Cost of Grading

Discussion in 'Coin Chat' started by Tim Sweet, Jun 4, 2019.

  1. Tim Sweet

    Tim Sweet Member

    I was surprised at the cost of getting coins graded.

    Lowest was $16.00 per coin.

    I guess one goal of having a coin graded is for resale. But I'm not sure how you would make money on such a deal. I guess that service would be for high end collectors.

    I'm courious as to the cost for dealers like APMEX for having so many coins that are graded.

    I guess you just don't have your 1958 Washington Quarter graded or even you Silver Egales for that matter
     
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  3. thomas mozzillo

    thomas mozzillo Well-Known Member

    I'm not sure but maybe AMPEX and other dealers that submit large numbers of coins get a break on the grading fees. I've sent in coins to be graded that are not really expensive but I've sent them in to confirm they were authentic. (Mostly 19th century type coins). would not submit ASE's nor any Washington quarter unless I thought it would be worth more than $125.
     
  4. Ana Silverbell

    Ana Silverbell Well-Known Member

    You are correct. My experience has been that if you want a graded, common coin, such as a 1958 quarter or a common Silver Eagle, its cheaper (and less of a gamble) to buy the coin already graded, even if you think its an MS65/MS66. For example, a PCGS, MS66 1958 Washington quarter can be bought on eBay for about $25, free shipping. If you send your "MS66 quarter" to PCGS, it may not come back MS66, and it will cost more than $25 when you add the price of the coin, shipping and grading fees. Such coins are not worth grading and not worth the gamble. An MS67 or higher coin? These are also a gamble. It depends on the value if you do hit a better, low population grade.

    Check out http://numismedia.com/rarecoinprices/fmv.shtml for coin prices and trends so you know the grade you need to hit for the graded coin's value to be high enough that it is worth submitting.

    I enjoy raw coins more. The few coins I have had graded are coins that I believed had a value of at least a few hundred dollars. I like VAMs as well so I have sent what I believed to be a higher grade Morgan in for grading and VAM attribution. Obviously, rarer, high end coins are better candidates for submission.
     
  5. baseball21

    baseball21 Well-Known Member

    No. If you can grade your grades will be pretty close everytime, if it comes back less 99 percent of the time it's because of a wrong pre submission assessment. It's not a gamble when you can grade
     
  6. Ana Silverbell

    Ana Silverbell Well-Known Member

    So you believe that if you sent the same coin to each of the 4 top TPG companies, it will return with the same grade? I do not, and a point difference could be a monumental difference in value. Coin price guides shows an MS67 1958 Washington Quarter at ~$100 to $250; and an MS68 in the 2 to 3 thousand range. Worth the gamble if you think you have an MS68 but I know too many excellent coin collectors who wondered why their coin submitted came back MS67 instead of MS68. That doesn't mean they can't grade; it means there is a degree of variance in grading.
     
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  7. baseball21

    baseball21 Well-Known Member

    The top 4 are not all equal so that is a moot point.

    Not if your argument is the eBay TPGs especially not with moderns.

    Wishing upon a star because they owned it.
     
  8. Ana Silverbell

    Ana Silverbell Well-Known Member

    Even if you take the top two. PCGS/NGC, graders vary not only at the TPGs, but they change over time. We just differ in opinion on this.
     
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  9. Seattlite86

    Seattlite86 Outspoken Member

    Don’t bother yourself. Baseball21 only enters threads to argue. Go to his/her profile and look at “Postings”. All of them are arguments about PCGS. Grades are opinions-based and Baseball even said the grades will come back “pretty close”. Essentially, baseball is saying you’re right, but still looking for something to argue. Best to ignore the troll.
     
  10. lordmarcovan

    lordmarcovan Eclectic & Eccentric Moderator

    Let's not start (or continue) flame wars here, pretty please.
     
  11. ldhair

    ldhair Clean Supporter

    We all go about this hobby in a different way. Some want everything in slabs and others don't care for them. Nothing wrong with either opinion.

    I have had coins graded just because the coin has a special meaning to me and want the protection of a nice holder. Sometimes the grading fees are not important to me.
     
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  12. lordmarcovan

    lordmarcovan Eclectic & Eccentric Moderator

    I just did that, in fact. Knowingly paid $40+ to slab a coin worth barely $3. I paid the same to slab another coin worth $7 in that submission.

    Mind you, that's not something I do often. But sometimes I just want a coin slabbed for reasons that have nothing to do with its dollar value.
     
