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 Replies: 10 / Views: 1,651 |
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Valued Member
United States
160 Posts |
I have read many excellent posts on here about buying the coin and not the holder. I think it is great advice, though I am still learning how to do that. However, is there ever an occasion where buying the holder is ok? Such as when you can grab a good deal so far below market value that you would be crazy to pass it up? For example, I recently purchased a 1949-S Franklin that graded (NGC) MS65 FBL for $200. Prettiest 49-S ever? No. Not hideous, but never going to be prom king either. However, I feel like with FBL at that grade I would be nuts to pass it up. NGC guide lists at $400 and nice examples routinely bring $350+ on ebay. So, I guess I agree with the basic "buy the coin" premise, but at some point (35-50% off market prices) I feel like you can make an exception. Am I making a huge newbie mistake? Or does this reasoning make some sense? Thanks! |
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Pillar of the Community
United States
3755 Posts |
Nope, it makes sense. But only IF you feel the coin deserves the grade/designation. NGC gets it wrong plenty of times. If you think the coin is FBL and at least qualifies as 65 even if an ugly 65, then definitely, snag it. If there is that much of a price difference, you may well be able to flip it given how many people have drank the NGC Kool Aide and do buy the slab.
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Moderator
 United States
23522 Posts |
Well, the reason for the saying is precisely what you describe in the coin - it's not a superstar for the grade. However, if it's actually a 65 (the second reason for the saying - just because the TPG calls it 65 doesn't mean it actually is) - you're in pretty darn good shape at $200. Franklins seem to be sensitive to appearance in the market - Heritage results for 65FBL's in the last year range from $223 to almost $400, regardless of slab and not including CAC which seems to have a real effect here - but you're still in the black. |
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Pillar of the Community
United States
1302 Posts |
it's not ok to buy the holder when the coin doesn't have what it needs. Case in point, one of the top Washington quarter registry sets was put up for auction. Many of the coins were overgraded and the hammer prices were way off what they should have been. As a result, price guide prices were adjusted DOWN just because of the poor showing of these particular coins. I think many sold for 30% of price guide. So think about it. You buy a coin for 50% of price guide in your situation... that may just be fair market price for that coin- which means it's no deal at all. |
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Bedrock of the Community
13014 Posts |
Quote:
You buy a coin for 50% of price guide in your situation... that may just be fair market price for that coin- which means it's no deal at all. Unless you have an idea of what TPGs will pay on the buy back of it. Granted its a risky scheme to run but if youre good at it you could make money or possibly have them swap it with ones that do make the grade saving money. |
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Bedrock of the Community
Australia
21786 Posts |
A proof set without the Mint packaging would be at a disadvantage.
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Pillar of the Community
United States
5198 Posts |
Buy the coin, not the holder first and above all. But if you find a half off deal on an over graded or non appealing coin I suggest you wait 3 weeks and try to unload it as a "buy it now" on ebay for more than you paid for it but still under PCGS price guide and let the new owner deal with theior by back guarantee. While I don't believe in dumping a problem coin on another collector I believe that is what the TPG buyback insurance is for. |
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Moderator
United States
56855 Posts |
Can you post a pic? Does anyone think the coin should be sent to PCGS and see what grade it comes back as? A PCGS slab almost always sells for a little more then NGC. John1  |
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Bedrock of the Community
 United States
18635 Posts |
if it has a CAC stamp, I would be more inclined to take the grade seriously. even then you need to look closely at the coin and assess it yourself. you are going to pay more for it but at least you know that it was scrutinized. I tend to purchase raw and grade them myself, I prefer to put them in their proper slot beside all of their brothers and sisters. it's just me...it drives me nuts to have different size and shaped slabs in boxes. I think it comes from starting collecting before they were invented.
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Moderator
United States
16677 Posts |
In a nutshell. Grading is a subjective practice. Even the so called experts, the one's that see hundreds of coins a day, at the end of the day, render an opinion.
With grading comes practice and knowing the series. When it comes to coins like Colonials, it's a whole different ballgame.
To answer your question, look at the coin and make your own opinion as to what the coin grades. My 2 cents :)
swcoin.ecrater.com
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Pillar of the Community
United States
899 Posts |
Well... by your definition of the coin - I am skeptical of the purchase. (that could just be me). A slabbed MS65 Franklin coin should look pretty darn nice. I probably would have passed on the purchase myself, since your description fits to me the reason it was selling for less than the others it is being compared to. It was a slabbed less than perfect MS65 that is probably overgraded.
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Replies: 10 / Views: 1,651 |
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Posted 04/09/2013 11:39 pm
