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 Replies: 19 / Views: 9,779 |
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Pillar of the Community
United States
2541 Posts |
If silver goes to $8 an ounce next year, I'm buying the bleeeeeeeeep out of it!
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Valued Member
United States
285 Posts |
I don't actually think it is going to be $8, I was just using it as an example. But if it happens I will be right there with you buying it!!
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Valued Member
United States
406 Posts |
If silver goes to 8 an oz BLEEP won't cut it for me either, I'm selling my truck, all my coins, my dog, my tv's, my computer, and hopefully won't have to split everything else with my wife. I will buy A LOT of silver and live frugal until I cash in.
Brian
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Pillar of the Community
United States
2424 Posts |
id suggest going to your local coin shop and asking for their junk silver quarters, dimes, halves.. I've found many XF-BU quarters halves and even doillars for spot...
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Valued Member
United States
60 Posts |
Well, I myself believe that silver has much upside potential and current silver spot price is a bargain!
That said, buying silver coins at melt value would be a good deal considering most silver coins, atleast that I can think of, have some sort of premium added to them. So, yes! BUY
Edited by stacksilver79
05/30/2010 11:28 pm
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Bedrock of the Community
United States
10982 Posts |
I'd buy for melt value if they are 90% silver. 35% War Nickels and 40% halves do not trade at melt value in most cases. Melt value can be different than spot value because of the wear on circulated pieces. Take: (Face Value) X (0.715) X (Spot Price) to get melt value for average circulated 90% silver coinage. An example at $18.00 silver spot for 2 common date Walking Liberty halves: ($1.00) X (0.715) X ($18.00) = $12.87. |
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Valued Member
 United States
188 Posts |
Wow, B, That is pretty interesting. Is that a universal method?
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Bedrock of the Community
United States
10982 Posts |
Quote:
Is that a universal method?
The dealers that I do business with all use it so yes, I'd guess it's universal in the U.S. It can be applied to any 90% silver coin but should not be used for silver dollars because they have a slightly higher silver content (as a percent of face) and always carry a premium regardless of condition. |
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Pillar of the Community
United States
573 Posts |
If you are buying on a consistent basis, then dollar cost averaging should be in your favor in the long run. Throwing in the occasional numismatic premium puts you even further ahead. I know guys who have been buying silver for years (rounds, bars, 90% junk, etc). They bought when it was $6/oz and are still buying now that it's $18/oz.
The question you need to answer, though, is whether you are investing in silver and trying to make a quick profit, or whether you are using silver to store wealth against the risk of inflation. Investing in silver is difficult to turn a quick profit unless you are buying way below spot. I've got a deal with a local PM buyer. He buys silver and gold coins, jewelry, etc. at about 45-50% of spot. I buy his silver coins for 85% of spot. But if you're buying silver at spot, unles there's a numi premium, you won't be able to sell it for a profit.
But if you're using silver to store your wealth, then you're in it for the long haul. I've read this stat but haven't researched to see if it's true. But since 1913, when the Federal Reserve took over the US money system, the dollar has lost 97% of it's value to inflation (some say government created and manipulated inflation). But a silver dollar from 1921, at $14.21 of silver value as of Friday, has pretty much maintained it's 1921 value.
Matt
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Valued Member
United States
103 Posts |
I manage a pawn shop, and we do great business in both numismatic coins and bullion. We don't just wait around for the stuff we hunt for it daily. ebay is OK but craigslist nets us a ridiculous amount of 90% and we buy at 50% of spot. |
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Pillar of the Community
United States
921 Posts |
Sukardnam: That's interesting. Must depend on where you live. Do you just check Craigslist in your location? I don't see many silver coins on Craigslist in my location although I've only been watching for a few months.
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Valued Member
United States
103 Posts |
Nope I post ads daily. If your looking for a deal you can't expect it to come knocking on your door.
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Valued Member
United States
322 Posts |
bherring1964, I have hart time understanding your formula. First you said face value, then Walking Liberty half you count as $ 1.-. Do I miss something here? Or you mean double the face value? Please clarify. Thanks, Samuel Tan |
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Bedrock of the Community
United States
10982 Posts |
Quote:
Nope I post ads daily. If your looking for a deal you can't expect it to come knocking on your door.
There is a local coin shop that posts ads every week in the newspaper I read. They offer 8X face on pre-'65 silver and 40X face on pre-'33 gold. These rates have not changed in months and I always wonder how much they buy. Since the ads continue on a weekly basis, I'm certain they get plenty. Quote:
I have hart time understanding your formula The formula is for 2 halves. Add up your total face value then X spot price X 0.715. Edited by BH1964
06/01/2010 6:12 pm
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Valued Member
United States
322 Posts |
Now I know, I miss the 2.
thank for clarifying.
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Replies: 19 / Views: 9,779 |
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First Page
Posted 05/30/2010 10:34 pm