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  13. ldhair

    ldhair Clean Supporter

    Thirty something years ago, I built a raw Franklin proof set. It took me about 10 years to complete. I sent the whole set in for grading at the same time. I wanted the matching look.
    I won't make any money when it sells but that has never been important to me. Can't put a price on the fun I had putting it together.
     
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  14. johnmilton

    johnmilton Well-Known Member

    When I was a dealer, buying raw coins and sending them in for grading was one way to get a better price and make more money. I didn’t cheat the people from whom I purchased those coins. In fact, some them were dealers who were selling coins at the shows. I would go over the coins and buy them if I thought they had potential.

    When you buy and sell raw U.S. coins that you considering to have graded, there are two factors that lower the trading price. First, you have to take into consideration the money you are going to have to spend to get the coin graded, which includes the grading fees and the postage. Second, you have to figure in the risk factor if the coin comes back with a lower grade than you expected. These are some of reasons why raw coins are cheaper.

    I don’t send coins in for grading any more. I buy them in the holders that I want. I would advise most collectors to do that. When you are dealer who is sending in a lot of coins for grading, the law of averages smooths things out for you, BUT you must know how to grade coins and spot problems BEFORE you start playing the game. Once you have weeded out the problem coins, chances are you will come out ahead on the grading game. For a collector, who sends in fewer coins, there is a lesser chance that the averages will work out for you. One big mistake or unfair grade can sink you financially in the grading game.

    People ask how dealers can afford to sell common date, graded coins at low prices, sometimes less than the grading fees. The answer is they make their money on the high grade “hits” which come back in high grade holders. Let’s say you get an MS-69 or a PR-70. You sell that coin for big money that more than covers the cost of the “losers.” The dealer blows out the coins that don’t quite make the grade at cheap prices, and that’s where the collector can fill out his or her collection or registry set with certified pieces.
     
    Last edited: Jun 5, 2019
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  15. Tim Sweet

    Tim Sweet Member

    I get that. I've spend a LOT of money restore a couple cars - and of course you don't get your money back when it sells, you might break even.

    I'm interested in hearing the story of your Proof Set. What's a raw proof set?
    Thanks
    Tim
     
  16. johnmilton

    johnmilton Well-Known Member

    "Raw" means the item has not been graded by TPG.
     
  17. Ana Silverbell

    Ana Silverbell Well-Known Member

    This explains where a lot of the low prices for slabbed coins come from. I often wondered. It makes sense for a dealer with volume and if he (or she) has a good grading eye, the dealer can make money. Thank you for explaining that point.

    As far as grading costs generally, I have sent coins in for grading because I liked the coin or variety and wanted it slabbed, not because I wanted to sell it and turn a profit. So I understand why a person would take an inexpensive coin/medal and have it graded even if it costs more than the ultimate product. In this thread, though, I was focusing on the OP's comment on grading a '58 quarter or ordinary ASE, which are common coins. There was no hint in the post regarding any special attribute or other value to the collector. That would involve different considerations that may make slabbing the coin worthwhile to the owner.
     
  18. Lehigh96

    Lehigh96 Toning Enthusiast

    That is a great post!
     
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  19. Lehigh96

    Lehigh96 Toning Enthusiast

    Baseball makes valid logical points, including his points in this thread. Writing off all his contributions to this forum as trolling because he consistently defends TPG grading practices is unfair and dangerous. If you disagree with him, then engage him and offer your dissent, but don’t just broadcast that he should be treated like a troll.
     
  20. Pickin and Grinin

    Pickin and Grinin Well-Known Member

    Why is this. If the guy engages an argument. Shouldn't you be entitled a response sarcastic or not?
    So what I am reading is that there are a couple if of you who can hurl insults and start an arguement. But when when encountered with with a response you don't like. Then it is ok to call out a troll? You can't have it both ways, I don't even care that you are excepted as the authority. If you ask for it don't cry behind a Troll card. Or a Racist card.

    Baseball has been trolling for about as long as I have been here.
     
    Last edited: Jun 5, 2019
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  21. whopper64

    whopper64 Well-Known Member

    I'm fairly new to this venue, so I'm mostly listening and learning. I think that anyone with an interest in coin collecting has the right to express their view as long as they stick within the confines of the pre-set rules. I appreciate what I've learned and am learning about numerous coins and practices as well as collecting habits and peculiarities. Right now I'm mostly sticking with Lincolns and German/Welsh coins for the purpose of providing history for my daughters. Needless to say, my ancestors are German and Welsh. Fascinating history for both countries.
     
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