How to price a flip: fees, shipping and what “typical price” means

“It's worth $400 and they want $250, so I make $150.” That's how most people price a flip in their head, and it's why so many flips make less than expected. Let's do it properly. It takes about a minute once you've done it a few times.

Asking price is not sold price

When you search a marketplace for similar items, you see what sellers are asking, not what buyers are paying. Asking prices run high: the item that sells for $400 is listed next to three that have sat at $480 for a month. For local resale, estimate a bit under the typical asking price. For eBay, use the Sold items filter and ignore everything else.

What “typical price” means in SnagSonar

Next to each listing, SnagSonar shows the typical price: the middle (median) of what similar items near you are currently listed for. It's a fast gut-check, not a guarantee. A listing 30% or more under typical is usually worth a closer look; a listing 10% under is normal haggling room, not a deal.

The costs people forget

• Marketplace fees: eBay takes roughly 13% of the sale price including shipping, plus a small per-order fee. Local sales have no fee.
• Shipping: $8 to $20 for most small electronics, more for anything heavy. Padded mailers and boxes add a dollar or two.
• Payment fees: some apps charge for instant transfers or business payments.
• Your drive: 30 miles round trip is about $20 in gas and wear at IRS rates, plus an hour of your time.
• Risk: a share of items will have a problem you didn't catch. Build in a buffer.

A simple formula

Profit = expected sale price − fees − shipping − what you pay − drive. Decide the minimum profit that's worth your time (many flippers use $50 for small items, $100 or more for anything that needs a truck) and don't go below it.

A worked example

An RTX 3080 is listed for $320. Typical nearby asking price is $485; recent eBay sold prices average $470.

• Expected sale on eBay: $450 (priced a little under the sold average for a quick sale)
• eBay fees at ~13%: −$59
• Shipping and box: −$15
• Purchase: −$320
• Drive, 12 miles: −$8
• Profit: about $48

That's thinner than the “$485 − $320 = $165” headline suggested. It's still a fine flip if you can also sell it locally for $420 cash (profit about $92 with no fees or shipping), which is why knowing both prices matters. SnagSonar's estimated profit uses the fee and shipping numbers you set in Settings → Selling costs, so adjust them to match how you actually sell.

When to walk away

Walk away when the profit only works if everything goes right, when the seller can't confirm the exact model, or when you'd be buying something you can't test. There is always another listing. The flippers who last are the ones who say no a lot.