I know this is a ridiculously open-ended question (new kid on the block) so suffice it to say the discussion will likely be more helpful than a specific answer... What grade coin should you be collecting? Is the answer as simple as, get the best grade your budget will allow? Is there a specific minimum grade that you should always strive for when putting together a collection? Should you, in a perfect world, where money was no object and availability was no hurdle always be striving to put together proof sets? I know these are probably page 1 questions, but I would like to hear different points of view. Thanks in advance. -Matt Boston, MA (yes...however crazy you think it is here right now...it's that and a little more...WORLD CHAMPS BABY!)
Well you already answered the question in the best format. Buy the best coin you can afford. It doesn't matter what the technical grade is. Each person appreciates their coins for their own personal reasons. Many enjoy circulated coins so that they can hold the coin in their hands and enjoy it for its own merit. Others like the coins preserved in a holder so that the value will (hopefully) increase. The best advice in what to buy, follow your instincts and judgement. Buy the coin that appeals to you whether it is raw, slabbed, mint condition or heavily worn. Each coin will tell a story if you choose to listen.
ND makes an excellent point. There are collectors who collect for investment reasons and will therefore buy the best condition that they can afford. Many collectors collect coins for the intrinsic value and the history that they tell. In that case, the condition of the coin may not matter. There are people who collect the highest grades because their enjoyment of the hobby lies more in the design and artwork of the coin. Decide what interests you the most and go with it. It is also possible to collect one series in BU condition and another in circulated depending upon what your motivation is. Overall, if a coin appeals to you and it's within your budget, get it. This is a hobby to be enjoyed
While this may be a very basic question there eally is no simple answer. Generally higher grades will appreciate more rapidly than lower grades but that doesn't necessarily make them a better value. In some cases there is a huge spread between one grade and the next higher. There's usually a good reason for this spread but it can be caused by temporary influences. The best bet is to choose the grade you want to collect something before you even start it. This should be based largely on what you can afford but also on what you can appreciate and on the relative costs. For instance a very high grade Ike set in BU might run $100,000 and require years to assemble because of the scarcity of these coins in the highest grades. But very nice sets which are nearly as scarce can be assembled for far, far less. Even more can be saved if you find the coins raw though the amount of work increases exponentially. Some series tend not to appeal to most collectors in certain grades. This list would include MS-60 moderns and buffalos below good. There's no reason not to collect these if they appeal to you but you should know beforehand that the coins will be hard to sell in the future. Other series make a great collectible in a grade but tend to be a great deal of work or will just take overly long to complete. Most Barber coins are very difficult to locate in nice circulated grades. The challenge of completing the collection will be amplified even further if you attempt to get nice matched coins. While collecting against the "hobby grain" might pay off in the long run when the hobby catches up with you, in the mean time you'll have a lot of "work" and "effort" and there's every chance that prices will grossly escalate while you're still working on the set. Proof coins are not the same as mint state coins and most collectors differentiate between them. Many of the modern proofs are usually very high grade and it takes experience to tell the various grades apart and to appreciate them. The hobby is about having fun so collect the grade that you think is the most fun. If you change your mind you can always just start over.
You got two good answers right off the bat. In addition, you might consider the entire appearance of the specific collection. A nice set of Indianhead cents looks best when all the coins look pretty much alike in terms of grade, toning, etc. For some series, collecting in Proof or Uncirculated only would be prohibitive to impossible. This goes back to the last "golden age" of collecting, when people who are in their 50s now, were kids in the 1950s and 1960s. We could still find Mercury Dimes, etc., in change and fill the Whitman, except, perhaps for some keys, which would have to come from the coin store. For Morgan Dollars, on the other hand, about one-third of all known are uncirculated, so collecting in that grade is pretty much the norm. The 1885-(P) is difficult at $15,000 to $25,000 in Extremely Fine and above. Kennedy Half Dollars and other modern series are more affordable in Proof. In that case, however, still you have the pursuit of the highest grades, cameo proofs. In ancients, mint state coins are rare by any measure. A nice Fine can be a good addition, if you are building a set of denarius coins Roman emperors, for instance. On the other hand, there are so many Alexander the Great tetradrachms and gold staters out there, that if you are shopping for one, you are best off saving your money for the highest grade, rather than settling for less. A worn Alexander tet might sell for $250 and a near-uncirculated for $500. The price range is the same, roughly. This is also true of gold coins. Gold seldom circulated hand to hand, so uncirculated (or nearly unc.) coins are out there for only marginally more than one worn down past Very Fine. You can find near Mint state Byzantine gold for close to bullion, oddly enough. In our day, we tend to build collections one purchase at a time, rather than one find at a time. So, you decide what you can afford to pay for the most expensive keys and work from there. As an exception to the rule, I built a set of Mercury Dimes by searching bags of silver from coin dealers. Then, I purchased the keys I needed. Then I bought a couple of Uncirculated examples to complete my idea of what the set should represent. As for collecting from pocket change, the Jefferson Nickel is a good example of what can be done. The afficiandos count the number of steps on Monticello. Five step coins bring more praise, if not more money.
