Flipping used phones, tablets and laptops

Swappa keeps 3% of the sold price, with PayPal's 3.49% + $0.49 processing fee charged separately. eBay's fee page works through a $400 used smartphone sale: fees of $58.41 leave the seller $341.59, before shipping and the cost of buying the phone.

No platform or government source publishes typical profit per flipped device, so what you keep depends on what you pay for stock. The main catch is money tied up in devices that turn out to be Activation Locked, reported stolen or still financed. It suits people who can check each device before paying and absorb an occasional loss.

How the money works on a flip

You buy a device, a buyer pays the marketplace, and the marketplace pays you after fees. Your profit is the resale price minus what you paid, fees, shipping and any repair. eBay charges its fee on the total sale amount, including shipping and sales tax, and includes payment processing. On Swappa, buyers also pay a separate 3% on top of your listing price, which matters when you price against other sellers.

What the evidence says about flipping profit

The BLS wage covers employed cellular equipment repairers and excludes self-employed workers. Swappa estimates that flagship iPhone used prices fall 9-15% within 24-48 hours of a new model announcement and about 20% once the new phone ships. It also estimates that Apple Silicon MacBooks keep about 40-60% of their value at three years, while Windows laptops lose roughly 50-70% in year one.

Where the hours go

Each device carries unpaid time before it sells: finding it, meeting the seller, checking it, photographing it, listing it, answering messages and shipping it. The calculator's unpaid minutes are an assumption, not data. Your cash also stays in stock until the sale and then through the payout delay shown in the platform table.

What it costs to start

Swappa requires a PayPal account for most sellers.

Where to sell used devices

Swappa, eBay and Mercari all handle phones, and Swappa also lists tablets and laptops.

Swappa describes itself as shipping-only with no in-person meetups, and its listing conditions start at fully functional, so broken devices need another outlet. Local pickup on Facebook Marketplace or OfferUp avoids shipping. See Facebook Marketplace vs OfferUp and the OfferUp profile.

Requirements and rules for resellers in the U.S.

Whether buying used phones for resale counts as secondhand dealing depends on your state and city. Check their business licensing offices before you buy in volume.

For taxes, IRS Topic 554 says self-employment tax applies to net earnings of $400 or more. Net earnings are gross business income minus ordinary and necessary business expenses, so keep records of purchase prices and fees. OnPay reports that the 1099-K threshold reverted to $20,000 and 200 transactions. Confirm the current figure on the IRS website.

Locks, blacklists and scams

• IMEI: Dial *#06# to find it, then enter it in CTIA's Stolen Phone Checker. Red means reported lost or stolen and blocked by the carrier. Green only means not flagged at the time of the query. A description that doesn't match the device can point to tampering or a counterfeit.
• iPhone and iPad: Apple says to start setup. An Activation Lock screen means don't take it, and a request for the previous owner's Apple Account means the seller must remove it.
• Mac: Activation Lock needs the owner's Apple Account credentials, so a locked Mac is unusable to a buyer. Firmware passwords apply only to Intel Macs, and a forgotten one needs an Apple visit with the original receipt.
• Carrier balance: Verizon says financed devices unlock only after the balance is paid.

Who flipping devices fits, and who should skip it

It fits if:

• You can leave your own money in stock until each device sells.
• You will check IMEI, lock status and carrier balance on every device, a step retail arbitrage on new items mostly avoids.
• You will time purchases around new model launches.

Skip it if:

• You can't absorb a loss from a locked or blocked device. Thrift store flipping has no lock checks.
• You don't want money tied up in stock. Handyman services have no stock to buy.
• You want other resale options. Browse Reselling & Flipping.

How to start

1. Open a free seller account through Swappa's seller accounts page. Staff review individual listings, and business accounts exist for resellers with the same fees.
2. Read Swappa's listing conditions and buy only devices that would qualify.
3. Look up what your target models sell for in Swappa's used iPhone price guide, then work back to the most you can pay after fees and shipping.
4. Run the IMEI, Activation Lock and carrier balance checks from the section above before every payment.
5. Register as an eBay seller through eBay's seller registration page, which verifies identity, payout account and business details.
6. Record purchase price, fees, shipping and hours for each device, and use the hourly earnings guide to see what you really earned before buying more stock.