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 Replies: 16 / Views: 2,948 |
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Valued Member
United States
362 Posts |
I have been hanging around a lt, and in the past year or so increased my stash considerably, but almost all of my coins have silver or gold in them, which in itself gives the coins value.
Some with slight premiums, but most of the value comes from precious metals.
I do have a couple of 2 cent pieces which ni find really cool, butni havent quite grasped how he value of these things are determined. Similarly to a piece of rare art, which in itself has no value, just wood, canvas and some colors, but due to the artist, beauty, etc... that gives it value.
But who determines the value of these things? Who sets the demand? How do yo know what you should pay? After all, something is only worth what someone is willing to pay. Is it sokey based of the number of coins made and th condition? How do you knowwhat the demand and price is for a coin? And where do you get that information?
I know these are some extremely general broad questions, but was thinking about going for some more 2 cent pieces or some rare 5 cent pieces, but really dont know where to start
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Pillar of the Community
United States
716 Posts |
Nobody sets the demand. Demand is based on the basic law of economics- supply vs. demand. If ten people want an item and there are only 5 available then the price goes up and visa versa.
There are many price guides available, but I basically go on a couple of auction websites and look at recently completed sales for the coin I am interested in. This gives you a good idea what the coin is going for and is a good starting point.
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Pillar of the Community
United States
1150 Posts |
Abstract value is one thing, but in my opinion something is ONLY worth what a given person is willing to pay for it at a given time. All other 'book' or written 'values' are pure conjecture.
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Valued Member
United States
382 Posts |
I agree whatever the buyer will pay is the true value of anything. If no one is willing to buy at a certain price then the item is not worth that price no matter what is written about it. Some see coins as investments I have never felt that way, I see them as an historic art collectable and a very interesting subject on their own. Now that silver has gone up as well as gold of course any coin made of those metals is worth no less than spot prices, I think however that All coins have numismatic value as well no matter what the grade.
Copper coins and Nickel coins are great collectables and can be viewed as investments as there is a certain market for them, (the collectors market) here the going rate is pretty much the going rate, look up any classic US coin on a few different dealers sites and you'll see the prices should be within a few dollars of each other for the same coin, if you want it thats the price you will have to pay for it I think. Research, research, research is the key, you like 2 cent pcs read about them,find out which is rare, due to condition, mintage etc. look to see what they sell for and buy some. I feel that unlike other collectable markets that are driven by hype and even manufacturers or even the US Mint, coins will always hold their value or go up through the years. This of course is my view on things other may differ. I say buy and dont sell, I learned that the hard way because if you sell you'll get a small fraction of what you paid.
Tony
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Pillar of the Community
United States
5832 Posts |
There will always a buyer and a seller. I read David Ganz Rare coin as an investment latest edition, stressing lower mintage coins and holding it for up to 10 years is a way to go. Buy a 100 coins that amount total to a $10,000 portfolio. (average $100 per coin) Basically most will compound interests higher over the 10 years than your normal investment, like stocks!? (Turns out that the last portfolio he made up did return some good investment, so stated in this edition) There are some selections like the modern uncirculated commemorative coins in mintage of less than 30,000 are a good candidates for adding to your portfolio. Although I disagree with his point of view in the State Quarters...but different strokes for different folks. |
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Pillar of the Community
United States
1554 Posts |
I've been collecting coins since 1968, but, I have sold a lot of my coins originally purchased years back for better coins. In other words I am constantly buying and selling and have increased the value of my collection this way. Just buying coins and holding on to them as an investment is a crap shoot at best. It all takes time and not just 5-10 years. It's been almost 45 years for me and I feel like I'm just getting started!
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Pillar of the Community
United States
5832 Posts |
 1893S, Collectors/investors have all taken that route, buying and selling to update their collection. But sometime I wish I haven't sold a few I have done before. |
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Pillar of the Community
United States
5832 Posts |
Holy Cow!
