Buying An Expensive Coin To Flip Possibly

Lets put it this way. Say you won the coin today and wanted to flip it to GC. Your only shipping method would be registered mail to have it fully insured which depending on where you live will most likely take a week minimum and wouldn't be unusual to take 10 days or so or even up to three weeks.

So now the coin is at GC anywhere from next week to late April. They work quick on single coin submissions but generally take about two weeks to get a listing up sometimes three. So now we are at the begging or middle of May.

Once that coin is live it will auction for 14 days unless you worked out something special for longer or shorter. So now you are looking at an end date some time in June which is generally not one of the stronger coin selling months price wise.

So if you went as fast as possible realistically June is about as quick as you could expect to have the money back from a finished auction and it will be a sub optimal time. If you wanted to wait on a more optimal auction period that would involve holding the coin for several months.

Also remember you will need to pay taxes on it

So assuming he isn't their neighbor if he wants to deliver it at a show that would add a month to the time frame. The next show Great Collections is attending is CSNS which starts on April 24th, if that doesn't work it's Baltimore which starts May 23rd. Both of those dates would give essentially a summer sale time especially the May date.




Only if you ask for one and are willing to give up some money for it. It is not standard practice.




It ABSOLUTELY 100 percent applies. Trying to hide a 15-20k sale from the IRS is a great way to end up in jail. Every coin you sell you have to pay the applicable taxes on

I am stressing that because I would hate to see someone get in trouble or end up in jail over thinking it's just a hobby it doesn't apply.

Millions of people live around me too, the other 350 million people in the country do not.

Factual information was presented as no one is here to argue. As I said cash advances are possible but they are not their standard policy. I've been using them for years.

That said It's extremely dangerous to down play the risk he would be taking attempting to flip a coin of this value and needs to know realistic timelines and what he would be getting into. I'm certainly not okay downplaying it when someone else is thinking of spending 5 figures on a coin in an area they aren't familiar with. It's even more dangerous to also tell people those sales don't need to be reported on taxes.

If you have ample funds available, the opportunity cost of holding onto the coin before sending it to GC later this year is relatively modest IMO. But @basebal21 is absolutely correct that the gain on the sale (minus cost basis) is taxable as a capital gain on collectibles.

They do, at least they used to -- just a few columns to the left, there's a "GC" sale for a 63+ in Aug 2013. Can't explain why this one isn't showing up in the 65 column, though.

Edit to add: Looks like "they used to". Tried a couple of recent sales I'd been tracking; they aren't showing up either.

For whatever reason GC and David Lawrence prices stopped getting picked up a couple years ago. Whether those venues told them to stop or blocked it or it is a comparability issue is unclear. Seems like a compatibility issue would have been fixed by now, but at this point the prices are mostly Legend/Heritage/Stacks/eBay. The ebay results are spotty as well, which I would assume a lot of the time that would be how the seller listed it.




I tend to agree with you at the significant 5 figure price point. There's a give and take for all venues. The fees are higher with Stacks/Heritage but you do have leverage in fee negotiation with a coin like that though it wont be much. GC is a very good venue for many things, but Legend/Heritage/Stacks market more aggressively and have a lot of deep pocket bidders, plus the in person viewings at shows. That matters on the high end.

Legend auctions would be my choice if they were interested to take the coin though they generally only want CAC coins.

If the OP has $10K to $15K to drop on this coin, I am assuming those tradeoffs have already been taken into account (though from my viewpoint the time value of money isn't the issue it used to be).




I wonder about that. To collectors like me with finite means, this is the stratosphere, but to investors with cash on their hands who are looking into collectibles to diversify, isn't this just chump change?

Tdziemia
You're right, I forgot the super rich. Don't rub elbows with them too often.
To me, as a collector, I could only imagine spending $25k on an ultimate dream coin trophy. For me, it would be an 1836 Gobrecht dollar. It certainly wouldn't be a common date Morgan condition rarity. And I would spend an inordinate amount of time examining the coin and arguing with myself about spending the money in the first place. For those who view $25k coin purchases as chump change asset diversification rather than a numismatic landmark, this coin's MS-65 sticker might be all they are looking for. Those folks probably don't spend a lot of time on this forum.