1881 Half Eagle

On the one hand, this is a fairly common issue whose value doesn't exceed melt (to speak of) until it reaches Mint State grade. The pics, although small, indicate a coin that's no worse than AU; you'd have to determine beyond that in-hand. The apparently large obverse gouge in the field near 3:00 probably precludes a "righteous" slab, so it'd end up in a "Details" slab either way.

On the other hand, the slab would confirm authentication and provide a greater variety of potential outlets due to its' proven authenticity. Melt is about $430 for a Half Eagle right now, and it's not realistic to expect much more than that at retail (less, of course, at wholesale).

I'm not sure what to actually advise you, but at least I can help with a little information.

you could buy it for slightly above melt and then get it slabbed

The thing is, I don't know a lot of information about his coin. It was given to him as a gift years ago & is still in the protective plastic/hinged box it's displayed in. He said he had papers but has lost them over the years so I'm guessing he had a certificate of authenticity at some time which would help if he decides to sell it.

I watched some go off on ebay yesterday & none of them went over 470.00 but, they didn't look as good as this coin does. If the melt price is 430.00 (with no additional fees) compared to Ebay/Paypal's 12 percent off the top of say 450.00 winning bid, it's a no-brainer there....which makes me think he'd be better off sending it off to have it graded & then try to sell it to a collector or at a show! I just want to make sure that whatever advice I give him is the best! I'm posting the pics that were sent to me but, they're a little blurry! Thanks to all who have responded!

A waste of money to have it graded IMO. Unless it slabs problem-free MS-60 or better (no chance) it won't sell for enough of a premium to recover the grading fee.