I am new to coin collecting. I have been using the RedBook for coin values. I recently also signed up for Coin World's Values. However, I think Coin World's estimates are really, really over priced - by maybe 50% -- not a small amount. I even looked at a Coin World book at the bookstore today -- same thing, Coin World is very high. Both the RedBook and Vaues are supposed to be retail prices, so they shoud be apples to apples. Is there any insight anyone can give me on this difference? Is this a kind of "known thing" in coin circles? Betty
Keep in mind, Betty, that the 2004 Red Book reflects prices in Feb. or March of 2003. Coin World's efforts are brought up to date monthly. Visit a dealer or two, or go to a coin show, to get a better feel for retail prices. Walt
Walt - Thanks for the advice. I have been to a couple of shows and some prices are closer to the Red Book than to Coin World. And, also, some of the monthly magazines are closer to the Red Book. On the other hand, it is really helpful to know that the Red Book is done so far in advance. I thought a couple of months, but didn't realize it was almost a year in advance! Betty
Betty - Welcome to the Forum !! One thing you need to keep in mind is that no price guide has definitive answers. They are guides only. In many cases - the values listed in the Red Book are too high - in others way too low. Same is true for Coin World - and all the other price guides. To really get a close to accurate estimate of value for a given coin takes a bit of work. But it's not that hard. Depending on the coin and its grade - check all the realized prices at auctions of the major houses & dealers. Check all the realized prices on ebay - and check the Grey Sheets. But even then it only gets you close. You see too much depends on the individual coin. If it is exceptional and a hard to find example - it may easily sell for 2 - 3 even 10 times list value. But in most cases - the method I described above will give you the most accurate value you can get.
Betty, It is sometimes difficult to understand the whole coin value subject. You are quite right to question the validity of published information. You have also gotten some good advice from the previous posters to your inquiry. Tracking coin values is an enormous undertaking. I know Mark Ferguson, who does Coin Values for Coin World. I forget what the exact number is, but he tracks on something like 60,000 separate values, covering the date, denomination and grade of all the different entries. Bear in mind that the price sheets are a human endeavor, and as such, fallible. Find coins you like. Check the prices against the guides. Make decisions. Enjoy the coins, and don't expect to take short profits.
As many members have already pointed out, it is important to remember that these price guides are indeed that, only a guide. With Coin Values, I feel that some coin series are overpriced, while others are fairly accurate. For one, prices often vary by region. Certain coins bring different in different areas of the country. Additionally, raw coins on ebay often bring less than their listed values. However, one must calculate a risk discount into the coin's price. Without the ability to see the coin in hand, potential internet buyers must account for the uncertainty associated with the fact that a coin may be counterfeit, or be of lower quality than described. Lastly, coin values in a price guide are an average value. For example, Coin Values lists common date Morgan Dollars at $185 in MS-65 condition. Certified, common MS-65 Morgans can often be purchased for much less than that. However, common MS-65 Morgans that exhibit exceptional rainbow toning may bring upwards of $1000. Therefore, values may average out at about $185. Sorry for the long response, but I hope this provides a little useful information.
Just so you guys know---this thread was started back in 2003 and was just brought back to the top today.... Speedy
Coin Values does not use average anything, the primary author of the magazine has stated flat out in his articles many times that he uses the highest value recorded for a given coin. He has further stated that he discounts exceptionally toned examples and does not use the prices recorded for them.
GDJMSP, Thank you for the clarification...I was mistaken in my understanding of Coin World Values pricing methods. I know that Red Book prices can be somewhat outdated when they are published, but what method do they use for coin valuation?
i brought it back to life cause I still believe many people don't truly understand the values they see in guides and books. Many new coin collectors may get false impressions.
In the Red Book it states - "Coin values shown in this book are retail prices figured from data supplied by the listed contributors approximately 2 months prior to publication." Now depending on what edition that wording varies slightly, but it's always basically the same. And as with any price guide, they tend to list only the highest asking prices. As I have said before, they do this on purpose. Listing high values stimulates activity in the coin market because it makes people thin that their coins are worth more than they actually are. That causes more people to enter the hobby, causes existing collectors to be more agressive in their buying and their selling. And that's how these people, ( coin dealers and the publishers of the guides ) make their living - by buying and selling coins and price guides. So it is their best interest to publish the highest prices they can.
Which could make the claim, "The Red Book is outdated and this coin sells for more than that now" even more, ah, questionable... Sure, on really rare items I would understand that, with a silver and gold market way up, true, but not across the board...
