If you’re interested in collecting scrap metal and turning it into cash, getting started is easier than you might think. Whether you’re cleaning up around the house, tackling a renovation project, or just picking up discarded metal from local spots, there’s potential to make some extra income. This guide will help you get started, providing essential tips on what you’ll need, where to find metal, and how to sort and store it properly for maximum value.
Getting Started
What You’ll Need
Getting started is simple, and you won’t need much. Here’s what you’ll need:
- A magnet: The most handy tool for scrappers. A pocket-sized magnet does the job perfectly. You’ll use this to tell ferrous from non-ferrous metals (more on that below). If the magnet sticks to the metal, it’s likely ferrous.
- Something to collect the metal in: This could be a ute, a barrel, or even a cardboard box.
- Basic knowledge of metal types: It’s important to know the difference between various metals.
Where to Find Metal
Scrap metal can be found just about everywhere. Often, people throw it away without realising its value. You can go door to door handing out flyers to let people know that you are collecting scrap metal and would be happy to take it off their hands. If possible, you can also check out buildings and demolition sites to gather metal, but always make sure you have permission to collect from private property. Without permission, you could be charged with theft.
For the best success, try to find a regular source of scrap metal. You can also have a look at the free section of Gumtree for potential finds.
Also read: Where to Recycle Household Items: A Guide to Sustainable Disposal
Collecting and Sorting Metals
It’s crucial to know how to collect and sort your metals correctly to maximise the value of your load. Here are some essential tips:
- Keep each type of metal in its own container: Don’t mix different metals together when you head to the scrap yard. The reason is simple: you’ll likely be paid only for the least valuable metal in your container, or you’ll be asked to separate it and come back. For example, if brass and aluminium are mixed in one bucket, you may only get paid aluminium rates, which is a letdown because brass is worth much more per kilogram.
- Clean your scrap: This doesn’t mean washing it with soap and water. Clean scrap means the metal is free of any extra attachments. The difference between #1 Copper and #2 Copper is straightforward. #1 Copper is free of paint, brass, or other attachments, meaning almost all of the weight is copper. #2 Copper, on the other hand, might have paint, brass, or other metals attached, reducing its value.
- Store your scrap securely: Collecting scrap metal can be rewarding, but it’s important to keep your haul safe. Scrap metal is often stolen from businesses, construction sites, and homes, so make sure to store your collection in a secure location.
Understanding Your Metals
What’s the Difference Between Ferrous and Nonferrous Metals?
In simple terms, ferrous metals and alloys contain iron (Fe), while nonferrous metals do not. This is why a magnet is your most useful tool when sorting and collecting scrap metals. If the magnet sticks to the metal, it’s likely ferrous; if it doesn’t stick, it’s probably nonferrous.
This is important because there’s generally a significant price difference between the two: nonferrous metals often pay more per kilogram than ferrous metals. So, if your magnet doesn’t stick, you could be in for a better payout.
Common Nonferrous Metals
- Aluminium: Found in window frames, building structures, roofs, aeroplanes, trains, boats, cars, and trucks. It’s also used in smaller vehicles like bicycles, motorbikes, and mobility aids such as wheelchairs. Keep in mind that if any iron (use your magnet) is attached to these items, it needs to be removed for you to get the full aluminium scrap price. While old soda and beer cans can also be recycled, you’ll need a large volume to make a worthwhile return.
- Brass: The most commonly scrapped brass items are valves and pipe fittings. Other brass items include bullet casings, taps, door handles, and light fittings.
- Copper: Copper is commonly found in pipes, wires, circuits, switches, and electromagnets. It’s also used in plumbing fittings and found in refrigeration units, air conditioners, and water supply systems.
- Lead: Lead is used in various applications, from piping to wheel weights. It’s typically soft, somewhat pliable, and surprisingly heavy.
