how do go about findind estate auctions for coins and how much should you be looking to bring with you? are they public?
Many times you can find Estate Sale notices in your local newspaper in the classified section. As for how much money to bring with you, it depends on how much you are prepared to spend.
I have been to a few. Check out AuctionZip.com. You can put in your zip code, miles radius and keyword "coins" and it will find coin auctions in your area. I see them as great places to cherrypick. Most coins I have seen are G-4 to F-12, but you will find an occasional AU or better. They are also a great place to find proof and mint sets at great prices. My last auction, I picked up 5 proof sets, total value from Numismedia of $49, for $25, $5 a piece. The auctions I have been to seem to attract silver buyers and Morgan buyers. All the action seems to center around these types of coins. Other coins, like cents and nickels, can be had at great prices. I have seen Morgans go for more than they are worth, and I have picked up shield nickels or 3 cent nickels for half of what they are worth. Make sure to get there early so you have time to look the coins over. Some auctions will put their auction list online, so you know the order they will be auctioned and some put up photos as well. The photos can be used to weed out the obvious bad coins but I would definitely get there at least 90 minutes before the auction so you have time to look over the coins, take notes, estimate how much the coins are worth and what you are willing to pay. Moneywise, I have spent as much as $200 and as little as $100. But if you are after big rare coins, bring your checkbook or lots of cash. I saw a rare Morgan go for over $2000 at an estate auction, but the book value of the coin was over $3000. I think these auctions are a blast and would go to one every weekend if a) I had the money b) my wife wouldn't divorce me. My big cardinal rule: Make sure you know exactly what you will bid on a coin and don't exceed it. Don't get bidding fever, as I call it. Stop when you reach the amount you believe it is worth to you. Hope this helps a little.
Some words of caution.. Many so-called "estate auctions" aren't really that. Sometimes the items for sale are owned by the auctioneer and/or consigned by the living. There can also be shill bidders. And there can be counterfeits and/or problem cons which, for various reasons, sell for far in excess of their true value. All in all, I think you have a much better chance of overpaying, than you do getting a good deal at estate sales.
Just look on Ebay.....50% of the coins listed are labeled as "estate sales". Don't trust anyone on ebay labeling their coins as estate auctions.
I use http://www.auctionzip.com frequently. If you've never been to a live auction, attend one just to watch. Bidders do get out of hand at times, at other times you can get some real bargains. While not compare them to some of those reality shows, it does pay to watch those bidding against you. Experience and discipline are the two things you need. Same as eBay, never bid more than you're willing to spend for an item. Estate sales (at least in my area) are different than estate auctions. Sales are just that, with set prices that may or may not be negotiable.
Go to a few before you start bidding. You'll see who are the regulars (the ones who buy by volume- They overpay for some lots and get others for bargain prices... so it evens out for them.). If you get caught in a bidding war with one of these guys, you'll lose your shirt. Watch for shills as Mark said. Examine the coins you want to bid on. At one sale I was at, all the coins were ex-jewelry pieces- not mentioned in the catalog. Determine how much you want to spend on a particular piece and stick to it. Listen to the auctioneer.... Sometimes they have a tendancy to call items "Gem", "Rare", "Scarce" or "Very Unusual" whether the item is a plastic tub or a figurine. Their descriptions mean little. Don't put a lot of stock in what they're saying.
The auctions I go to do not charge a buyer's premium, which is nice! Silver coins usually go for over spot, as for gold, so there are not really good deals there (especially since these particular coins are junk silver/gold). I typically go for IHC, Flying eagles, 2 and 3 cent pieces, etc... and can get them for dirt cheap. Most, at least in my area, tend to go after the PM coins. I on the other hand will scoop up what they ignore and that's fine by me! I've also gotten half dimes and seated dimes for just a few dollars. Other times I've walked out with only jefferson nickels. lol. Auctions are fun, but you'll need to watch how you bid and don't get caught up in a bidding war. Bring only what you want to spend.
I totaly agree with Mark. I try attend auctions early enough to get a real good look, however that is not always possible. I prefer see what I'm buying/bidding through jewelers loop. Not all auctions are honest! the person in back of crowd may be bumping the bid, the auctioneer can drop the winning bid at any time,on any person, when he feels the price is right. There are honest auctioneers out there, but do be carefull.
I agree with Mark as well. Growing up at my favorite coin store I noticed the same man coming in every week, and getting the same stuff. Turns out he was an auctioneer. The dealer told me every week he comes in and buys junk silver dollars, junk $2.5 and $5 gold, and a few miscellaneous junk coins, (IHC, wheat pennies, WL halves, etc). The dealer said the prices at his auction week in, week out, at least are double of what the auctioneer paid for the items. I was curious, and went to the auction, and yeah, the junk silver dollars were selling for about $12-15 back when you could buy all you wanted at the coin store for $6-7. When the dealer REALLY wanted to make a killing he would buy a torn up coin, (like a bust half harshly cleaned, maybe even a hole in it), for like $15 and the dang thing would sell for like $100. Many auctioneers aren't dumb, and know how to play this angle, and have been doing it for years. Chris
I fully agree. I live in a very rural area. These auctions aren't full of high value coins. Occasionally a key date coin shows up and goes high. At the auctions I have attended, most of the action is centered around the silver. Usually not much gold. Nickels and pennies are ignored. Also, unusual denominations, like half dimes, 2 cent, and 3 cent coins are ignored. I won a VF 3-cent coin on one bid. No action. It's true that most of the coins are Good to Fine or a little better and not worth a lot over melt but if you know what to look for, you can definitely find some winners. And don't forget, not everyone can afford to fill their collections with MS coins.
