Silver Eagles- What Is A Fair Price..?

This is just me...Take London closing (P.M.) prices and add $2 to $3 for each ounce. After all, you can't buy raw gold, silver, platinum and palladium at spot. Broker's fees, transportation, handling, processing, packaging all have to be paid.

For the roll, since you are buying in bulk...deduct $.50 for each coin (less handling and packaging).

Considering the weight, low cost, inventory space, etc., there really is not much money in it. Unless you are hedging and playing the future's market, why would you ever want to sell SAE's?

Price I am paying, at this time, is $8.75. A roll will save you just a little but compared to many national dealers this is a decent price as many sell for $8.60 but there is shipping on top of that. While the Eagle is a very beautiful coin and I do have a few full sets (as a collector) I also use them to "bank" some of my money away and should need arise I can convert them to cash very quickly. I have found this is by far an easier way to save money, being a coin collector, than trying to keep money in the bank where, like it or not, you are providing a paper trail and setting yourself up for more taxes at the end of the year on money you have already PAID taxes on once! I don't buy the eagles expecting to make money (do wish I had a truck load of 96's) but put them away for any "moments of need" that might occur in the future and I don't get attached to them and have a problem letting them go like I would the coins in my official coin collection, whether it be classics, moderns or world coins. Once they enter my collection it is tough to see them go and the ones I have sold in the past have brought deep regrets when I attempted to locate and purchase them again! DON'T SELL KEY DATES---THEY COME TO HARD!

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Originally posted by catman

Zakgold,

What does all that translate to Dollars and cents for a 2005 Silver Eagle?

catman

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I like Kitco's web page for all of my precious metal pricing: http://www.kitco.com/ They seem to have the best site for current and past pricing.

Since Friday's pricing for silver was around $7.30, if I were a dealer, I would have to charge at least $9.13 per SAE unit (that's with a 25% markup from spot) plus S&H to you to cover my costs. Now, all of the mentioned costs for selling, administration, inventory have to be covered in this 25% markup and you can see, there isn't really that much room left for a dealer to make any money...which is then going to be taxed at least 50% (30% to the Feds, 15% to F.I.C.A, plus any applicable state taxes).

Pleae don't get me going on taxes as there has never been a civilization that has taxed themselves into prosperity. As Lincoln said, "You cannot make the poor rich by making the rich poor." That's another subject altogether!

This is also one of the reasons why you didn't see that many SAE's at the FUN show in Florida. You would think that with over 400 booths, you would easily find sellers peddling SAE's. Far from it because the space they took up, the weight, and the small margins made was NOT worth the hassle of bringing these to the show.

Of course, costs can be deferred in S&H to a point. Just like those ads that offer FREE computer CD's, but whack you $6.95 for S&H...or those tire stores that charge $29.99 per tire, but then hit you up for balance, enviromental, mounting, etc. fees.

Add it up and see if it is worth it per unit.

Ed

ND,

I will go along with you on this one. I feel that most people, including collectors, don't really understand the cost behind gettin the silver eagle form the mint to them. I never complain about being charged $10.00 for a new silver eagle.

catman