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 Replies: 7 / Views: 1,372 |
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Pillar of the Community
 United States
4591 Posts |
I witnessed an interesting dialog at the PNNA show this weekend. A gentleman was looking to upgrade part of his typeset. He had a 2c, 3c and 5c (Buffalo) and was looking to move each up a grade or so. His present coins were all decent shape (he allowed me to view the 3cs and it was a solid, honest VF30, looking to trade for an OK EF40).
The dealer gently suggested trading one coin for the best he could get, but the seller ignored that and the dealer quoted a price of around $80 cash for the three coin upgrade. I left before I heard if they agreed on the deal.
It seemed like good advise to me, but what do you think?
The GreySheet was VF 50/55, EF 55/60 and AU50 135/145. Retail is maybe $5 more so call it 60, 65 and 150.
As I figure it, to the dealer this is a purchase at 50 and a sale at 65 and the customer is paying $15 for $5 or $10 of increased value!?
The next trade would be the same thing, a dealer purchase at 55 and a sale at 150 or a cost to the customer of $95.
So moving up from a value of 50/55 to 135/145 has cost $110 in two steps for an increase in value of $100.
If he does it in one step, it's still a dealer purchase at 50 and now a sale at 150 or $100 in additional cost but for that an increase of $100 in value.
? -----Burton 50+ year / Life / Emeritus ANA member (joined 12/1/1973) Life member: Numismatics International, CONECA Member: TNA, FtWCC, NETCC, EveryCountry (online) coin club Owned by three cats and a wife of 40+ years (joined 1983) Author: 3rd Edition of the Sample Slabs book, https://www.sampleslabs.info/ |
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Bedrock of the Community
13014 Posts |
I try and stay away from upgrades as much as I can since its a never ending cycle, but I agree with the dealer.
If youre going to do the upgrade it should be the best you can do as opposed to just stepping up the grades one at a time, especially when the price difference is minimal.
Generally the more you have to buy and sell the more its going to cost you to end up where you want. If you can wait and do it the first time getting a coin youd be happy having as the final piece youll save money in the long run.
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Bedrock of the Community
Australia
21786 Posts |
I have a different strategy.
I don't collect coins to make sets.
I have always cherry picked through the whole of my numismatic career. I regard each piece an an individual, irreplaceable part of the collection.
Rather than just collect every coin in a series, why not just aim at the keys only in the series? They are always the coins your attention is drawn to, when you are reviewing your collection. That has ALWAYS been my strategy.
This by the way, is a very common strategy, when it comes collecting ancients, medieval coins, errors or patterns. You have to grab the opportunity when it comes along, because such an opportunity may never come your way again.
I guess that with such a strategy, I have somewhat protected myself from Tradeup-itis.
Edited by sel_69l
10/08/2013 03:23 am
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Moderator
 United States
188415 Posts |
Quote:
...it should be the best you can do... I agree, not just for those who do upgrades, but especially for me when I am filling holes. I want my coins to be the best I can get (at least what I consider best, since I prefer to collect circulated coins). |
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Valued Member
United States
217 Posts |
Well, another consideration is the look of your set. If all of his other coins are around that same grade he might not like it to have one coin far above the grades of the rest which makes it look out of place.
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Pillar of the Community
United States
1839 Posts |
sel_69l Quote:
I have a different strategy.
I don't collect coins to make sets.
I have always cherry picked through the whole of my numismatic career. I regard each piece an an individual, irreplaceable part of the collection. I really agree with this outlook and take the same approach. I understand that most are looking to collect with a specific goal in mind, completing a date set, a series, etc. but this has always struck me as somewhat disabling in that you may walk by a really nice coin because it's not in your collecting goals, or perhaps you already have that date, etc. I'm far more interested in cherry picking the very nicest coins possible regardless of the series or type. Just my Two Cents, but I like your thought process sel_691 |
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Valued Member
United States
373 Posts |
I am making a concerted effort to upgrade coins significantly, as opposed to incrementally. I figure I lose a bit in every purchase (dealer has to make a profit) and every sale ( ebay costs or selling at wholesale), so the fewer "steps" to my ultimate coin, the better. |
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Pillar of the Community
 United States
4591 Posts |
Interestingly, my two typesets I'm working on both have hard limits - which prevent trade-ups, as there is only one potential grade for each coin (OK, VF20 vs VF30 vs VF35, but no creep up to AU).
-----Burton 50+ year / Life / Emeritus ANA member (joined 12/1/1973) Life member: Numismatics International, CONECA Member: TNA, FtWCC, NETCC, EveryCountry (online) coin club Owned by three cats and a wife of 40+ years (joined 1983) Author: 3rd Edition of the Sample Slabs book, https://www.sampleslabs.info/ |
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Replies: 7 / Views: 1,372 |
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Posted 10/08/2013 02:07 am
