never open them...
I do most of my LEGO shopping online. You definitely get better deals in stores, but there are still some great ones online
That’s all good, I do basically 100% of my buying online!
Really good video. As someone who is newer to Lego investing, but has multiple Six-figure years in reselling I can add a few thoughts to this:
1) reselling or investing in product is cash-intensive. If you’re going to be buying and holding for a long time you need to have some capital built up, or:
2) redefine what scale you should be operating at. You touched on scale, and I agree. The thing is that not everything has to become a full time job, but people want it to immediately be, and aren’t allowing themselves time to make mistakes and learn from them. Instead of buying 50 sets of one sku you buy 10 of each and try to diversify more with your retirement dates. Getting an extra $1000-$2000 per month can be life changing for a lot of people, and will help get you in a better place to grow moving forward
3) lastly, don’t rely on any one platform for selling. I can’t tell you the number of issues I’ve dealt with over the years with eBay that have had a real impact on my sales. Diversifying on marketplaces is easy to do with tools like listperfectly, or just do them all manually
A quick final thought, coming from a reselling background I sometimes prefer to take a more modest profit upfront then waiting for more down the line. This is more of a flipping mentality as opposed to investing, but could work well for someone who doesn’t have a ton of start-up capital. As an example, I was able to buy a Hogwarts express for $55 and immediately sell it on FBM for $100 within a week. Do that a few times and you can really start to accumulate cash quickly
Thanks for sharing your thoughts! Lots of great insights!
The market is more saturated in lego investing these days. I have been selling Lego for about 15 years now and I have noticed a huge difference in the market over the past 4-5 years compared to my early day sales. Lego investing youtubers aren't helping this because their aim is to spread the word about Lego investing. Making punchy thumbnails and titles about ways to make money, of course this is going to encourage new investors. And no lego investing youtuber is making a chunk of change from youtube spreading the word. Costs us all lol.
It is more saturated, as I discussed at 3:03, it’s not as easy to make money as it once was, but it’s still very profitable if you’re putting in the work to research, watch the market, and buy at good discounts.
@TheBrickDynasty yeah sadly I live in the UK we don't get the best discounts here 😅 most on good sets is 33% at best. Very rare you'll get 40% off over a black Friday event maybe
Hello brian get advice but you didnt touch on one important one is returns that happen when selling on amazon and walmart. too many people open the sets and send them back in a poly bag with every single pack open. So have to ensure that the margins that one is selling at can cover returns and then some.
That is an issue, here are my thoughts: Returns typically only impact 2-3% of orders, an even smaller percentage of that is people taking advantage of the system and stealing parts. If you sell on Amazon over eBay, you’re typically selling your sets for decently more $ than on eBay, which makes up for the return rate. So personally, I don’t that that is enough of a reason to avoid investing in LEGO.
@@TheBrickDynastyi sell mainly on amazon but it depends on the cost sub $75 have less issues over $100 lego sets I always have issues.
I feel like the poor economic times reason is the worst excuse. Poor economic times hold more opportunities if you have the capital to take advantage. Like you said there will be collectors that pass on sets because of their financial issues only to buy them in a year or two when times have changes. It also means there will be more deals from retailers to take advantage of.
Totally, people to were able to invest in stocks, real estate, etc in just early-mid 2020 have made life changing money.
@@TheBrickDynasty Also picking up others collections for 50 cents on the dollar or better is a great opportunity.
6 figures 😳 I need to set up my game. I was just trying to make the ones I keep free. 😁
Everyone has different goals for LEGO investing and that’s ok! Earning enough to cover your personal LEGO expenses is still a great accomplishment!
Sell the product, test it, but don't use the product
Dude seriously trying to convince people S&P500 is less safe than lego investing. my goodness.
Not trying to convince anyone to do anything, only sharing my experiences.