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 Replies: 40 / Views: 4,045 |
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Pillar of the Community
United States
509 Posts |
Went into 3 different coin shops as a seller for the first time with some Morgans. Two MS65, 2 MS64 and a CC VAM-24 in AU condition. I just could not believe the prices these people were willing to pay ! Less than half the Grey Sheet. When I reminded them or pointed out to them the Grey Sheet bid/ask prices, they basically showed me to the door by expressing regret they couldn't meet "my" price but thanks for dropping by. No inclination whatsover to negotiate.
These people are not coin dealers. They are predators. One dealer out of 3, I could have accepted; 2 dealers out of three, perhaps. But not 3 out of 3. I understand they're running a business and need to make a profit but not at at 60-70% mark-up which is what they were basically asking for. Something else they all seemed to have in common was their attitude, surly and uncommunicative, as if they were doing me a favor by spending their time with me even though I was the only one in the shop.
If I EVER go back to a coin dealer, it will be as a buyer and not as a seller and I'll be certain to have my price guide alongside. They are a dieing breed anyway and I can only wish them an unfond, hasty and long overdue farwell, especially given the multitude of options offered to us collectors on the internet today. It would seem to me they are their own worst enemies and they don't need any further deprecating comments from me or anywone else to hasten them along.
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Valued Member
Canada
311 Posts |
It does not surprise me. These dealers have a lot of supply with many people selling in these bad economic times. Next time you are in a coin shop when a seller comes in and the dealer makes a low offer I dare you to make an offer yourself at a higher price. Then you will really see how rude dealers can be when you are stepping on their territory.
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Pillar of the Community
United States
6385 Posts |
I know that not all dealers are crooks but maybe you got unlucky. I'm not surprised if a dealer won't pay a premium for an exotic VAM since there is a limited market for those. Half of Grey Sheet for strictly-graded MS-64 and MS-65 Morgans seems unfair. I wonder if those dealers are only interested in flipping bullion-related items right now. |
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Pillar of the Community
United States
759 Posts |
Sadly, my experience has been pretty much the same. At least nobody has come to their defense with the standard "they have to cover overhead" excuse.
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Rest in Peace
United States
1729 Posts |
Okay, so I've read several threads recently about dealers not offering an "expected" price for coins brought in for their consideration.
Allow me to play devil's advocate now ... considering that coin dealers are in business principally to sell coins, not buy ... what percentage of Grey Sheet prices SHOULD dealers be expected to offer?
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Bedrock of the Community
United States
10045 Posts |
I credit that "surly", inflexible attitude to the classic "shopkeeper's mentality"--when you enter their realm, they want to be in full control. In fairness, a lot of small business owners get this way, simply from years of self-reliance--for both good and bad.
For this reason, I prefer venues like coin shows. Dealers are outside their "home turf", and competing for your attention. If you don't like how they do things, just move on.
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Pillar of the Community
United States
565 Posts |
This is why I would never sell to a dealer. They want top dollar for any coin they sell. Yet low ball when they buy. I know I know over head. But they are making there money when it sells. I know it is stock but don't we all stock coins in a way. This is why E bay is so successful or any other auction for that matter. IMHO
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Valued Member
United States
361 Posts |
I tried a similiar experiment but not at a coin shop. I went to a hotel where one of those "traveling buying groups" was set up. You know, the guys who run full page ads in the local papers saying they will be in town for a few days to buy gold and silver coins as well as military antiques and the like. I took 5 PCGS MS 65 Walkers and was never offered more than half their sheet value. The people were very polite ad explained that they had certain guidelines they were forced to adhere to by their company. I saw one nice old fellow hand over a plastic bag full of silver halves and quarters (Franklins and Washingtons) and get less than 25% of melt. I seriously considered hanging around the parking lot for a few hours and talk to people on the way in, telling them to get the best offer inside and then come out to see me. SOMEDAY...........
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Pillar of the Community
United States
1388 Posts |
A good bit of it also is location... If you try to sell your coins in a big city, they will low-ball you everytime because if they can't snag you, there are many more that they will get... But usually in smaller towns, you get better deals and prices, because they have closer customer relationships... But these are just my experiences, and another humble opinion...
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Pillar of the Community
United States
4416 Posts |
It's been my experience that many coin shop owners are far better versed in bullion and jewelery than in coins. Some of my best buys have come from dealers such as this. The more abrasive dealers present a challenge though. They're the ones who most deserve to be cherry-picked. Chances are, their poor attitude has only their lack of numismatic knowledge to blame. They likely haven't cultivated a strong collector base among their customers, and coins are relegated to but simple commodities - stock.