I just notice I am 1 post shy to my one thousand posts.
I guess I will run a contest for my 1,000 posts.
Hey folks,
Give me some ideas?
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Valued Member
United States
382 Posts |
Another thought is that alot of "investors" are just that, not collectors. They buy "rare" coins either on their own or with the help of an advisor. With the increase in metals prices the collecting and investing worlds have gotten to close in my opinion, sure there were always the "spot" guys buying and selling junk silver but during a metals price boom it seems that alot of people want to make quick cash. For me this is a complete turn off and degradation of our hobby. I know everyone has their own reasons and plan for collecting, mine has nothing do do with making money I collect as I love history and numismatics and the Coins period.
1893s I have had no good experiences selling, sure the coins I sold (and sorry I did now) were not high grade coins but the fact that dealers want to give you so low a price under retail is just bad for everyone. Its all about the money where it should be all about the Coins. Most dealers at the local shows here carry the high end stuff the coins that they can make money on, the lowly Circ. collector is slowly being forgotten. JMO
So Icanseeyou, invest or collect as you will, education and research is key to both.
Tony
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Valued Member
United States
110 Posts |
Pure collectiong is, IMO, with a goal in mind like collectiong a Morgan set of coins or full set of Jefferson Quarters. Of course you try to collect the coins at the lowest price you can find them, but the important thing is to collect the set. And maybe pass the collection to your children. Investing is with a different goal knowing that at some point you will sell them. You are using it as part of your retirement or a college fund.
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Bedrock of the Community
United States
20753 Posts |
Quote:
Holy Cow!
I just notice I am 1 post shy to my one thousand posts.
I guess I will run a contest for my 1,000 posts.
Hey folks,
Give me some ideas? STOP COIN COLLECTING NOW. If you stop now, there will that much more for me out there. However, for a 1,000th post suggesetion, I think you should offer all members here a free coin. Then as I said, QUIT. It's people like you and all the others that are making the prices of coins go up, up, up. Think of this. The Earth has now attained the 7 Billion mark of population. The USA is over 300,000,000 people and imagine if even 1% collected coins. Now look up any source for quantities of coins minted and you would find many, many minted of less than 1 million. See why I suggest you stop collecting. My chances are deminishing by the second to aquire all the coins ever minted.  |
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Pillar of the Community
United States
5832 Posts |
OK just carl. I will do that for 1 day, but I will need a fix this coming weekend, too busy today and tomorrow black Friday. Wife wants to sell my coin collection to buy other house items?!  |
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Valued Member
United States
118 Posts |
I agree with 1893s.But always remember the best seller is a collector.What I have found to be the best sources for coin values are heritage,teletrade,ebay and grey sheet.Hope this helps
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Pillar of the Community
United States
4989 Posts |
A few pointers: Buy close to wholesale price (Coin Dealer Newsletter) - if not you'll spend 8 or 9 years just waiting for the coin you bought to get back to what you paid for it in true value, be prepared to buy and hold for many years -- at least 15 years, try to only buy key dates in the highest condition you can find, unless you are an expert grader buy only certified coins and only NGC or PCGS, never buy a slabbed coin that has ugly or dark toning, don't gamble on fads (i.e. coins that have suddenly and inexplicably soared in value), never buy modern issues (you'll be dead before they appreciate), and favor coins that have numismatic not bullion value. The bullion markets are overinflated right now and may be less favorable investments - never good to buy in high.
Edited by fenton
11/24/2011 4:55 pm
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Valued Member
United States
59 Posts |
Start with what you ENJOY, the profits will naturally follow......
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Valued Member
United States
123 Posts |
Put together a meaningful collection with purpose. Buy the best grade you can afford. Become a specialist in an area others overlook. Look for extremely sharp strikes..... All good cliches, ergh I mean advice, to assemble a collection with good potential to appreciate in value.
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Replies: 16 / Views: 2,948 |
Posted 11/23/2011 1:57 pm
