Buying first Morgan Silver Dollar

I have had an interest in coin collecting for a long time but never seriously got into the hobby. Every time I get interested I get intimidated that I won’t make the right choice and get ripped off so I never end up getting anything. I think this time I’d like to take the plunge and get something that can at least hold value and potentially grow over time.

I really like the Morgan Silver dollars. They are fortunately very popular and I’m looking at a Carson City variety. From some of the research I’ve done, I should aim to buy one in as good a condition as I am willing to spend so at least a MS63. I’m thinking of something around the $500 range.

Not only do I want to get a CC Morgan but I think it would be great if I can get one with a nice toning. However, I’m a complete amateur at deciding whether or not the toning on any specific coin helps or detracts from its value since I’ve learned that the effect can impact its value both ways.

I know there are resources to buy to read up on it but for now I’m looking to getting just 1 coin so I wanted to hold off on that research if my interest continues.

I’m thinking of going to a near by show that has about 30 dealers in the LA area (North County Monthly Coin Show in Anaheim, CA) and seeing if I can find the coin. Can someone give me an idea of how much of a premium is the typical sticker price against actual value on this kind of Morgan I’m looking for? Let’s say the coin is generally valued at $400, what would a typical dealer charge for it? What is the best way to negotiate down to the fair price for it?

Also, is there much of a premium value in getting a Morgan CC in one of those GSA plastic holders or is a graded slab just as good?

 

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A Carson City Morgan is a nice iconic coin to start a collection.

If you just want a nice example in MS 63, then the common dates (1882, 1883, and 1884) can be had in the 325-375 range (based on recent eBay sales). In MS 64, it would be about $50-$75 more than the 63 range. This is for untoned examples.

Toning can add a premium. It is a wide range depending on the level (small to no premium for average toning to huge premium for monster toning). Generally vivid rainbows and greens, in addition to nice luster, are the factors for increasing the value. Dark toning can detract. There is more to it but if the color appeals to you and the price is within your budget, then the coin might be for you.

In terms of show pricing, it varies greatly. Some dealers have fair pricing while others are way to expensive. For a generic untoned CC Morgan, it is not recommended to spend more than what you could pay on eBay (325-375 for an MS 63).

Also, there is some variability in quality within a grade. At a show (or online), look at many examples and see which one looks the best to your eye. Stick with PCGS or NGC graded examples (Anacs and ICG are good too but they should be priced lower since the market values them a bit less).

And the original GSA holders are popular. For the three common dates that I mentioned, there is not much of a difference in price between it being in the GSA or in a regular PCGS/NGC slab. It is a personal preference as to which one you would rather have.

 

Beware of counterfeits, and fake holders and labels. As long as you stick to reputable sources like dealers at shows your chances are pretty good.

Stay away from fleaBay, Etsy, Facebook boards and that ilk. China is making all kinds of fake trash. It would behoove you to start learning what to watch out for. You can search here at Coin Talk for a lot of good information along those lines.
Good Luck!

 

Buy from an honest and reputable source.

 

Have a meeting to go to so I'll just be brief. The GSA Carson City Morgans are a great way to start your Morgan collection. Lots of history associated with those. I was at a coin show this weekend and saw lots of GSA Morgans in the $300.00 range.

 

Agree. Really not much to be said about Morgan CCs already posted in this thread. Cheapest route is eBay in a GSA holder. Chiner hasn't figured out how to fake those yet. Buy one ungraded in a GSA holder that has clear photos. Almost all GSAs labeled uncirculated are in fact uncirculated. That being said, they ain't all equal. Try and pick the best example available. You can get a 82,83, or 84cc MS62 (ungraded) for less than 300 on the fleaBay sometimes. I don't like the GSA holder (even though I have 2 of them) because they are too big for my liking but you don't have to worry about fakes. If you want a GSA graded, I think all TPGs will grade and label the slab.

