Is $38 per coin a good price for Canadian Grizzly's?

I have been searching for a month or so for the best price on the Canadian Wildlife series coins. While I like to just buy ASE's I have really come to like the design and limited mintage of the wildlife coins and the appreciation in their price since their release.

All three released coins demand a premium since their release. I can't find the Grizzly's for under $42 per coin. The best I can find, in stock, is Provident Metals. ( http://www.providentmetals.com/2011-canadian-grizzly-1-oz-9999-fine-silver.html )

While GoldMart has them for $37.66 they have been out of stock for more than a month.

I have found a seller willing to sell them for $38 per coin but I have to buy 100 oz. I'm okay with that as I am fairly confident I can sell 75 coins for $40 each. This would make my "real" cost for my one mint tube of 25 coins ($950 original cost - $150 proceeds from selling other 75 = $800 or $32 per coin) $32 per coin. That is current spot and I would be thrilled with a real cost of spot for such a collectable coin.

Do you guys think this a good deal? Would you go through the potential hassle of buying 100 oz's and then selling off 75 coins to get your cost down to spot? I really don't think I'll have a problem selling the 75 coins especially if spot continues on the upward trend. If it doesn't then I'll just hold the coins until I can sell at a profit.

Thanks in advance for your thoughts and opinions.

 

Log in or Sign up to hide this ad.

Sounds a little shady that the seller is willing to sell it low, ask yourself this if you think you can sell at $40 a coin why isn't the seller doing the same.

 

I suppose the real question is if the work involved is worth a potential savings of just $250. You also have to factor in carrying costs such as postage, selling costs, insurance, etc.

 

You're only getting a return of about 5% on the sold coins.
That's not great. But I guess if you can sell them fast and in just a few transactions it might be worth the time and effort.
It seems like there would be ways to make a better return flipping coins.

 

watch shipping and credit card - paradise mint is the only one I have found that waives these

 

I thought something was up as well. They are on ebay and they offer a 7 day return and they claim the tubes have never been opened.

On ebay these coins sell for $40 plus but I would just sell them locally. I really don't think I'll have an issue to selling them over few weeks. I could be wrong though.

I could just go my traditional route and buy my ASE tube of 20 2012 coins and be done but I think these wildlife series coins will increase more, especially as a set. My ultimate goal is to hold on tube of 25 coins of each of the six wildlife coins. I really think the price will increase more once the set is fully released and then people will want the set of six. I will have 25 sets at that point for hopefully less of a premium than they full set sells at.

 

Seems low, maybe there is a reason there low? But if they are legit coins $38 is more than a fair market value. They trade on ebay between $40 -$55.

 

Just an fyi If you sell it on ebay you need to sell for atleast $45 bucks to break even.

 

goldmart charges shipping-no free shipping-the"good deal" you mentioned is no deal at all

 

I hope not to have to sell on ebay. If I can't get interest locally at $40 per coin I won't pull the trigger. I am going to attempt to pre-sell them and if no-one bites then I won't buy. I only want one tube and don't need to be stuck with four.

 

I've heard GoldMart will hit you with some not so obvious premiums so you may want to confirm the final price before making a determination. I think $38 for the grizzly is a great deal, and that this series will command a nice premium when all is said and done. The concern with any Canadian coins is milk spotting, so if that isn't something you want you may want to avoid them. It has to do with the moisture levels in Canada I believe.

 

I also think $38 is a great deal; however, I don't know if buying 100 to get the $38 is worth it. I could potentially be stuck with all 100 for some time and that is not what I want.

I have heard of the milk spotting and that is a concern and one of the main reasons why I only desire one tube of 25. I can't seem to find a single tube of Grizzly's for the $38 price range. If silver dips again then providentmetals might be the place to pick some up. They have a $9.99 over spot premium which I think is far. I may just wait for the price to pull back and go through them for just one tube.

I really think the wildlife coins will increase further when all six coins are done and released. Again, my goal is a tube of each of the six giving me 25 bu sets of the six coin series. I think this set will command a hefty premium. But this is pure speculation that could be totally wrong and the reason I desire to get them as close to spot as possibly thus reducing my risk if the premiums don't continue to climb.

 

On paper it seems like a good price. However keep in mind that dealers receive a much deeper discount from manufacturers and mints for ordering bulk bullion. The supposed great deal isn't so great considering the dealer is making more selling you 100 ounces. On a side note, I wish the Canadian timber wolves for $38.

 

I agree, I wish I could get the Timberwolves for that price as well. I am anticipating that the Grizzly and eventually the Cougar will follow the Timberwolves path of increasing premiums. I know some say they don't like the look of the Cougar but others that have actually purchased them say they look much better in person.

I may end up going the route of ProvidentMetals with a slight higher price versus risk of holding 100 oz's of Grizzly's long term.

 

If everything goes according to your plan, $38 is a good price for those coins. Plans usually don't go according to plan though.

 

I agree and that is why I'am hesitating on the purchase of the 100 ounces. Plus I just received my first grizzly that I ordered earlier in the week. Upon closer inspection guess what it has? Yes, two small milk spots! Go figure.

I really like having BU bullion and milk spots aren't BU I'm my opinion. I may just stick to the trusty ASE's.

 

ASE can devolop milk spots it depends on exposure to humidity.

 

Good to know. I have been lucky so far then with my ASE's. I live in a very arid part of the country so if humidity is the main source then I wonder if I can luck out with the Grizzly's and other Canadian coins? Of course, if they already have milk spots like the one I just received then it doesn't matter.

 

I have a fair amount of ASE's and Canadian coins, and in my stack there are no milk spots on any ASE's, and a fairly high amount of milk spots on the Canadian coins. I still prefer four 9 purity and will put up with mik spots, and it's not a deterrent for me since I'm not dealing with graded coins.

 

My hunt for Grizzly's and the two other coins led me to a phone conversation with a Canadian bullion dealer. Not that he old me anything I hadn't heard or didn't know, but it struck a cord with me.

I told him my plan was to buy a tube of each of the six coins in the series and then have 25 complete sets when all is said and done.

In short, he said it sounds nice but in reality you likely won't see the premium increase you're hoping for. And the subsequent coins to the Timber wolf likely will never reach the crazy premiums they command today. Why? The first coin always gets everyone excited but then the excitement wears off with each subsequent release of a coin. Finally, he said he has seen the RCM produce numerous series of coins and with each new series the previous series loses some or all of it's premium. He said they will release one right on the heels of the wildlife series that will result in the market being flooded with the coins of the wildlife series at much better prices than you see today, especially on the Timber wolf.

He ended the conversation, which was lengthy and very educational for me, by saying that he chooses rounds (ASE or Mapleleafs) over sets any day of the week. He wants more metal and he wants coins that are in demand no matter the climate and he wants to get them as close to spot as possible.

With specialty sets he says you may find a single buyer but you will be hard pressed to find 25 buyers at the price you want or need. He has seen this time and time again not only with speciality sets but limited minted ASE's and Mapleleafs (i.e. 1996, etc). Easy to find one person to pay $75 per 1996 ASE coin but good luck finding more than that and when you need it.

Bottom line, he personally does and recommends people to stick with popular in demand rounds over anything speciality. I think his logic is sound and again, one that isn't new but thought I would share his thoughts.