I have never bought non-bullion coins and have a chance to get into some pre-1933 gold for what I think are fair prices. I have been thinking of getting some and this may be my chance. This seller has a 1902 Liberty $5 coin for $440 or OBO. He also has a 1902 Liberty $10 coin for $850 or OBO. Both look like they are in great shape. Are these coins easy to off load if or when I go to sell them? I am confident I can get them for spot or maybe just under. Are they good coins, in your opinion, to add to my collection?
No that is not the question. Maybe I could've worded it better. I am asking if these coins are easy to sell when the time comes? Obviously getting gold close to spot is ideal; however, if I can't sell them for close to spot in the future then I will pass.
The only reason those coins are selling for the price they are selling for is because of what the spot price of gold is. If the spot price were lower, they would be selling for less. If the spot price were higher, they would be selling for more. So in the future, yes, you will be able to sell them for about spot price, plus or minus 10%. But what you need to understand is that the value of these coins is directly tied to the spot price of gold. In other words they have no numismatic value. So if the spot price of gold drops to $1000 that $10 coin will then sell for about $500.
Thank you for the very informative response. I know these aren't bullion but from what you said, if I understood it correctly, is these basically act as bullion since their is no numismatic value, right? So the goal with these coins is to get them at or below spot since that is what they will sell for. Thanks again.
Depending on your timespan for selling, the numismatic value of these pieces may kick in. The gold content acts as a base value. If I had the option to buy a 1oz Credit Suisse round, or an ounce of 20th century US gold coinage in VF or better shape, I would buy the coins every time.