Hi Matt, and welcome to the forum. You've already gotten some excellent advice, but let me add one thing that no one else has mentioned. The U.S. not only has no monopoly on beautiful coins, but its coins are only a drop in the bucket when you consider that there are, at most, a few hundred types struck over less than 250 years, whereas there are thousands of distinct types - struck, cast and molded over thousands of years - when you open your heart to world and ancient coinage. Pricewise you can often acquire a gorgeous example of a limited mintage gold coin for a fraction of the cost of a higher grade U.S. high-mintage type. There are as many ways to collect world coinage as there are collectors. You can accumulate single circluated coins from every country, limit yourself to MS68/PR68 or better coins from a single series, or just about anything else you can conceive. Dip your toes in Darkside waters, and you'll never regret it.
Absolutely...I speak fluent Russian and lived in Moscow for about 3 years after college/graduate school. I would be *very* interested in beginning a collection of tsarist coins. Some of the double eagle coins I have seen are just beautiful IMHO. Thanks for all the advice guys...you have been great... -matt
As for myself, I collect coins in almost all grades. I have complete sets of uncirculated coins, as well as sets that are well circulated. I usually don't find coins that are below VG-8 to be very attractive, and I much prefer coins in the EF-AU range. I don't consider that to always be the best policy. For me, it's all about whether or not the coin is interesting. For example, I can afford to buy several Morgan dollar issues, in the lower uncirculated grades, but I much prefer the "look" of an original circulated piece. Then there's the "coolness" factor. I love a coin that I can hold in my hands, while I contemplate it's history. You can't do that with uncirculated coins. Those are "look, but don't touch" coins. That depends on what type of collection you are putting together. I usually try to find coins that are similar in grade and color when I am putting together a set, but each collector is different and should decide what he thinks is best for him. There are many collections than include coins of all grades, from damaged fillers to nearly perfect gems. Price and budget are often major determining factors. For example, a complete set of silver Washington quarters can be very expensive, based on the condition of the 1932-D and the 1932-S. Not in my humble opinion. "Proof" is a method of manufacture, and while they are usually very pretty, they are of only marginal interest to me. I much prefer business strike coins, although I do collect certain proof issues as well as an ocassional proof set. Congratulations to you and your city's baseball team. ~Jody~
I think I said that. "You can find near Mint state Byzantine gold for close to bullion, oddly enough." Also, since our new friend has an interest in tsarist numismatics, a collateral interest in Romaion (so-called "Byzantine") coins would be appropriate, what with Saint Cyril and all.
I have a thing about coins in Good VF. None knows why and neither do i, but Almost EF ones are good too. So for me it's GVF-AEF.
Those grades give you good, honest wear, pleasant toning, and plenty of details to appreciate. To me, it is maybe the true mainstream of true collecting. (Yes, uncirculated and proof coins are nice and they have their place. ND's avatar is undeniably compelling.) The essence of numismatics is both the forms and uses of money. Proofs and uncs deliver the best example of the forms. Circulated coins are evidence of the use. I have a weakness for Victoria pennies worn flat. I imagine them having traveled all over that empire, paying for the simplest needs and pleasures: pudding in Paddington; rice in Rangoon...
I buy coins because I like the sculpture and design. I'm not a fan of coins under EF because the joy in collecting for me is to appreciate the detail in the coin. Worn key dates don't appeal to me in the slightest no matter how valuable they are.
You hit the nail on the head... still got good detail, nice grey tone and seen some honest wear and have been in circulation at the time.
Great answers. Welcome to the forum. I collect circulated coins. Like a lot of the folks have replied, it's the history. Imaging who has used the coin and why. I have a lot of circulated US and World coins but really only a few areas that I concentrate on. I am not an advocate of buy the very best coin you can afford. To me that's sort of wasteful. I'd rather have two or three or ten nice circulated coins that the price of one UNC will buy. My special collection is Flying Eagle and Indian Head Cents. I've broken the field into two catagories that I call expensive and less expensive - roughly 1890 to 1909 (less expensive) and 1865 to 1889 (more expensive). Later issues my goal is XF40-45. Earlier issues VF will do nicely. Keys like the 1877? Who knows. I have one really beautiful 1904 MS65 Red. It's my this is what a great Unc looks like coin. I'll acquire a Red or RB proof sometime in 2005 - same reason. Above all -- have fun.... (Pretty windy response).
I just wanted to add. I don't know if this holds true for World coins or for particular countries. Trying to find "common" Indian Head Cents that are correctly graded in circulated grades like VF and XF, is not an easy task. I have been looking for over a year for 1885 and 1888's in VF35 or XF. These are priced via the guides as relatively inexpensive in XF. It's difficult to find a non-damaged, non-cleaned, non-recolored, example of either.
I agree with these interesting comments that a buyer has many options. I have bought and sold coins for 40 years and have found the most success with appreciation of price in buying coins that have a large gap in the pricing guides. For example, if a coin is priced $10 in Fine, $20 in VF, $30 in EF and $300 in AU and even if you can afford to buy the AU coin, your upward appreciation of pricing for the coin will be with the EF coin. It is much more likely that the EF coin will double in price to $60 before the AU coins doubles to $600.