In my humble opinion, the best place to sell PCGS slabbed coins is at a coin show. Usually, there are at least a few market-savvy dealers at any modest-sized show. If a collector cultivates a solid relationship with a show circuit dealer, such coins can often fetch dealer bid or close to it.
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Moderator
 United States
16679 Posts |
Quote:
Less than half the Grey Sheet. When I reminded them or pointed out to them the Grey Sheet bid/ask prices, they basically showed me to the door by expressing regret they couldn't meet "my" price but thanks for dropping by. No inclination whatsover to negotiate.
That's their new tactic now, especially in these economic times, where they are banking that most people are hurting and must sell their coins. By showing them the greysheet, they also knew you were experienced and were probably slightly intimidated by that...they want people to come in that know nothing about coins. That is where they really make their money. You are better off setting your own prices and selling them on ebay. If you are not hurting for money, and they don't sell on ebay, who cares! At least you are not getting low balled. I have never sold to coin dealers and never will. I have traded but only with a couple dealers that I have dealt with before and know give me a fair trade. swcoin.ecrater.com
Edited by vermontensium
02/20/2011 11:51 pm
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Bedrock of the Community
United States
10982 Posts |
While your experience is not unusual, not all shops operate that way. 50% of Greysheet would be a typical offer for raw or slabbed coins, unless they are in PCGS or NGC slabs.
I've developed a friendship with my local shop owner but don't buy or sell there much. We usually talk coins more than anything else and I like it that way.
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Valued Member
United States
277 Posts |
There are 3 shops in my area, 5 miles away, 12 miles away, and 25 miles away. To get to the furthest one I need to drive past the front door of the other two. The closest is own by a great guy but he deals almost exclusively in high end coins and he doesn't carry common date stuff to fill holes so I must travel to the others for my needs. The second is owned by the guy the the movie Grumpy Old Men was based on. He is just a miserable old man. The third store, well that's just a dream come true. Supplies are almost free, any coin you can imagine is sitting under glass or in a binder somewhere in the store at more than fair prices. I bought the 2010 mint sets there at a $1 mark up. John, the owner, was a childhood friend of Jesus Christ, he is very old. The first time I stopped on and saw the prices I though maybe it was a going out of business sale so I inquired as to why so cheap. He said to me "I made my money a long time ago, I love this hobby and I love watching people like you who walk in and get excited about what you see. I want to watch the collectors collection get bigger and better. I would rather you come in and buy something feel good about it and come back as often as you can afford."
That attitude and the personality of that owner makes not even hesitate. I get in the car and drive past both coin shops at least once a week even if I'm not buying anything. The man is a walking history book. He has a coin that he says is the first dime he ever made, its from around 600 BC. Its impossible not to love the guy.
My point is, there are still dealers out there in the business because of their love for the hobby and money comes second to them. Keep looking and maybe you will find your own John.
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Moderator
United States
56855 Posts |
I have a question and a recommendation. Question;are the coins you are trying to sell TPG's? And my recommendation is to sell them here on CCF. John1  |
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Valued Member
United States
54 Posts |
I've had similar experiences at coin shops and shows. Even at the shows, some of the vendors are ridiculous - that's why its nice to be able to just move down the line to the next one. As far as my local shop, the owner is a nice enough guy but seems to deal mostly in bullion and jewelry...and just keeps coins around to keep the sign on the door (COIN shop) applicable. It just strikes me a bit oddly that whenever I pick something out and ask him how much he wants for it, he immediately pulls out his cheat sheet (Greysheet) for a price. Isn't he supposed to be the pro, here? If someone asks me something pertaining to what I do for a living, I know the answer; however, I guarantee that he can tell me exactly how much he would give me for some bullion or jewelry without his cheat sheet. I guess it's a sign of the times to a certain extent - a shame in my opinion.
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Valued Member
United States
266 Posts |
Just learn how to put stuff on ebay and avoid dealers altogether when selling coins. It's easy, although you do have to be willing to give up about 10-15% of your money, but that's better than 50%! Also, keep posting here and once you get 250 posts you can sell them here, classified style. That's what I'm trying to work towards! |
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Replies: 40 / Views: 4,045 |
Posted 02/20/2011 8:22 pm