 

My thought on collecting Morgans is to stay with coins with nice luster. There are so many out there, you can be picky.

 

Look at as many coins as you can in the grade you're looking for. You should quickly be able to tell the difference between the nicer MS-6X's and the not so nice looking MS-6X's.

 

I'm curious can I buy coins from most dealers using credit card or do I have to use cash? Can I get any discount if I use cash? Also, are toned Morgans in GSA holders with a sticker from one of the rating agencies in MS63 hard to come by?

 

Most dealers will haggle. All of us old guys like the haggling process.... However, yes use cash to haggle. It is very bad form to haggle then use credit... That costs your dealer 3% when you use your card. I always deal with cash when I am buying coins.

 

If you use a credit card there will always be a paper trail of the transaction. If you use cash there isn’t one. Most dealers will haggle on a price but using a credit card afterwards is in poor form. Cash is best.

 

Cash isn't just best, it's KING. The only reason I use credit card for coins is because of the internet. NOBODY is getting my bank account and routing number. Also, credit cards give you tons more buyer's protection in the event of fraud. As I type this, a lit light bulb just went off in my head.

I just just took care of a little something something, fleaBay ain't gonna be happy! I may just have to move on to Great Collections.

 

That is very true. Plus it is rare to see dealers that do take credit cards. Even at a big show I have only seen two that openly advertise taking credit cards (and I think they both mark up items to account for the fee).

 

GSA holder + CAC + toning is a harder combination to find. There are plenty of GSA holders. Only a fraction have CAC and an even smaller amount also are nicely toned. Expect to pay a decent premium for one like this and there might not even be an example at a smaller show. You would have to search online or go to one of the larger shows.

 

I was advised to check our Heritage Auctions for coins that I like to get a good idea of pricing. I did just that and found one that I like.

https://coins.ha.com/itm/gsa-dollar...2538-25291.s?ic4=GalleryView-Thumbnail-071515

This is a MS63+* which sold for $600 recently. I know that buyer's pay a 20% premium on this site so would it be fair to say if I bought this from a dealer in person the equivalent should be about $500?If I got it as a plane MS63 would $450 be right? If I saw a similar one but the price was high, could I use this to try to bargain lower?

 

Not necessarily. People tend to go crazy at auctions. Then there’s the auction up charge, mailing and insurance. I brick and mortar store or LCS avoids those fees but the dealer can charge what he wants. You can try to negotiate but it’s all up to what you are willing to pay and what the dealer is willing to sell for.

 

I would not buy a toned dollar for your first purchase. There are too many pieces have been given artificial toning, and even if it's natural, one man's "great toning" and another man's "ugly toning." I would be a "white" coin. Many Morgan Dollars come that way, and a lot of collectors prefer it.

Here's a Morgan Dollar in a GSA holder. Most of them have been separted from the box. These were sold by the Government Services Administration.





This one would probably grade MS-63 if it were sent in to a grading service.

Here are close-up pictures of another example. This is sort of coin you should consider. The Grey Sheet wholesale say it's worth $310 in MS-63. You should be able to buy one retail for $400 or a bit less.

 

It's important to understand you might not get it just right the first time, but that's okay. You've got to take the leap! You won't really know exactly what you like until you've seen a few, bought a few and yeah, made some mistakes. But we all have and it's part of the hobby. You will figure out what you like now, but over time that may change, and probably will.

 

If you are lucky, you get a knowledgable mentor. I had a couple at the Gimbels coin department in Philadelphia when I was learning. They eventually offered me a job.

 

Good advice. Normally you are safe buying a GSA that states UNC because they did sort them out between UNC and circulated even back then, and almost guaranteed a bona fide coin. I don't like buying expensive toned coins unless they are already straight graded. For one thing, toning hides a ton of imperfections, heavily toned dark coins are an eyesore to me, I'm not sure how the TPGs even grade the uglier ones with a dark alligator skin on them? I sure couldn't.