- Stainless Steel: Although it contains 70% iron, stainless steel is still considered a nonferrous metal and commands a higher price due to its minimum 8% nickel content. Stainless steel is often found in appliances, kitchenware, and some automotive and aerospace equipment. It may look like regular steel, but it won’t attract a magnet.
Ferrous Metals
Ferrous metals come in many varieties, with steel and iron being the most common. What’s important to know are the following two categories of ferrous metals:
- New Scrap: This is the excess metal from manufacturing production lines. The average person is unlikely to have access to this type of scrap.
- Obsolete Scrap: This includes old items like appliances, lawnmowers, and cars—anything made of steel. Both new and obsolete scrap will be attracted to a magnet. Below are some common items:
- Automobiles: You can scrap an entire vehicle if it’s no longer running. Many people let old, broken-down cars sit in their yard indefinitely because they never find the time to fix them. The good news is that you can scrap it if it’s beyond repair or too difficult to sell. It’s a good idea to remove any parts containing aluminium or other nonferrous metals, as you’ll get more money for those. Also, before bringing the car to the scrapyard, it’s best to call ahead and find out what they require. Most yards will need you to provide the title and drain all liquids from the vehicle. Emptying the liquids can be a pain (I spent an entire summer doing this once), but it’s worth it if you’re getting paid.
- Washers, Dryers, Heaters, and Other Appliances: Most scrapyards accept these items. If you’ve recently replaced any household appliances, instead of letting them collect dust in your garage, you can make some decent cash by scrapping them.
- Structural Steel: This includes prepared I-beams, channels, angles, plates, steel girders, and other structural steel from demolition sites. This is the type of steel that typically supports bridges and buildings.
Cashing In
Where Can You Sell Your Metal?
Now that you’ve gathered and sorted your metals, it’s time to cash in. Your best bet is to head to your local scrap yard. If you’re in the Perth area, Dream Lucky Scrap Metal is a top choice. They offer competitive prices for all grades of scrap metals and are known for their excellent service.
While scrap yards and wrecking yards may seem similar at first, there’s a slight difference. Both might look alike to an outsider, but scrap yards focus purely on buying and selling metal, while wrecking yards deal with a broader range of items. Wrecking yards are also traditionally used for vehicle wrecks and parts.
It’s a good idea to call ahead to your local scrap yards to check which one is offering the best prices for your metal. In most cases, you’ll find the prices are fairly similar across the board. Some yards pay cash, while others might issue a cheque.
Dream Lucky Scrap Metal not only offers top prices, but they also provide a convenient location for drop-offs in Bayswater, along with hook bin services for larger projects. They even provide demolition clean-up services to make your scrap collection easier!
You can also use the iScrap App to find scrap yards in your area.
How Much Can You Make from Scrapping?
The amount of money you can make from scrapping varies, ranging from a few extra bucks a month for small items to several thousand dollars if you have a connection to a business that generates regular scrap. Your earnings will depend on what and how often you scrap, and keep in mind that scrap prices fluctuate based on supply and demand.
Here’s a rough guide to prices:
- Light iron and other ferrous metals: $0.08–$0.16 per Kilo (these are more commonly found, so you can collect a larger weight)
- Copper: $4.00 – $6.00 per Kilo
- Insulated copper wire: $1.50 – $2.00 per Kilo
- Clean brass: $1.50 – $2.50 per Kilo
- Stainless steel: $0.75 – $2.00 per Kilo
- Aluminium: $0.20 – $1.50 per Kilo
Full list: Scrap Metal Prices
It’s not unusual for a scrapper to earn $100–$200 a day from their haul. Not bad if you’re looking to earn a bit of extra cash, especially before the holidays!
Are you a scrapper? Got any tips or tricks to share?
Omer Bekhit
The dedicated owner and operator of Dream Lucky Scrap Metal. He has been at the forefront of ethical scrap metal recycling, exporting, and dealing. With a hands-on approach to the business, Omer ensures that every transaction is conducted with transparency and sustainability in mind.