Buying gold or silver for the first time: everything you need to know!

Silver and gold have traditionally been a safe haven in uncertain economic times. As of 2025, both the silver and gold price are at record levels, and it seems that economic and political uncertainty will continue for some time.

Investing in physical gold and silver can therefore be an interesting choice for both experienced and less experienced investors. But should you buy gold or silver? How about safety? Where do you store your gold? How does the purchasing process work? In this article, a mini course on buying gold.

Purchase amount

It is important to first determine what your available budget is. How much money do you want to invest? Since every purchase and sale of physical precious metals comes with transaction costs, it is advisable to focus on long-term returns instead of buying or selling your gold or silver every month.

You can see physical precious metals as a way to preserve wealth and purchasing power as a long-term investment strategy, with silver being somewhat more speculative in terms of returns. You should therefore only invest money that you don’t need for daily expenses or want to use in a higher-risk strategy such as stocks. We cannot give financial advice on this matter, so if you are unsure it is best to discuss it with a certified and independent financial advisor.

Storage method

Depending on your budget, you can choose how you want to store your precious metals. Many private individuals choose to store their gold or silver at home in a safe place. For smaller amounts, this is not really an issue. However, for larger amounts you will preferably want a safe approved by your insurer or storage with a specialist, such as Edelmetaal Beheer Nederland.

It is advisable, before deciding what kind of precious metal to buy, to consider what type of storage you find comfortable and to check, for example, the terms of your home insurance policy.

Gold or silver

Once you have a budget and a suitable storage location, you can decide between gold, silver, or a combination of both. The gold price is relatively high, but gold is easier to store due to its higher value and is more widely known. The gold price is also somewhat less volatile than the silver price.

The fluctuating silver price can be both an advantage and a disadvantage. However, a drawback of silver is that it is subject to 21% VAT, since the government considers it an industrial raw material. This applies to silver bars and silver coins as of 2025. As a result, buying silver is less financially attractive for private investors.

Advantages of gold

Gold has the advantage of being somewhat more stable in price, VAT exempt, and of high value that requires little storage space. At the same time, the high value of gold can also be a potential disadvantage: a 100-gram gold bar costs more than €10,000, which can make it difficult to trade or ship.

Postal companies often do not fully insure such amounts, and banks discourage large transactions, both cash and electronic. It may therefore be more practical to choose smaller denominations or gold troy ounce coins.

Advantages of silver

Silver, being considered an industrial raw material, does not qualify for VAT exemption and therefore has a somewhat less stable price. The disadvantage of this is that you run slightly more risk with silver, although this is relatively minor if you look at the price trend over the past 25 years.

The advantage is that silver, because it is less popular, is easier to obtain in times of economic uncertainty and also has more growth potential than gold. As a result, you may still make a good profit on silver despite the VAT. In addition, for companies it is possible under certain conditions to reclaim VAT, provided the company can demonstrate that the silver investment is business-related.

Small or large denominations

We already mentioned this under the advantages of gold: its high value can make it harder to trade. With gold, even more than with silver, it is important to consider whether you want large or small denominations.

Gold is widely available in smaller denominations, such as 1-gram bars or 1/10 troy ounce coins. There are also so-called combibars with multiple 1-gram or 2-gram mini-bars in a breakable packaging. This allows you to sell gold per gram in a sealed package. The disadvantage is that these packages are relatively more expensive. Therefore, it is wise to choose a balance between relatively large, cost-effective bars and tradability.

Ordering process

If you want to place an order, this is relatively straightforward, just like in most webshops. On the website of The Silver Mountain you will find an extensive range of silver and gold investment coins and bars. Prices are updated every 3 minutes based on the current market prices, and you will find clear delivery indications with the products.

You can place an order easily through the website, but also via email or phone with our customer service if you prefer. When you place an order, you enter into a payment obligation due to the fluctuating prices. The Silver Mountain reserves the gold or silver for you at a certain price.

No right of withdrawal

This means you cannot make use of the right of withdrawal. Normally, online purchases come with a 14-day return policy. However, there is an exception for products linked to fluctuations in financial markets.

It is useful to be aware of this before placing an order. We do offer a buyback guarantee at market-conform prices. If you want to quickly sell your purchased gold or silver, this is possible, but not as a cancellation—rather as a sales order after you have paid for the purchase.

Shipping or collection

Due to the high value of silver and gold, you naturally want your order to arrive safely. We offer several options for this. For example, orders can be discreetly delivered by private courier. For smaller-value orders, it is also possible to have them delivered insured by a postal service such as PostNL or UPS. These options will be shown during the checkout process.

If you prefer to collect your order yourself, this is also possible. The Silver Mountain has offices in The Hague and Baarn where you can visit by appointment. An experienced advisor will hand over your order, with the option to pay by card or cash. If you want to buy anonymously or pay in cash, it is best to contact our customer service in advance of placing your order.

Buyback and storage service

Of course, we hope you are satisfied with your purchase, but should you later prefer to store your precious metals with our management service or sell them back, that is also possible. Through Edelmetaal Beheer Nederland you can store gold and silver safely and insured at competitive rates, and of course you can always have your gold or silver delivered back to you if you change your mind.

Through Inkoop Edelmetaal you can easily create a sales order and sell gold or silver back to us at market-conform prices. After receiving the products via insured postal service, private courier, home pickup, or in person at our office, you will receive your money quickly. If you have any questions, please do not hesitate to contact our customer service—we will be happy to assist you.

Disclaimer: The Silver Mountain does not provide investment advice and this article should not be considered as such. Past results offer no guarantees for the future.