Very new to paper collecting. When it comes to higher denominations ($100,$500,$1000) does the value over time increase fairly well even if the grading is a little on the lower side, say 30-40? Most forums I've seen say to start with one of Friedberg's books so I downloaded the 2014 Official Red Book. Those only show 3 ranges so you have to fill in the blanks if graded in-between. I guess my question is should I try to shoot for the highest possible grade if it can be afforded or perhaps pick up two middle grade notes for around the same price and start a collection that way? Any advice would be a big help from you pros out there.
Welcome to the fun. There are no set rules as to what will happen with value. Buy nice paper and long term you should do just fine. Short term, I would just take the money to Vegas.
Welcome to Coin Talk @Glubski . Personally, I prefer quality over quantity, but I am a collector first and if what I like and buy go up in value, that is secondary. Typically, higher graded notes do better over time then their mid grade counterparts. When I was shopping for a $500 note, I took my time, looked at all the options, saved and saved, and finally bought a graded note with terrific eye appeal and original paper qualities. If I liked it back when I bought it, then I figure another collector will like it when I decide to sell it. Whatever you decide, my advice would be to stay away from problem notes that are offered with an attractive price. If you have to describe a note with a "but", like; This note was a really good price, BUT it's torn, or BUT it has this rust stain, or BUT the centering is way off, then move along until you find a different choice. I bought this note for 40% less than an uncirculated note, and I can't tell the difference.
The better graded notes appreciate more than the lesser graded notes. That said, 25 or so years ago you could get them for $10-$15 over face for the $500 and $1000 notes that were circulated. $100 bills from the 1928 and 1934 series can be still found in banks when people turn in cash from estates etc. I have a bunch of the $100 notes that I keep as "emergency money" - they do spend at coin shows!
Some good advice out there. I thinking sticking to the mid-high 50s and above then? How more important are the designated props such as PPQ and EPQ? Do they command much more $$$ than a good number grade or does that not impact the value as much?
Getting the highest grade you can afford is usually your best bet you will find more buyers seeking the higher quality notes when it comes time for you to sell i usually seek a minimum grade of 53PPQ or 53EPQ this grade usually assures good eye appeal and with the added designation you can rest easy that the note is problem free such as pin or staple holes or undo markings. As far as the designations are concerned, in my opinion that,s huge buyers seek problem free notes if it does not have the designation the note is allot less desirable again to potential buyers when its time to sell, which is always a big consideration.
